SCSCAI Rules and Regulations Table of Contents I.

INTRODUCTION …………………………………………..………………………. 3

II.

AUTHORITY …………………………………………….…………………….….... 3

III. ASSOCIATION RULES A.

Members and Residents Code of Conduct …….………………………….……. 4

B.

General Association Rules .………………….….……………………………… 5

C.

Association Cards ………………………….………….………………………. 5

IV. COMMON FACILITIES

V.

A.

General Facility Use ….…………………….…………………………………... 6

B.

Community Center Facilities …….…………………………………………….. 6

C.

Arts & Crafts Centers ………………….……………………………...……….. 8

D.

Fitness Centers ……….………………………………………………………… 9

E.

Aerobics Rooms ……….……………………………………………………….. 10

F.

Swimming Pools ……….………………………………………………………. 10

G.

Facility Use by Children …….……………………………………….………… 11

H.

Tennis Courts …………………………………………………………………... 11

I.

Softball Field …..……..………………………………………………………… 12

GENERAL MEMBERSHIP RULES AND GUIDELINES A.

Chartered Clubs and Community Organizations …….……………..………….. 12

B.

Bulletin Board Policies ………………………………………..……………….. 13

C.

Room Scheduling Policies ……...……………………………………………… 14

D.

Fund Raising Events …………………………………………………………… 15

E.

Chartered Clubs ……………………………………………………..…………. 15

F.

Parking at SCSCAI Facilities ………………………………………….............. 15

G.

Garage Sales …………………………………………………………………… 16

VI. SUN CITY SUMMERLIN GOLF RULES A.

Eligibility to Play ………………………………………………………............. 16

B.

Golf Course Rates and Fees …………………………………………................. 16

C.

Rules and Policies .…………………………………………………………....... 17

D.

Tee Time Reservation ..……………………………………………..….………. 18

E.

Tee Time Cancellation …………………………………………………………. 18

Passed by the SCSCAI Board of Directors on September 15, 2008

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F.

Golf Course Etiquette and Pace of Play ………………………………............... 18

G.

Guest Policy ………………………………………………………………......... 19

H.

Working Resident Policy ………………………………………………...…….. 19

VII. ENFORCEMENT OF THE GOVERNING DOCUMENTS A.

Complaints ………………………………………………………………….….. 19

B.

Sanctions ……………………………………………………………………….. 20

C.

Hearing Panels …………………………………………………………………. 20

D.

Fines ……………………………………………………………………………. 20

Passed by the SCSCAI Board of Directors on September 15, 2008

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ARTICLE I: INTRODUCTION 1. The Sun City Summerlin Community Association Incorporated Rules are established by the Board of Directors under the authority set forth in the Bylaws and CC&Rs. They are designed to ensure that within the context of its rights, duties and activities, the Association serves the best interests of the greatest number of members and residents while protecting the rights of the minority. They are also intended to preserve the common facilities for the safety, convenience and enjoyment of the association’s *members, *residents, *guests and *visitors. •

*A "member" is a Sun City property owner in good standing with the Association per CC&R’s Article I, GG.

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*A "resident" is any person who resides in a Sun City household and who currently holds either a household association card or pays the transaction fee for a renter's association card, or purchases an activity association card.

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*A "guest" is an invitee of a member or a resident.

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*A "visitor" is any person who is not a member, resident or guest.

2. All members and residents are subject to the duties, obligations and restrictions imposed on them by the governing documents of the Association, including these rules, and may be sanctioned for violation of such duties, obligations, and restrictions in accordance with the sanctions policy set forth herein. To the extent they are applicable, these rules shall apply to all members and residents equally. 3. It is understood all members and residents have the right to enjoy the association’s common facilities. They must do so while respecting the rights of others sharing in the use of the Common Areas. Courtesy and common sense must prevail if the association facilities are to be properly utilized. Sun City Summerlin is very special in that it is a private, restricted membership community catering to adults and senior citizens. The use of the common facilities is foremost and primarily for the enjoyment of members and residents. Guests or visitors are accommodated only when such accommodation does not infringe upon the convenience or right of enjoyment of members and residents. The purpose of this document is to set forth the rules and regulations of the Association and its associated policy, as determined and authorized by the Board. They may be amended or repealed by the Board at its discretion. ARTICLE II: AUTHORITY 1. The authority of the Board of Directors to adopt, amend or repeal such Rules and Regulations as it (the Board) deems reasonable and appropriate, is provided in Article III, Section 1(d), Article V, Section 3 and Article XVIII, Section 6 of the Sun City Summerlin Declaration of Covenants, Conditions, Restrictions, Assessments, Charges, Servitudes, Liens, Reservations and Easements (the CC&Rs) of January 5, 1989. As expressly provided in Article XVIII, Section 6, the Association, acting through the Board, has "the right to adopt rules and regulations with respect to all . . . aspects of the Association’s rights, activities and duties, provided said rules and regulations are not inconsistent with the provisions of this Declaration." As set forth in Article III, Section 1(d), the Association has the right "to regulate the use of the Association and Common Areas through the Sun City Summerlin Rules . . . [which] shall be intended, in the absolute discretion of the Board, to enhance the preservation of the Association

Passed by the SCSCAI Board of Directors on September 15, 2008

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These pages replace Page 4 of the SCSCAI Rules and Regulations (passed in their entirety on 09-15-08). Information on the Investment Policy has been added [Pages 4, 4(a), 4(b), 4(c), and 4(d)] and was approved on December 3, 2013 by the Board of Directors.

Lands and Common Areas or the safety and convenience of the users thereof or otherwise shall serve to promote the best interests of the . . . [members] and Residents." 2. As stated in Article V, Section 3, "The Sun City Summerlin Rules are deemed incorporated . . ." in the CC&Rs and Bylaws by reference and ". . . shall have the same force and effect as if they were set forth in and were part of. . ." the Declaration. Additionally, Section 3 provides that these Rules and Regulations are ". . . binding on all persons having any interest in, or making any use of any part of the Association Land, Common Areas and Recreation Facilities . . . whether or not copies of the Sun City Summerlin Rules are actually received by such persons." 3. As long as they are current in payment of their assessments and not in violation of the CC&Rs or the Sun City Summerlin Rules (see below), Bylaws Paragraph 2.3(a), in conformance with the CC&Rs, provides that members have the privilege "to vote, to hold office, [and] to use all available facilities subject to the rules and regulations of the Association." As long as such fees are reasonable and uniform among all members, CC&Rs Article III, Section 1 provides that the Association may charge for the use of facilities located in Common Areas. CC&Rs Article III, Section 2 authorizes a member to delegate "his right of enjoyment to the Association Lands and Recreational Facilities" but only in accordance with these Rules. Likewise, guests are authorized to use the recreational facilities, but again only in accordance with these Rules. 4. As set forth in Article V, Section 2, "The Association, through the Board of Directors . . . shall have the duty of enforcement of all provisions of this Declaration . . . and shall have the right and be responsible for the proper and efficient management and operation of the Association Land, as well as Common Areas and Recreational Facilities owned by the Association. . . ." The CC&Rs give the Board authority to sanction members and residents for failure to comply with the governing documents. Thus, Article V, Section 3 declares that "The Sun City Summerlin Rules may also include the establishment of a system of Fines and Penalties related to the enforcement and/or violation thereof." Under Article III, Section 1(b), the Association has the right to suspend membership privileges, including the right to use the recreational facilities and Common Areas for as long as any membership assessment is delinquent. It also has the right to suspend membership privileges for up to 60 days for any violation of the CC&Rs or the Sun City Rules and to continue such suspension for additional 60 day periods until the infraction is corrected. 5. Article V, Section 2(m) gives the Board “powers as are provided for in… the Bylaws.” In turn, Bylaws Paragraph 6.1(k) authorizes the Board to delegate its powers to committee, officers or employees of the Association.” Accordingly, by adoption of these Rules and Regulations, as revised on September 15, 2008, the Board delegates to the Executive Director (ED) discretion to waive or vary any rule contained in this document. The ED must upon issuing such waiver or variance, advise the Board without delay for their approval or disapproval. Should the Board fail to act at their next scheduled meeting after receiving such notification, the rule change shall be terminated within 48 hours after the meeting. 6.

Investment Policy a. Purpose - The purpose of this policy is to identify the policies that will govern the investment activities of the Sun City Summerlin Community Association, Inc. with regard to the management of the Reserve Funds. These policies and procedures have been adopted and can be changed only by the Board of Directors “Board”. 4

These pages replace Page 4 of the SCSCAI Rules and Regulations (passed in their entirety on 09-15-08). Information on the Investment Policy has been added [Pages 4, 4(a), 4(b), 4(c), and 4(d)] and was approved on December 3, 2013 by the Board of Directors.

These policies are designed to ensure the prudent management of the funds and to provide the availability of reserve funds when needed. Notwithstanding any other provisions of this policy, the Finance Committee shall recommend to the Board the appointment of an investment advisory firm or other similar organization to assume responsibility for investment decisions of the Funds. Upon approval by the Board of such recommendation, an investment management agreement, containing terms satisfactory to the investment manager and the Association and consistent with this policy, shall be submitted to the Board for its approval and execution. Participants in the investment process shall act responsibly as custodians of the funds. Investment officials shall recognize the investment portfolio is subject to public review and evaluation. The overall program shall be designed and managed with a degree of professionalism that is worthy of Sun City Summerlin Community Association’s trust. Any practice not clearly authorized under these policies is prohibited. The guidance set forth herein is to be strictly followed by all those responsible and/or involved in any aspect of the management or administration of these funds. b. Investment Objectives - The portfolio shall be managed to accomplish the following hierarchy of objectives: Preservation of Principal - The single most important objective of the investment program is the preservation of principal of those funds within the portfolio. It is intended that securities purchased for the Funds would be held to their maturity. Maintenance of Liquidity - From time to time, the Association shall advise the investment manager appointed by the Board of the Reserve Funds’ liquidity requirements, so that the portfolio may be managed in such a manner that assures liquid funds are available, to meet the immediate and/or future needs of the Association. Maximize Return - The portfolio shall be managed to maximize total return throughout budgetary and economic cycles, within the context and parameters set forth by objectives of preservation of capital and liquidity. c. Standard of Prudence - The standard of prudence to be applied to the investment of the Association’s Portfolio shall be the industry standard "Prudent Investor Rule", which states: "Investments shall be made with judgment and care, under circumstances then prevailing which persons of prudence, discretion and intelligence exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived." d. Authorized Investments - The investment advisor is authorized to invest in the following securities: U.S. Treasury Obligations. United States Treasury bills, notes, or any other obligation or security issued by the United States Treasury or any other obligation guaranteed as to principal and interest by the United States Government, provided the maturity is no greater than ten (10) years at the time of purchase. 4 (a)

These pages replace Page 4 of the SCSCAI Rules and Regulations (passed in their entirety on 09-15-08). Information on the Investment Policy has been added [Pages 4, 4(a), 4(b), 4(c), and 4(d)] and was approved on December 3, 2013 by the Board of Directors.

Federal Agency Obligations. Bonds, notes, debentures, or other obligations or securities issued by any federal government agency or instrumentality, provided:  

the maturity is no greater than ten (10) years at the time of purchase; and the amount invested in any single issue does not exceed five (5) percent of the total portfolio value on the date of acquisition.

Mortgage Backed Securities backed by the full faith and credit of the United States Government, provided:   

such Securities have an average life of no more than 10 years at time of purchase; and the amount invested in any single issue does not exceed five (5) percent of the total portfolio value on the date of acquisition; and the aggregate value of all Mortgage Backed Securities does not exceed twenty five (25) percent of the total portfolio at the time of purchase.

Commercial Paper. Unsecured short-term debt of corporations incorporated under the laws of the United States or a state, provided:  

the maturity is no greater than one hundred-eighty days (180) days; and the short-term debt rating is at least "A1+/P1" by all that rate the issuer.

Corporate Bonds or Notes. Investment grade debt obligations issued by corporations that are incorporated and operating under the laws of the United States or a state, provided:   

the maturity is no greater than ten (10) years at the time of purchase; and the obligation has a minimum "Aa" long term debt rating by Moody’s Investors Service or a minimum “AA” long term debt rating by Standard & Poor’s; and the amount invested in any single corporation does not exceed seven and one half (7.5) percent of the total portfolio value on the date of acquisition.

Closed End/Open End Mutual Funds, provided the underlying investments fall within the parameters of the Association’s Authorized Investments (IV). Municipal Bonds. Bonds issued by states, counties, cities or municipalities, provided:   

the maturity is no greater than ten (10) years at the time of purchase; and the issue has a minimum “Aa” long term debt rating by Moody’s Investors Service or a minimum “AA” long term debt rating by Standard & Poor’s; and the amount invested in any single issuer does not exceed five (5) percent of the total portfolio value on the date of acquisition.

Certificate of Deposit/other Bank Deposits. Certificates of Deposit (CD’s) or any other bank Deposit, provided they are insured by the FDIC. 4 (b)

These pages replace Page 4 of the SCSCAI Rules and Regulations (passed in their entirety on 09-15-08). Information on the Investment Policy has been added [Pages 4, 4(a), 4(b), 4(c), and 4(d)] and was approved on December 3, 2013 by the Board of Directors.

e. Maximum Maturity Maintenance of adequate liquidity to meet the cash flow needs of the Association is essential. Accordingly, the portfolio will be structured in a manner that ensures sufficient cash is available to meet anticipated liquidity needs. Selection of investment maturities must be consistent with the cash requirements, as outlined in the Association’s reserve study, in order to avoid the forced sale of securities prior to maturity. f. Prohibited Investments and Investment Practices The manager is expressly prohibited from investing in the following instruments and investment practices. This is not an exclusive list.     

Any equity or investment vehicle with any equity component. Short sales (selling a specific security before it has been legally purchased). Derivatives. Collateralized mortgage obligations (CMOs) and real estate mortgage investment conduits (REMICS). Any security not specifically permitted by this Policy.

g. Monitoring and Adjusting the Portfolio - Those responsible for the day-to-day management of the portfolio will routinely monitor the funds of the portfolio, the available markets and the relative values of competing instruments, and will adjust the portfolio as necessary to meet the investment objectives listed above. At least annually, the portfolio’s maturities shall be scheduled against the reserve study for the following ten years. h. Safekeeping and Custody - All securities in the Association’s portfolio shall be held by the custodian on behalf of the Association in accordance with NRS 116.311395 and will be free and clear of any lien. On a monthly basis, the depository will also provide reports that list all securities held, the book value of holdings and the market value as of month-end. i. Performance Standards - The investment portfolio shall be designed and managed with the objective of obtaining a total rate of return throughout budgetary and economic cycles, commensurate with the investment risk constraints and cash flow needs of the Sun City Summerlin Community Association, Inc. The core portfolio will be compared to the Barclays Capital U.S. Intermediate Government/Credit Bond Index: The Index measures the performance of U.S. dollar denominated U.S. Treasuries, governmentrelated and investment grade U.S. corporate bonds (rated Baa or higher by Moody’s or BBB or higher by S&P, if unrated by Moody’s) with remaining maturities between 1 and 9.99 years. Securities have $250 million or more of outstanding face value and must be fixed rate and nonconvertible.

4 (c)

These pages replace Page 4 of the SCSCAI Rules and Regulations (passed in their entirety on 09-15-08). Information on the Investment Policy has been added [Pages 4, 4(a), 4(b), 4(c), and 4(d)] and was approved on December 3, 2013 by the Board of Directors.

j. Reporting - The Investment Advisory Firm will report to the committee on a quarterly basis. At that time, the Investment Advisor will report on the portfolio’s performance and attribution. The investment advisor will supply a summary report of the portfolios’ holdings and transactions on a monthly basis. ARTICLE III: ASSOCIATION RULES A. Members and Residents Code of Conduct Members and residents shall:

CONTINUED ON PAGE 5 OF THE RULES AND REGULATIONS (VERSION DATED SEPTEMBER 15, 2008)

4 (d)

This page replaces Page 5 of the SCSCAI Rules and Regulations (passed in their entirety on 09-15-08). Revision to #6 italicized below was approved on December 3, 2013 by the Board of Directors.

1. Conduct themselves so as not to jeopardize or interfere with the rights and privileges of other members or their guests. 2. Refrain from loud, profane, indecent or abusive language in addressing other members, association staff, directors or guests. 3. Not gamble in association facilities, except where permitted by state license. 4. Refrain from harassing or accosting any member, resident, guest, staff member or director. 5. Not physically abuse other members, residents, guests, association staff or directors. 6. Be held liable for any damage to, defacing of, or misappropriation and/or unauthorized removal of any association property. 7. Not reprimand or discipline any association employee. 8. Not interfere with the management of the Association. 9. Not compromise the safety of others by their actions and shall obey all safety rules and shall cease and desist unsafe activity when instructed by staff. 10. Not profit financially from their privileges by charging guests for use of the facilities. B. General Association Rules 1. The association's facilities are only for members, residents and guests. Association cards (See Section C below) must be presented when requested. 2. Random card checks will be made by association staff to ensure compliance with association policy and to determine if cards are current. 3. Member or resident must be present to check in their guests to the facilities. Members and residents are responsible for their guests while using the facilities. Guests under the age of 19 must be accompanied by the member or resident at all times. 4. The facility's monitor will mark the member or resident’s guest card for each guest participating in an activity. Chartered Clubs are responsible for seeing that the member's or resident’s card is validated when sponsoring guests during club functions and events. 5. Members and residents must present a valid card when picking up a copy of the Sun City “Link,” signing up for a trip, class or other activity or upon staff request. 6. Any type of solicitation is prohibited on association property by any person, group or organization. This prohibition includes members, residents and their guests. C. Association Cards Association cards are renewed annually upon payment of appropriate fees at the association's administrative offices and with proper identification and credentials. All cards contain the cardholder's photograph. Only members and residents possessing valid cards, as further defined, are entitled to use the association's facilities, subject to the rules and regulations as established by the Association. Unauthorized use of these cards, or use of false information in obtaining these cards, may result in suspension of privileges or other appropriate legal action. The following types of association cards are available: Passed by the SCSCAI Board of Directors on September 15, 2008

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1. Household association cards - Each household is entitled to two cards. The first card must be issued to a member* who is at least 55 years of age or a resident who is 55 years of age. The second card can be issued to a resident *19 years or older upon proof of residency and, if requested, an affidavit from the property owner. a. Proof of age must be presented initially. b. Each household is entitled to 24 guest passes per year. c. A member may purchase additional guest pass cards at a cost of $5 per day per adult guest; and $2 per day per child under the age of 19. 2. Activity association cards - In addition to two household cards, each household may purchase up to two activity cards for a charge of one-half the annual assessment fee per card. a. Activity cards can be issued only to residents 19 years or older and proof of residency must be established. b. An affidavit from the property owner is mandatory. c. Activity cards cannot be used to purchase annual golf passes. 3. Renter’s association cards a. The owner (lessor) must be current and in good standing. b. The renters must present a copy of their lease agreement. c. Any owner delegating resident privileges to a tenant, as described in the CC&Rs, Article VI, Section 2, must relinquish their cards prior to the issuance of renter cards. The owner's cards will be retained in the Administrative Office for the term of the lease. d. At least one (1) tenant must meet the age requirement of 55 years or older. e. A processing fee will be charged to renters for each card issued. f. Holders of Renter's cards shall have the right to use all available facilities, subject to these Rules and Regulations as well as rules and regulations applicable to chartered clubs, to become members of clubs of the Association and to participate in activities of said clubs. g. Only four (4) renter's cards may be issued in any one card year. Card year is defined as the 12-month period from the original date of issue. h. Only two (2) renter’s cards for each household shall be in effect at any one time. i. Renters may purchase additional guest passes at a cost of $5 per day per adult guest and $2 per day per child under the age of 19. ARTICLE IV: COMMON FACILITIES A. General Facility Use 1. Smoking is prohibited within all SCSCAI facilities. 2. Except for handicap assistance, animals are prohibited from SCSCAI buildings and golf courses. 3. Only alcoholic beverages served by SCSCAI Food & Beverage Department may be consumed in SCSCAI facilities. Passed by the SCSCAI Board of Directors on September 15, 2008

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B. Community Center Facilities Sun City Summerlin (SCS) community centers are for member and resident use. Use of all SCS facilities is predicated on a first-come, first-served basis unless reserved by chartered clubs or special association events. Operating hours are established by the SCSCAI Board of Directors and are subject to change at the Board’s discretion. SCS facilities are closed in observance of Thanksgiving and Christmas holidays. The Community Services Department determines the general use of the facilities. Any conflict with the use of the facilities will be reviewed by the Executive Director and/or the Board of Directors. The four community centers are: •

Mountain Shadows Community Center - 9107 Del Webb Boulevard

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Sun Shadows Community Center - 8700 Del Webb Boulevard

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Desert Vista Community Center - 10360 Sun City Boulevard

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Pinnacle Community Center - 2215 Thomas Ryan Boulevard

General meeting rooms as well as special purpose areas are located in the community centers listed above. Use of any meeting room is subject to the guidelines specified in the room scheduling policies provided herein. Certain special areas are designated “first-come, firstserved” areas. SCS also may require obtaining tickets where seating is limited and/or to recover costs associated with the event. Some of the special purpose rooms are: 1. Card rooms provide space for card playing for chartered clubs and open card playing. Open cards is non-exclusive to all members and residents on a first-come, first-served basis. 2. The billiards room is for members, residents and guests who are age 13 and over. Guests must be accompanied at all times by a member or resident. a. The billiards room is used on a first-come, first-served basis. b. Use of a table must be requested at the monitor station with proper SCSCAI identification. Members and residents are required to leave their membership card at the monitor station in exchange for the billiard balls. Association cards are marked with the time billiard balls are checked out and the time they are to be returned (according to the chart below). c. If no member or resident is waiting for a table, existing players may continue with their game. If players are in the middle of a game, they will be permitted to complete the game before turning in the billiard balls. Number of Residents Maximum 1 resident playing 2 residents playing 3 or more residents playing

Time Allowed to Play ½ hour 1 hour 2 hours

3. Lending Library policies are as follows:

Passed by the SCSCAI Board of Directors on September 15, 2008

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a. SCSCAI libraries, located in the Sun Shadows and Mountain Shadows Community Centers, are available for members and residents only. b. There is no formal check-in or check-out for books, puzzles or magazines. c. Members and residents are requested to limit the number of books, puzzles and magazines checked out to four (4) and return them in a timely manner. d. The library is comprised of donated books, puzzles and magazines. e. A drop-off box is provided for returns and donations of books and periodicals. f. All donations are the property of SCSCAI and will be so identified. g. The library is operated by volunteers under the supervision of the Community Services Department. 4. Kitchens are provided for the convenience of members and residents. Members and residents are expected to clean the kitchens after use. No utensils, glassware, dishes, cookware, paper products or silverware are provided. Cooking or preparing food is not permitted in the community center kitchens. 5. Starbright Theatre a. Tickets to performances may be required. b. Holding of unoccupied seats is not permitted. c. No food or beverages are allowed in the theater. 6. Conference Rooms - The use of conference rooms is permitted upon approval of the Community Services Department and must be scheduled in advance. No food is permitted in the Pinnacle Conference Room. 7. The SCS administrative and membership offices are located in the Mountain Shadows Community Center. Membership information, annual dues payments and association cards are available at these offices. Offices of the Executive Director and the Controller are located in the administrative area. 8. Offices for association staff involved with room scheduling activity coordination, club administration, the Link and event planning are located at Desert Vista Community Center. C. Arts & Crafts Centers 1. The arts and crafts centers provide dedicated space for a diversity of activities. These activities operate independently with their own room monitors and hours of operation. Please refer to the “Link” for particulars. During club use, chartered clubs supervise the arts and crafts centers and their use is subject to rules established by the clubs. Each club has an "open time" when any member or resident may participate under a club monitor at a nominal fee set by the club. This is to offset the club's cost for maintaining equipment. 2. Among the activities and hobbies currently available: •

Art (oil and watercolor)

•

Model Building

•

Beading

Passed by the SCSCAI Board of Directors on September 15, 2008

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•

Photography

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Ceramics

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Quilting

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Computer

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Sewing

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Glass Fusion

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Silversmithing

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Lapidary

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Stained glass

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Jewelry

•

Woodworking

3. Additional activities may be offered upon formation of a chartered club. This can be done with the assistance of the Community Services Department. D. Fitness Centers 1. The association’s fitness centers are private facilities and all members and residents and their guests are required to check to validate their association cards at the monitor station. Equipment is available on a first-come, first-served basis. All equipment needed to participate in the desired activity may be checked out. The monitor will hold the association card until checked out equipment is returned. 2. Member or resident must be present to check in their guests to the facilities. Guests are permitted to participate in other activities and facilities in the same day with proper validation of member or resident’s card. 3. It is suggested that members and residents attend an Equipment Orientation Class prior to using exercise equipment. This class is designed to: a. Familiarize them with policies and procedures of the fitness centers. b. Instruct them as to the proper use of exercise equipment. c. Introduce them to the available health and fitness classes and fitness centers. 4. Activities in the Fitness Centers are not supervised. Therefore, all persons using equipment in the Center do so entirely at their own risk. Persons with known medical problems or are unsure of their physical condition are advised to consult with a physician before engaging in exercise activity. 5. Indoor activities currently available in the fitness centers: •

Racquetball court

•

Weight machines

•

Fitness equipment

Passed by the SCSCAI Board of Directors on September 15, 2008

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This page replaces Page 10 of the Rules and Regulations (passed in their entirety on 9-15-08). Addition of #9, which is part of Section D on the previous page, was approved by the BOD on 11-15-10.

•

Exercise classes

•

Swimming pools

•

Health spas and whirlpools

•

Table tennis

6. No person less than the age of 19 years may use the fitness centers. 7. Special rules for each fitness center and pool area are available at the monitor’s desk. 8. Members and residents are not permitted to bring in paid personal trainers and or physical therapists. SCSCAI contracted personal trainers are permitted. 9. Members and residents are permitted to be accompanied by a caregiver upon receipt of medical documentation, Fitness Director approval, registration with the Administration office and issuance of a temporary caregiver access card. E. Aerobics Rooms 1. Appropriate footwear must be worn when using the aerobics rooms. 2. Members and residents must be on the room schedule sheet in order to use the multi-purpose rooms. Use of rooms must be scheduled in advance at the Community Services office. F. Swimming Pools and Health Spas 1. The association swimming pools and health spas are private facilities. Members, residents and their guests must register at the monitor stations prior to entering the pool and spa area. 2. Use of the pools is at the user's own risk. No lifeguards are provided and the pool and spa areas are not equipped to accommodate severely disabled persons. Flotation devices and a rescue hook are available for emergency purposes only. 3. All persons are required to shower prior to entering the pools. If suntan lotions or similar preparations are used, showering is required again prior to use of pool. Showering after using the pools is highly recommended to remove residual chemicals and minerals. 4. Any person with open sores, infection, communicable disease, etc. is prohibited from using the pool and spa areas. 5. Extended exposure to hot water and vapors may be detrimental to the health of those with certain medical problems and certain implanted devices. If in doubt, consult your physician before using these facilities. 6. Swimsuits are required in all aquatic facilities. Street clothes and shoes are not allowed in the pool or spa. 7. No running, horseplay or diving into pools is permitted. 8. No loud sound-producing equipment will be permitted. Water classes may use equipment necessary to conduct their program. 9. A two (2) foot wide section of pool deck perimeter will be reserved for walking, safety, and emergency purposes. No obstruction of any kind will be permitted in this area. 10. Food or beverages may be consumed in outdoor areas provided with tables and chairs. No glass containers and chewing gum are permitted. No alcoholic beverages may be brought to the pool areas by members, residents or guests. Passed by the SCSCAI Board of 10 Directors on September 15, 2008

11. No oversize inflatable or flotation devices are permitted in the pool. Examples: automobile inner tubes, air mattresses, surfboards, floating chairs, etc. Small kick boards, life jackets, noodles and preservers are permitted. Pool toys are not permitted. 12. Lane ropes, wave suppressor, ramp and stair rails are to assist and guide pool users. They must be used only for their intended purposes. 13. At the outdoor pool during seasonal rain, thunder and lightning storms or other inclement conditions, the monitor will clear and close the outdoor pool until such inclement condition passes. 14. Lap lanes and the recreation areas may be used for swimming, walking or exercise classes. See local pool operating policies for usage and sharing guidelines. 15. Any member, resident or guest failing to abide by stated policy or safety rules as posted will be asked to leave the pool area. The monitor's judgment with respect to safety, decorum or sanitation will prevail. 16. Smoking is permitted only in designated areas of outside pools and spas. G. Facility Use by Children 1. Children are defined as anyone less than 19 years of age. 2. Children's hours have been established at certain designated pool areas. These hours are posted at the monitor stations and published in the “Link.” 3. Children must be accompanied by and be under the supervision of an adult at all times, and at no time be left unattended in the pool area. 4. Children must be a minimum of 3 feet 6 inches (42 inches) in height in order to be permitted in any part of the pool. 5. No children are permitted in the health spas. 6. Persons between the ages of five (5) and nineteen (19) years may participate in the activities listed below, provided a member or a resident accompanies them: •

Miniature golf

•

Horseshoes

•

Shuffleboard

•

Tennis

•

Bocce ball courts

•

Paddle tennis

•

Table tennis

H. Tennis Courts 1. The association’s tennis courts are private facilities and all members, residents and guests must sign in at the monitor station in the Fitness Center. Operating hours for this facility coincide with those posted in the Fitness Center.

Passed by the SCSCAI Board of Directors on September 15, 2008

11

This page replaces Page 12 of the SCSCAI Rules and Regulations approved by the Board of Directors on 04-22-14. 2. The courts will be locked when not in use. The monitor will issue a key to the court requested if not in use, and will hold the association card of the member or resident receiving the key. Upon returning the key, the member or resident’s card will be returned. Monitors will ensure the security of the courts. 3. All players must wear proper tennis attire and tennis shoes. 4. Food, drink, chewing gum and tobacco products are not allowed in the court enclosure. Nonalcoholic beverages in non-glass containers are permitted. 5. Except for Tennis Club events, there are no court reservations. First come, first play policy is in effect. Time limits are as follows: 

Singles play: 1 hour court time including warm-up



Doubles play: 1½ hours court time including warm-up



Rotation: 2 hour court time including warm-up



Clubs are limited to 4 times per year to reserve courts

6. Courts are provided for members, residents and their guests. Sign-in policy remains applicable and guests under age 19 must be accompanied by a member at all times. 7. Pets are not permitted inside the tennis courts. I. Softball Field 1. The softball field may be used by all members and residents except during those times reserved for the softball clubs, which are subject to approval by the CCOC. While use of the field is not limited strictly to softball, said use must be appropriate and not damage or jeopardize the condition of the field. 2. The field will be locked when not in use. The Pinnacle Fitness Center monitor will issue the key if not in use, and will hold the association card of the member or resident receiving the key until it is returned. J. Green Belts 1. Residents are not permitted to drive golf carts on the greenbelts. It is not only a safety issue but also causes damages to the Association’s grass, sprinkler heads, and irrigation system. 2. No dogs are permitted upon the green belts except as controlled on a leash or similar device by its owner. Each owner is responsible for the immediate removal and disposal of all solid waste of his/her pet. ARTICLE V: GENERAL MEMBERSHIP RULES AND GUIDELINES A. Chartered Clubs and Community Organizations 1. Chartered Clubs and Community Organizations (hereinafter referred to as “Clubs”) are organizations that are sponsored by the Sun City Summerlin Community Association, Inc., to foster and promote hobby, recreational and cultural pursuits among its members. Membership is limited to association members and residents in good standing. In sponsoring these organizations, the Association provides an opportunity for all members and residents to enjoy fellowship with others while pursuing similar interests. These clubs are organized under the Chartered Club Guidelines. These procedures have been adopted to provide an equitable and orderly procedure for club operations within the structure of the association's CC&Rs, Articles of Incorporation and Bylaws. 2. Charters (sponsorship) will be denied to any club which is or may be affiliated with any national, regional or other geographical entity even if the membership is limited to Sun City residents. Passed by the SCSCAI Board of Directors on September 15, 2008

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3. Chartered Clubs are an instrumentality of the Association and are covered under the association's insurance provisions. 4. Chartered Clubs are operated within the non-profit organization structure of SCSCAI. 5. Chartered Clubs must be open to all members and residents of the Association in good standing. 6. In order to be chartered, an organization must consist of at least 50 current members for non-craft activity and 25 for craft-type clubs. 7. The CCOC will coordinate, approve or disapprove all actions pertaining to Chartered Club policies and procedures subject to the approval of the Board of Directors. 8. Chartered Club use of association space, equipment and facilities is subject to availability. 9. Guests, including non-residents, may be accommodated by the Chartered Clubs as a member’s guest but that accommodation must be in accordance with the rules governing guest privileges. 10. Chartered Clubs are responsible for the equipment provided by the Association or purchased by the club. The Chartered Clubs should take reasonable and prudent measures to ensure the safety of their members. 11. All Chartered Clubs that are craft-oriented shall provide a schedule of open time when non-club members may use the facilities under the direction of the club. Open times shall be not less than 20% of the total available craft/shop operating time. 12. Documents, reports and records governing all Chartered Clubs are subject to examination by the Association at its discretion. 13. Upon dissolution, all club-owned equipment and supplies shall be transferred to the custody of the Association. B. Bulletin Board Policies 1. Social Hall and Fitness Center Bulletin Boards (flyers and easels) a. No announcements regarding any outside businesses or organizations will be posted on SCSCAI bulletin boards unless there is a contract for rental of a room. b. Size no larger than 8 ½” x 11" will be permitted. No posters will be permitted. c. Notices may be posted 30 consecutive days before a scheduled event and must be removed within 24 hours following the event. d. No religious writing or literature may be posted on bulletin boards. e. Only announcements for Chartered Club special events, or events held at association facilities, will be posted. f. The Association reserves the right to post announcements as deemed necessary. 2. Social Hall Posters a. A poster not to exceed 30” by 40” displaying announcements for special events or other room rentals may be displayed in the Mountain Shadows, Desert Vista, Sun Shadows and Passed by the SCSCAI Board of Directors on September 15, 2008

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Pinnacle Community Center lobbies--only on the day of the event and the poster must be removed immediately following such event. b. Any poster displayed on an easel must be professionally done with poster board or foam board backing to enhance sturdiness of display. Prior approval of SCSCAI management is required for any poster display. c. Association management reserves the right to post SCSCAI related activity announcements in accordance with the above criteria. 3. Community Want-Ad Board a. The want-ad board located near the Mountain Shadows craft rooms is for member and resident use only. b. Members and residents may use the want-ad board to advertise for sale, for rent, wanted or no-cost items (no soliciting allowed). c. Any ad for advertisement for sale, for rent, wanted or no cost items must be on card or paper not to exceed 5” by 7” inclusive of a picture and must be dated to be placed on the want ad board. There is no charge for placement of such ads. d. Ad must state the price(s) and phone number(s) and be presented to the Mountain Shadows Social Monitor for placement. e. Ads may remain posted on the bulletin board for a maximum period of 60 days. Ads may be extended or renewed for an additional 30 day period upon contact with the social hall monitor within 24 hours of the expiration of the original ad A new expiration date must be indicated and initialed by the social monitor prior to reposting of the ad. If an item is sold, or there is a change resulting from the ad before the expiration date, you must contact the monitor in person to have it removed. C. Room Scheduling Policies In order to accommodate the large number of members and residents who utilize the association's meeting facilities, it is necessary to properly schedule these activities. Use of meeting rooms without prior notice and approval is prohibited. The room schedule is established and maintained by the Community Services Department as part of the delegated responsibilities of the association's Executive Director, and requests for room reservations must be directed to the Community Services Department. In establishing schedules, the Community Services Department adheres to the following policies and priorities. 1. Association's Board of Directors and Standing Committees - Any meeting of the association's Board of Directors, as well as all standing committees of the Board, has priority over all other meetings. These meetings will be posted in the “Link”, on appropriate association bulletin boards, Sun City Website and by e-News bulletin. 2. Chartered Club Meetings: a. All regularly scheduled meetings of chartered clubs will be coordinated through the office of the Community Services Department. Any variation from the regular schedule must be pre-approved by the Community Services Director.

Passed by the SCSCAI Board of Directors on September 15, 2008

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b. In addition to regularly scheduled meetings, Chartered Clubs may schedule up to two special events in each calendar year with no rental charges. If any admission is charged, the Association is entitled to receive 25% of the admission price. Events may be held without charge if a club is sponsoring an activity that is open to the general membership and is designed to inform and communicate issues of general interest. 3. Special Events and Meetings - All special events, classes and meetings sponsored by the Association will be scheduled by the Community Services Department. These events will be listed in the “Link”, on the SCSCAI official Website, e-News Bulletin and posted in the appropriate manner. 4. Non-Chartered Activities - A request for meeting space for a non-chartered activity can be provided. These events will be scheduled by the Community Services Department upon approval of a room reservation contract which establishes the rates and appropriate charges for the use of association facilities. Rental contracts for regularly scheduled activities are subject to annual renewal and the current schedule of rental fees and policies as established by the Board of Directors. 5. Private Parties – Members and residents in good standing are permitted to lease association facilities contingent upon availability and subject to the terms and conditions of the SCSCAI Room Rental Policy. 6. Commercial Activities - The Association does permit rental of rooms to outside agencies for seminars, meetings, etc. The Association reserves the right to deny facility use as it deems appropriate. 7. Room Charges - Chartered Clubs and all association sponsored events will not be charged for the use of association facilities, except that clubs may be required to reimburse the Association if a special event incurs extraordinary costs for set-up, cleaning, etc. Non-chartered activities and private parties are subject to the current schedule of rental fees and policies as approved by the Board of Directors. The Community Services Department is responsible for the rental of association rooms. D. Fund-Raising Events 1. All fund-raising special events must be approved by the Community Services Director not less than 90 days in advance. 2. The Community Services Director has the right to deny any fund-raising special events which are inconsistent with policy. 3. All State of Nevada Gaming Regulations apply to the chartered or non-chartered clubs when fund-raising occurs. E. Chartered Clubs 1. Must follow association charter rules. 2. Room rates are approved by the Board of Directors and maintained by the Community Services Department. F. Parking at SCSCAI Facilities

Passed by the SCSCAI Board of Directors on September 15, 2008

15

This page replaces Page 16 of the Rules and Regulations (passed in their entirety on 9-15-08). The revision of “G. Garage Sales” is noted below and was passed by the Board of Directors on 03-07-11. 1. Sun City Summerlin Community streets are public streets and are owned and maintained by the City of Las Vegas and are subject to all Municipal Vehicle Codes. Residents may report any violations to the City of Las Vegas Parking Enforcement at 702-229-6615. 2. The parking lots at the common area facilities are private property. These areas are owned, regulated and maintained by the Sun City Summerlin Community Association and are provided for parking vehicles utilizing the facilities. Residents are prohibited from displaying any signs for the purposes of selling any vehicle or merchandise in or upon any parking lot. 3. The provisions of this Section do not prohibit the owner of a vehicle which is being advertised for sale from parking the vehicle in the parking lot if the circumstances indicate that the vehicle is being parked in connection with the use of the facility to which the parking lot pertains and not for the purpose of displaying the vehicle for sale. G. Garage Sales Garage sales are not permitted in Sun City Summerlin except for: 1. The SCSCAI annual garage sale held at Mountain Shadows in the spring. 2. An All-Sun City Summerlin Garage Sale at individual homes that shall take place on a pre-determined weekend in the fall. The All-Sun City Summerlin Garage Sale/Clean Up Sale will be a two (2) day event and the event will be a one-time trial basis. 3. Two-day sale due to moving or death of a resident and a permit is required prior to holding the sale. 4. All unsold items must be removed from the driveway, yards, etc. immediately upon close of sale each day. Any remaining items intended for pick up by a liquidation company and/or charity must be stored inside residence until day of scheduled pick up. ARTICLE VI: SUN CITY SUMMERLIN GOLF RULES A. Eligibility to Play The Sun City courses are public courses. B. Golf Course Rates and Fees All rates and fees are subject to change and are approved by the Board of Directors or by the Administrative Staff with the permission of the Board. The following is a list of the types of charges that may be incurred: 1. Annual Golf Pass a. An annual golf pass may be purchased by any Sun City Summerlin member or resident, who has not previously exercised option C below, holding a valid association card which entitles the holder to play for annual pass green fee rates. The annual golf pass is valid for one (1) year from the date of issue. This pass will not be issued for less than one (1) year, and is valid only for the person to whom it is issued and cannot be loaned. [Continued on backside – Page #16a] Passed by the SCSCAI Board of Directors on September 15, 2008

16

This page replaces Page 16 of the Rules and Regulations (passed in their entirety on 9-15-08). The revision of “G. Garage Sales” is noted below and was passed by the Board of Directors on 03-07-11.

Continued from Page 16 regarding Annual Golf Pass… b. Validation of purchase of an annual golf pass will be encoded onto the association card. This card will be presented at the pro shop by all residents and will be electronically read by pro shop personnel when signing in to play. c. Refunds of the annual golf pass fee will be granted in case of a member’s death or in cases involving physical disability of the golf member which prevents the member from golf participation. In the latter situation, a written request accompanied by a letter from the physician must be submitted to the Director of Golf. Refunds will be prorated from the date of the request or death of the member, based on the unexpired portion of the pass.

ANNUAL GOLF PASS INFORMATION CONTINUED ON PAGE 17

Passed by the SCSCAI Board of Directors on September 15, 2008

16 (a)

2. Daily Access Fees An approved daily access fee will be charged for play. A current schedule of daily access fees is posted in each pro shop. 3. Driving Range Fees A fee will be charged for range balls to be used only on the driving range. 4. Motorized Golf Carts All golfers are free to use association carts or their personal carts. Use of association carts is included in the access fees. 5. Lessons For individual or group lessons, contact the golf pro shops at Palm Valley, (702) 363-4373, Highland Falls, (702) 254-7010, or Eagle Crest, (702) 240-1320. C. Rules and Policies 1. Dress Code. Proper golf attire must be worn at all times. a. Pants – Appropriate attire for ladies and gentlemen are slacks, dress jeans, golf shorts within 4” from the top of the knee. b. Women are permitted to wear dresses or skirts as long as they meet the length requirements. c. No cut-offs, sweat pants, bathing suits, tennis shorts, athletic shorts and pants with holes or in need of repair will be allowed on any golf course. d. Shirts – Golf shirts with collars or crew neck styles are acceptable. All shirts must have sleeves. No tee shirts, tank tops, fish net or shirts that contain offensive language or symbols will be allowed. e. Blouses – Women may wear sleeveless tops. f. Shoes – Soft spike golf shoes or tennis shoes are required on all three (3) courses and practice areas. Use of any other type of shoes must be approved. 2. No children less than the age of ten years old will be permitted on the golf course or practice area unless they are playing golf. In the event that they are playing golf, they will be charged for the appropriate junior rate. Children ten and older may be permitted to ride along with a responsible adult and charged the appropriate cart fee. 3. Recycled water is used for irrigation and in the ponds. No fishing and/or swimming are permitted in the golf course lakes. Golf balls not easily retrievable from the shoreline must be abandoned and become the property of the Association. 4. Range balls are restricted to the driving range only and are not to be removed from the course. 5. Those not participating in golf activities are not permitted on the golf course at any time. Walking, jogging and walking of pets are prohibited. This includes entering from private houses or yards. This rule is for your personal safety. Passed by the SCSCAI Board of Directors on September 15, 2008

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6. Motorized golf carts are required for all golfers with the exception of Eagle Crest where walking is permitted. 7. Only two (2) bags and two (2) persons are allowed per cart. 8. Only two (2) carts are permitted on a fairway by each group at any one time. 9. Carts may be restricted to cart paths at the discretion of the Director of Golf and/or the Director of Golf Course Maintenance. 10. The 90-degree rule must be observed from cart path to ball and back. 11. Carts not on a cart path must be kept at least 30 yards from all greens and tees. 12. Golf carts must enter/exit the golf courses at the pro shops only. No entry is allowed between houses, via greenbelts or on cart paths at street crossings. Travel to/from the pro shops via the golf course is prohibited. 13. Trespassing on private property adjacent to the golf courses is not permitted. 14. USGA Rules are in effect. 15. The Association has a golf disability policy which allows handicapped golfers to take golf carts closer to the green. See Policies & Procedures Document 3.5.3. 16. Golfers are responsible for damage to property caused by an errant golf ball. D. Tee Time Reservation Tee times are assigned by a staff member in a manner that is most equitable to all golf members. A computerized system has been installed which selects tee times automatically, taking into account the golf member’s recent reservation history. Details are available at each pro shop. E. Tee Time Cancellation The failure of a Sun City Summerlin resident to show for an assigned tee time or to cancel the assigned tee time prior to a specified time (by 3 p.m. the day prior to the assigned tee time) will result in the imposition of applicable penalties. F. Golf Course Etiquette and Pace of Play 1. All golfers must register in the pro shop prior to commencing play, regardless of membership status. 2. Rake sand traps to a smooth surface and replace rake in trap in a position which is parallel to the fairway. 3. Fix ball marks on greens and replace divots on tees. Fairway divots should be filed with sand and seed available on all carts. 4. Practicing on the golf course is allowed only in pre-designated practice areas. Pitching is not allowed on the putting greens but only in designated pitching/chipping green areas. 5. If the hole in front of you is open, allow faster players to play through. To speed up play, groups should hit when ready. Abandon lost balls without undue delay, and conduct continuous putting.

Passed by the SCSCAI Board of Directors on September 15, 2008

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6. A single player has no standing on the course and shall give way to all others. 7. Do not wave up following golfers on par 3 holes. 8. Allow a maximum of five (5) minutes when looking for a lost ball. 9. Only soft spikes or tennis shoes are permitted to be worn by members and guests on the golf courses. 10. Fivesomes are prohibited unless approved by the Director of Golf. 11. The Director of Golf or his designee shall have the authority to enact and enforce any additional rule or policy which, in his opinion, contributes to good golf etiquette and protects the safety of the golfers and spectators. G. Guest Policy Members are required to register their guests in person and have their membership cards validated. As a general rule, guests should play with their sponsors. All guests must be accompanied to the pro shop by their sponsors and be registered. Once sponsorship is established, the guests may be allowed to play without being accompanied by their sponsors. Members are prohibited from charging guests for use of the golf course or private golf carts and shall not personally profit from their membership in the facilities in any way. Residents are responsible for the actions of their guests. H. Working Resident Policy Residents of Sun City Summerlin who are employed on a regular Monday-through-Friday basis may apply for a special weekend permit. This permit will give priority to residents in this category in the computerized reservation system. ARTICLE VII: ENFORCEMENT OF THE GOVERNING DOCUMENTS As used herein, the term “governing documents” means the CC&Rs, Articles of Incorporation, the Development Standards, the Bylaws and the Rules and Regulations. The following paragraphs detail the complaint procedure and the sanctions that may be imposed upon members and residents who are found to have violated the CC&Rs, the Development Standards, the Rules and Regulations or the Age Restriction Policy. These sanctions include for members, suspension of membership, loss of privileges and fines. For residents, they include loss of privileges and fines. There is also information on hearing panels. A. Complaints. 1. If any member or resident believes that another member or resident of the Association is failing to maintain their property in compliance with the CC&Rs and Development Standards, or is violation of the Age Restriction Policy, they may file a complaint with the Community Standards Office. This office works with the Deed Restriction Enforcement Committee (DREC) as a standing committee of the Association. It is the responsibility of the DREC to enforce the governing documents of the Association for residential and commercial developments and the Age Restriction Policy in Sun City Summerlin. Each complaint is reviewed for sufficiency to determine whether there is a violation of a specific governing document and whether there is reason to believe that a violation has occurred or is occurring. If a violation has occurred, or is occurring, then a formal complaint is presented to the DREC. When the complaint is presented to Passed by the SCSCAI Board of Directors on September 15, 2008

19

the DREC, it then forms a three (3) member Hearing Panel from among its committee members to hear the case and render a decision. 2. Complaints involving violations of the Rules and Regulations should be filed with the office of the Executive Director who will review the complaint as outlined above. If there is reason to believe that a violation has occurred or is occurring, he will refer it to the Board who will determine whether to appoint a hearing panel or hear the complaint. B. Sanctions. 1. The Board of Directors reserves the right to fine or suspend privileges of members or residents for failure to comply with the provisions of the CC&Rs, the Articles of Incorporation, Bylaws, Development Standards or Rules and Regulations of the Association. The Board may also suspend membership for members. 2. Suspension of Membership - A membership may be suspended for a period not to exceed sixty (60) days for violations of the Rules and Regulations after a hearing before the Board of Directors. A membership may be suspended for successive sixty (60) day periods if any infraction is not corrected during any prior sixty (60) day suspension period. The hearing must be held within a reasonable time after the discovery of the violation. 3. Fines and/or Loss of Privileges – A member or resident may by sanctioned by loss of privileges at all facilities or a specific facility or type of facility if found to have violated the Rules and Regulations. A member or resident may be fined for violation of the CC&Rs or Rules and Regulations as shown in Section C. 4. Suspension for Delinquency - A member may be suspended for any period during which any assessment against his/her lot remains delinquent. A member suspended for nonpayment of dues and/or fees will automatically be reinstated upon payment of such dues and fees plus interest and late charges. C. Hearing Panels. 1. The Board may appoint a hearing panel of not less than three (3) members to hold hearings on alleged violations of our Rules and Regulations. A hearing panel may impose fines and suspend privileges of members and residents to use specific common area facilities after determining that a violation has occurred. If the hearing panel determines that suspension of membership (applies to members only) is the appropriate penalty, then the matter shall be referred to the Board of Directors. 2. A member or resident must be given at least fifteen (15) days prior notice of a hearing before the Board of Directors or a hearing panel, which notice shall state the actions or conduct of the member giving rise to the proposed suspension. Notice of hearing will be by certified mail sent to the last address of the member or resident shown on the association’s records. The hearing will be conducted according to the rules of the Association and in compliance with NRS116. A member or resident found to be violation of the Rules and Regulations, the CC&Rs or the Development Standards by a hearing panel may file an appeal to the Board of Directors. A decision of the Board will be final. D. Fines The listing herein of specific provisions for which fines may be imposed for violation is not all inclusive but rather is intended only to be exemplary only. Fines not to exceed $100 per Passed by the SCSCAI Board of Directors on September 15, 2008

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violation may be imposed for violation of governing document provisions not specifically listed. Failure to cure or correct a violation within fourteen 14 days after a fine is imposed shall be deemed a “continuing violation” and thereafter, an additional fine may be imposed for each seven-day period or portion thereof if the violation is not cured. Such additional fines may be imposed without notice or an opportunity to be heard up to the maximum amount authorized by NRS116. Any past due fine accrues interest at a rate established by the Association, but not in excess of the legal rate per annum (NRS116). In addition, the violator may be charged collection costs as authorized by NRS116.

SCSCAI Schedule of Fines and Sanctions Violation Age Restriction (Residential Only) Air Conditioning/ Fans/ Evaporative Coolers Antenna Mounting Architectural Character Building Modifications Clothes Drying Construction Penalty Excessive Concrete Golf course Grading Lot/Drainage Hazardous Activities/Materials Landscape Maintenance Landscape Accessory Features Lighting

CC&Rs

Res / Non-Res Development Standards

SCSCAI Age Restriction Policy

Article IV 2 (a)

Article IV, 2 (k) Article X, 3 Article XI, 2 Article IV, 2 (m) Article X, 3

Other

Sec III, B, 2 Sec IV, C

(R) (NR)

Sec III, B, 3 Sec IV, C Sec III, A Sec IV, A Sec II, A Sec IV, A Sec III, F, 1, a)

(R) (NR) (R) (NR) (R) (NR) (R) NRS 116

Sec III, C

(R)

Sec III, A, 2, d) Sec IV, D, 3

(R) (NR)

Sec III, E Sec IV, B

(R) (NR)

Sec III, E, 4

(R)

Sec III, A, 15 Sec III, E, 4 (2)

(R) (R)

Article IV, 4 (a) Article XI, 2 Article IV 2, (h) Article IV, 2 (g)

Article IV, 2 (h)

SCSCAI Rules and Regulations

Code of Conduct Outside Storage/Sheds Article IV, 4 (f) Overhead Article IV, 2 (t) Encroachment Pool and Spa Repair of Building Article IV, 2 (i) Security Window Passed by the SCSCAI Board of Directors on September 15, 2008

Sec III, F, 1

(R)

Sec III, B, 6

(R)

Sec III, A, 13, c)

(R)

21

Signage

Article IV, 2 (o)

Solar Power Equipment Trash

Article IV, 2 (l)

Walls and Fencing

Article IV, 2 (u)

Sec III, H Sec IV, F

(R) (NR)

Sec III, 5

(R)

Sec III, I Sec III, J-K Sec IV, D

(R) (R) (NR)

Revision History REVISION

REV DATE

DESCRIPTION

0

01 July 2004

Initial Draft of Rules adopted September 29, 2003

1

17 Nov 2004

Initial Issue

2

08 May 2006

3 4

15 Sept 2008 08 Oct 2008 11 Nov 2010

Approved by the Board of Directors Sent to Unit Owners: Rev: VII. Non-Compliance Complaints Add: VIII. Suspension of Membership and Add: IX Schedule of Fines and Sanctions Revised and approved by the Board of Directors Mailed to Unit Owners Page 10 – Fitness Center Revised

5

24 Jan 2011

Page 16 Revised – Garage Sales

6

07 Mar 2011

7

20 June 2011

Page 16 Revised – Garage Sales and Page 16(a) Added due to overflow of wording Page 16 Revised – Garage Sales [Page 16(a) remained as is]

Passed by the SCSCAI Board of Directors on September 15, 2008

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