Pittsburghs #1 Luxury Home Builder

IRONWOOD II
Homeowners Association Documents All information is deemed reliable but not guaranteed

NOTICE: Upon receipt of this packet, the following two (2) pages are to be completed and executed by the Purchaser and then returned to the selling agent. The remainder constitutes the Public Offering Statement to be retained by the Purchaser.

PURCHASER'S ACKNOWLEDGEMENT
Purchasers should read this document carefully for their own protection

PLANNED COMMUNITY:

IRONWOOD II, A PLANNED COMMUNITY ____________________________________ ____________________________________ ____________________________________

NAME/S OF PURCHASER/S:

ACKNOWLEDGEMENT I/WE, THE ABOVE LISTED PURCHASER/S (HEREINAFTER "PURCHASER") OF A LOT IN THE ABOVE NAMED PLANNED COMMUNITY (HEREINAFTER "THE COMMUNITY"), BY SIGNING BELOW, HEREBY ACKNOWLEDGE/S THE FOLLOWING: A. PURCHASER HAS ENTERED INTO A CONTRACT WITH NVR, INC., TRADING AS HEARTLAND HOMES OF PA AND/OR RYAN HOMES (HEREINAFTER "THE BUILDER") FOR THE CONSTRUCTION OF A RESIDENTIAL DWELLING UNIT ON THE FOLLOWING LOT WITHIN THE COMMUNITY: LOT/UNIT NUMBER:____________________. ADDRESS:_______________________________________________________ ____________________________________________________. B. THE NAMED DECLARANT OF THE COMMUNITY IS WOODEN IRONS, L.P. ("DECLARANT"). C. THE DECLARANT ONLY WARRANTS THOSE STRUCTURES CONSTRUCTED, MODIFIED, ALTERED, OR IMPROVED BY OR ON BEHALF OF THE DECLARANT. D. DECLARANT MAKES NO WARRANTY WITH REGARD TO THOSE STRUCTURES, DWELLINGS, AND/OR IMPROVEMENTS CONSTRUCTED BY THE BUILDER.

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E. PURCHASER SHALL LOOK SOLELY TO THE BUILDER FOR ANY ACTION BASED UPON DEFECTS RELATING TO THE DWELLING ITSELF. F. THE ONLY WARRANTY PROVIDED BY THE BUILDER IN RELATION TO IMPROVEMENTS TO THE ABOVE-REFERENCED LOT IS DEFINED IN THE CONTRACT BETWEEN PURCHASER AND THE BUILDER. G. RESPONSIBILITY TO PAY ASSOCIATION DUES FOR ALL LOTS COMMENCES FOLLOWING CONVEYANCE OF THE COMPLETED HOME FROM THE BUILDER TO THE HOMEOWNER AFTER ISSUANCE OF AN OCCUPANCY PERMIT OR OCCUPANCY, WHICHEVER FIRST OCCURS.] H. PURCHASER, BY SIGNING BELOW, ACKNOWLEDGES RECEIPT OF THE FOLLOWING DOCUMENTS, ON OR BEFORE THIS DATE: 1. 2. 3. 4. 5. THE PLANNED COMMUNITY NARRATIVE OF THE COMMUNITY, THE DECLARATION OF THE COMMUNITY, THE BYLAWS OF THE HOMEOWNERS' ASSOCIATION, THE RULES AND REGULATIONS OF THE COMMUNITY, AND ANY OTHER DOCUMENT RELATED TO THE FORMATION AND/OR THE REGULATION OF THE COMMUNITY.

WITNESS/ATTEST: By: Name: Date:

WITNESS/ATTEST: By: Name: Date:

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NOTICE TO BUYERS Wooden Irons, L.P. (Declarant) has created the planned community known as Ironwood II. As such, Declarant filed a Declaration of Planned Community, a copy of which is attached, which establishes certain rights and obligations affecting everyone who purchases a unit (lot) in Ironwood II. Declarant also prepared all lots for construction, and installed all infrastructure (roads, utility installations, stormwater drainage system including detention ponds, lighting) and prepared the entranceway and any signage. Declarant warrants the structural integrity of all work that it did in Ironwood II for a period of two (2) years from the date of the sale of the first unit in Ironwood II. DECLARANT DISCLAIMS ALL OTHER WARRANTIES WITH RESPECT TO IRONWOOD II, INCLUDING IMPLIED WARRANTIES OF HABITABILITY, MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. All home construction was or will be completed by NVR, INC., TRADING AS HEARTLAND HOMES OF PA AND/OR RYAN HOMES or another builder who has purchased the lot from Declarant. If you have a problem with your home, you need to look to the warranties provided by the builder. The Declarant has formed a homeowners association to own and maintain the Common Facilities in Ironwood II, and to maintain other portions of Ironwood II, as described in the Declaration. The Common Facilities to be maintained by the Association include the entranceway, any signage, any entranceway lighting and open space. In addition, until dedicated to and accepted by Cecil Township, the Common Facilities will include all storm sewers and stormwater detention facilities located in either: i) public rights-of-way; and ii) the stormwater management drainage easement (including detention pond) in the open space. The Association will also be responsible for all snow removal from the streets until the roadways are accepted by Cecil Township. The association is known as the Ironwood II Homeowners Association. When you purchase a unit in Ironwood II, you automatically become a member of that Association. The Association is responsible for paying all costs associated with the Common Facilities and the other maintenance responsibilities noted above. It may impose assessments for those costs and expenses incurred because of its ownership, management, administration or regulation of the Common Facilities and payment of those other maintenance expenses. The assessments will be imposed against all units equally, in accordance with a budget prepared by the Association annually. A copy of the proposed budget for calendar year 2014 is attached, based on thirty-five (35) units. Any unpaid assessments become an automatic lien against the property which was assessed, under the Uniform Planned Community Act, 68 Pa.C.S.A. Sec. 5101 et seq. The Association is governed by Bylaws. A copy of those Bylaws are attached. YOU HAVE SEVEN (7) DAYS TO CANCEL YOUR AGREEMENT OF SALE AFTER RECEIVING THIS NOTICE AND THE ATTACHED DOCUMENTS WITHOUT LIABILITY.
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PUBLIC OFFERING STATEMENT FOR IRONWOOD II, A PLANNED COMMUNITY

Prepared by: Sebring & Associates 339 Haymaker Road Suite 1101, Parkway Bldg. Monroeville, PA 15146 (412) 856-3500 www.sebringlaw.com
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IMPORTANT NOTICE PURSUANT TO 68 Pa.C.S. 5402(A)(13): (i) UNDER THE LAW, WITHIN SEVEN (7) DAYS AFTER RECEIPT OF A PUBLIC OFFERING STATEMENT OR AN AMENDMENT TO THE PUBLIC OFFERING STATEMENT THAT MATERIALLY AND ADVERSELY AFFECTS THE RIGHTS OR OBLIGATIONS OF THE PURCHASER, THE PURCHASER, BEFORE CONVEYANCE, MAY CANCEL ANY CONTRACT FOR PURCHASE OF A LOT FROM A DECLARANT. IF A DECLARANT FAILS TO PROVIDE A PUBLIC OFFERING STATEMENT AND ANY AMENDMENTS TO A PURCHASER BEFORE CONVEYING A UNIT, THE PURCHASER MAY RECOVER FROM THE DECLARANT DAMAGES AS PROVIDED IN SECTION 5406(C) (RELATING TO PURCHASER'S RIGHT TO CANCEL). PURSUANT TO SECTION 5406(C) OF THE ACT, IF A DECLARANT FAILS TO PROVIDE A PURCHASER TO WHOM A LOT IS CONVEYED WITH A PUBLIC OFFERING STATEMENT AND ALL AMENDMENTS THERETO AS REQUIRED BY SUBSECTION (A), THE PURCHASER, IN ADDITION TO ANY OTHER RELIEF, IS ENTITLED TO RECEIVE FROM THE DECLARANT AN AMOUNT EQUAL TO 5% (FIVE PERCENT) OF THE SALES PRICE OF THE LOT UP TO A MAXIMUM OF $ 2,000 (TWO THOUSAND DOLLARS) OR ACTUAL DAMAGES, WHICHEVER IS THE GREATER AMOUNT. A MINOR OMISSION OR ERROR IN THE PUBLIC OFFERING STATEMENT OR AN AMENDMENT THERETO THAT IS NOT WILLFUL SHALL ENTITLE THE PURCHASER TO RECOVER ONLY ACTUAL DAMAGES, IF ANY. IF A PURCHASER RECEIVES THE PUBLIC OFFERING STATEMENT MORE THAN SEVEN DAYS BEFORE SIGNING A CONTRACT, THE PURCHASER CANNOT CANCEL THE CONTRACT UNLESS THERE IS AN AMENDMENT TO THE PUBLIC OFFERING STATEMENT THAT WOULD HAVE A MATERIAL AND ADVERSE EFFECT ON THE RIGHTS OR OBLIGATIONS OF THAT PURCHASER.

(ii)

(iii)

(iv)

Purchasers should read this document carefully for their own protection

PLANNED COMMUNITY: LOCATION OF PLANNED COMMUNITY:

Ironwood II, a Planned Community Township of Cecil, County of Washington, Commonwealth of Pennsylvania

NAME AND ADDRESS OF DECLARANT:

Wooden Irons, L.P., a Pennsylvania limited partnership 772 Pine Valley Drive Pittsburgh, PA 15239

EFFECTIVE DATE OF PUBLIC OFFERING STATEMENT:

February 1, 2013

Pennsylvania law requires that the original seller of the Planned Community Lots disclose fully and accurately the characteristics of the Lots being offered for sale. This Public Offering Statement is the means by which such disclosure is to be made and is given in compliance with Section 5402 of the Pennsylvania Uniform Planned Community Act, 68 Pa.C.S. 5101 et seq.

TABLE OF EXHIBITS

EXHIBIT

DOCUMENT

1 2 3 4 5

Purchaser's Acknowledgment Declaration of Planned Community Bylaws Initial Rules and Regulations Sample Budget for Owners' Association

IMPORTANT INFORMATION TO BE CONSIDERED WHEN READING THIS PUBLIC OFFERING STATEMENT: Pennsylvania law requires the original seller of Planned Community Lots to disclose fully and accurately certain characteristics of the Planned Community Lots being offered for sale. This Public Offering Statement is the means by which such disclosures are to be made. The statements contained herein are only summary in nature. Prospective purchasers shall refer to all references and Exhibits. Written or oral representations of an Approved Builder, meaning a construction contractor, other than the Declarant, for which the Declarant, or the Declarant's designee has provided written approval regarding the construction of improvements upon one or more of the Lots, cannot be relied upon as correctly stating the representations of Wooden Irons, L.P., a Pennsylvania limited partnership (hereinafter referred to as the "Declarant"). Refer to this Public Offering Statement and its Exhibits for correct representations.

Prepared by: Sebring & Associates 339 Haymaker Road Suite 1101, Parkway Bldg. Monroeville, PA 15146 (412) 856-3500 www.sebringlaw.com
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IRONWOOD II, A PLANNED COMMUNITY PUBLIC OFFERING STATEMENT ARTICLE I INTRODUCTION Wooden Irons, L.P., a Pennsylvania limited partnership, hereafter the "Declarant," presents its proposal for Lot ownership of certain real estate located in the Township of Cecil, County of Washington, Pennsylvania. The real estate will constitute a Planned Community known as IRONWOOD II, a Planned Community, (the "Planned Community"). Lots may be offered by the Declarant or Approved Builders, for sale to the public. Approved Builders shall mean those builders who have been approved in writing by the Declarant to construct dwellings on Lots or make other improvements on Lots or within the Planned Community. Declarant has consented to NVR, Inc., trading as Heartland Homes of PA and/or Ryan Homes as an Approved Builder. Each purchaser of a Lot, or "Owner," is a member of IRONWOOD II HOMEOWNERS' ASSOCIATION (the "Association"). This Public Offering Statement consists of two parts, a narrative portion and an Exhibit portion. The Exhibits include legal documents that are required for the creation and operation of the Planned Community. The narrative portion of the Public Offering Statement is intended to summarize the significant features of the Exhibits and also to present other information of importance to the prospective purchaser. In the event of any inconsistency between the Exhibits and the narrative, the provisions of the Exhibits will govern.

ARTICLE II PLANNED COMMUNITIES IN GENERAL The term "planned community" refers to a form of real estate ownership. A planned community is real estate with respect to which a person, by virtue of ownership of an interest in any portion of the real estate, is or may become obligated, by covenant, easement, or agreement imposed on the owner's interest, to pay an amount for insurance, real property taxes, maintenance, repair, improvement, management, administration, or regulation of any part of the real estate other than the portion or interest owned solely by the person. As used herein, the term "Planned Community" shall mean Ironwood II, the Planned Community created by the Declaration as hereinafter described. A Lot is a lot of ground, which has been improved by the Declarant by grading the buildable portion of the Lot for construction of a single family freestanding residence. Those areas of the Community which are intended for the joint use of all future residents of the Community will be transferred to the Homeowners Association formed by the Declarant, whose membership will consist of all owners of Lots in the Community, including the Declarant as to Lots it owns, builders who purchase a Lot with the intent of erecting a single family residence thereon for resale, until the Lot and residence are sold, and Lot Owner who purchase a Lot with the intent of living in the residence constructed or to be constructed on that Unit. The Declaration contains certain restrictions on the design of and materials to be used in construction of single family residences on a Lot, including the right of a committee named in the Declaration to approve all designs for such residences All building plans for improvements shall be approved in writing by Declarant and Cecil Township prior to commencement of any construction activities on a Lot. Only builders who have been approved in writing by the Declarant ("Approved

Builders") are permitted to construct dwellings or Lots or make other improvements on Lots or within the Planned Community. Only to the extent that a certain provisions within an agreement dated November 2, 2005, and entered into between NVR Inc. d/b/a RYAN HOMES and the SOUTHPOINTE PROPERTY OWNERS' ASSOCIATION, INC. (the SPOA Agreement), pertain to the Planned Community (or to the extent that Declarant shall agree that the SPOA Agreement shall apply pursuant to an agreement to merge the Planned Community), all building plans shall comply with the applicable requirements of the SPOA Agreement. A Lot Owner is, at the same time: i) the sole owner of the Unit; and ii) one of many mutual owners through membership in the Association of the Common Facilities which all Members of the Association may use and enjoy along with other Members. Common Facilities are all portions of the Community which are not included within the Lots but are intended for the use and benefit of all Lot Owners. As members of the Association, Lot owners will have the right to use, and the obligation to pay the costs of maintaining, all Common Facilities developed in the Planned Community, and title to which will be transferred to the Association. Each Units share of the costs of maintaining the Common Elements will be referred to as its Percentage Interest, and is equal for all Lots. It is this coupling of exclusive ownership of a Lot with the shared benefits and obligations associated with the Common Elements which distinguishes ownership in a planned community from other forms of property ownership. Each Lot Owner must pay his or her share of the expenses of operating, maintaining and insuring all of the Common Elements, hereinafter referred to as the Common Expenses, subject to the provisions detailed herein. Each Lot which has been occupied at least once will be assessed a share of the Common Expenses equivalent to the Percentage Interest of that Unit.

Common Elements include: (i) "Common Facilities" which is any real estate within the Planned Community, owned by the Association, and maintained, improved, repaired, replaced, regulated, managed, insured or controlled by the Association; (ii) "Limited Common Elements" are those portions of real estate within the Planned Community and owned by the Association, but designated for use by the Owner(s) of one (1) or more, but fewer than all Lots, to be maintained, improved, repaired, replaced, regulated, managed, insured, or controlled by the Owner or Owners whose Lot is appurtenant to such Limited Common Elements; and (iii) "Controlled Facilities" which is any real estate within the planned community, whether or not part of a Lot, that is not a Common Facility but is maintained, improved, repaired, replaced, regulated, managed, insured, or controlled by the Association. ARTICLE III GENERAL DESCRIPTION OF THE PLANNED COMMUNITY PROPERTY AND LOTS Description of the Planned Community. The Declaration, a copy of which is attached as Exhibit "2" to this Public Offering Statement, is the legal document that creates the Planned Community. The Declaration becomes effective when recorded in the Recorder's Office of Washington County, Pennsylvania. The Declaration establishes the boundaries of the Planned Community as a whole. In addition, the Declaration establishes special property rights within the Planned Community, such as Common Elements, comprised of Common Facilities and Controlled Facilities, and easements (see below), as well as the obligations of the individual Owners with respect to such property rights. Incorporated into the Declaration is the recorded Plan known as Ironwood II Residential Land Development Plan, as recorded in the Recorder's Office of Washington County, Pennsylvania, as set forth in the Declaration, as the same may be

amended from time to time (the "Plats and Plans"), on which the Lots are shown with their respective assigned Lot designation numbers as well as rights of way, and Common Elements. As of the effective date hereof, the Planned Community property will initially consist of thirty-five (35) Lots, Parcel A, Parcel B, the fifty foot (50) Right of Way known as Graystone Drive and the fifty foot (50) Right of Way known as Evandale Road. The Lots are numbered from 1 through 35 as shown on the Plan. The number of residential dwellings is subject to change. Declarant will: i) where needed as shown on the grading plan approved by the

Municipality, cause the buildable area of the Lots shown on the Plats and Plans to be graded for construction of single family dwelling houses by the Lot Owners; ii) establish a storm water drainage system for the Community; iii) develop and pave all streets connecting the Units within the Community; and iv) install or secure the installation of telephone, cable television, water, gas, electricity and sanitary sewage facilities to which each Lot may connect under the rules and regulations established by each utility or service provider. Declarant will provide a list of Approved Builders with whom Unit Owners may contract for construction of a residence on a Unit if the Unit is not purchased by a builder with the intent of constructing a residence on the Unit for resale. Upon conveyance by the Declarant of a Unit, the roadways and adjacent utility facilities necessary for use and enjoyment of such Unit shall have been completed, but the remainder of the Common Elements in the Community may not then have been completed. Within the Planned Community, the Common Facilities consist of, but are not limited to, open spaces, storm drainage, detention, any wetlands easements, storm water management

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systems, any entrance signs if constructed, and any entrance monuments if constructed as well as streets until dedicated to, and accepted by, Cecil Township. Amendments to the Declaration may be accomplished by a percentage vote of the Owners on the basis of one vote per Lot and as otherwise provided by the Act. It is presently contemplated that the Lots in the Planned Community will be restricted to residential use, except that the Declarant and Approved Builders may use any unsold Lots as models, sales offices, or construction offices. Other reasonable, temporary nonresidential uses may be permitted by the Executive Board. This restriction is subject to change by the Declarant. ARTICLE IV CONSTRUCTION The projected schedule of commencement and completion of the infrastructure is as follows: YEAR IMPROVEMENTS

2013-2015

Infrastructure, improvements to common elements, utilities, and 35 Lots

It is estimated that the entire project will be completed by December 31, 2015. (Not including construction of residential dwellings). The above schedule is merely a projection and is subject to a number of variables beyond the Declarant's control, such as the pace of sales activity and construction delays, which could accelerate or slow down the projected construction schedule. The residential dwellings are to be constructed by Approved Builders, as that term is defined in the Declaration.

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ARTICLE V ADDITIONAL LOTS Beyond the 35 Lots identified herein above, the Declarant has not reserved an option to create additional Lots, Limited Common Elements, and Common Elements within the Planned Community. ARTICLE VI RECREATIONAL FACILITIES Recreational facilities may be constructed within the open spaces or elsewhere as determined feasible by the Declarant or the Association. There is currently no obligation of the Declarant to construct any recreational facilities. Costs related to such facilities shall be Common Expenses. In the event that such recreational facilities are constructed, the Association shall be responsible for the maintenance, repair, and replacement of any such improvements. ARTICLE VII LOTS FOR INVESTMENT PURPOSES The Declarant makes no representation with respect to the number of Lots which may be marketed to investors for rental purposes. ARTICLE VIII MASTER ASSOCIATION AND CONSOLIDATION The Declarant reserves the right to make the Planned Community part of a master association or to consolidate the Planned Community with other planned community(ies), as set forth in the Declaration. The Declarant reserves such rights for a period of ten years after the recording of this Declaration or as may be extended by law or 180 days after 75% occupancy. In the event that a Merger occurs with the neighboring Planned Community known as Ironwood I,

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all powers and authority granted to the Declarant under this Declaration shall succeed to the Executive Board of the merged planned Community created thereby. ARTICLE IX PLANNED COMMUNITY ASSOCIATION IRONWOOD II HOMEOWNERS' ASSOCIATION is the association responsible for the governing of the Planned Community. Each Owner is automatically a member of the Association when the Owner completes final settlement on his Lot. Each Lot, including Lots owned by the Declarant, affords the Owner one (1) vote in Association matters. The normal operations of the Association will be accomplished under the direction of three (3) directors on the Executive Board. All members of the Executive Board can either be Owners, or individuals who are designees of the Declarant. See the Bylaws for more information. The Executive Board will either act on its own, or employ a third party management company to act in its behalf in the performance of all duties other than policy-making duties, acquiring property, opening bank accounts, and borrowing money. The management by the Declarant, or any third party management company, will be terminated by the Association within ninety (90) days of the transfer of Declarant control of the Association as hereinafter described. Initially, the three (3) members of the Executive Board will be appointed by the Declarant. The purpose of the Declarant retaining control of the Executive Board in the early stages of the Planned Community's existence is to ensure the stability of the Association and to administer the Planned Community's affairs until the new Owners become familiar with the Planned Community. Declarant may retain control of the Association from the date of the first occupation of a Lot to a person other than Declarant for a period not exceeding ten (10) years, as

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may be extended by law, or one hundred eighty (180) days after the occupation of seventy-five percent (75%) of the Lots, whichever event first occurs. Further, no later than sixty (60) days after the occupation of twenty-five percent (25%) of the total number of Lots to Owners other than Declarant, not less than thirty-three and one-third percent (33-1/3%) of the members of the Executive Board shall be elected by Owners other than Declarant. The Executive Board elects the officers of the Association. The officers are a President, Vice President, if appointed, Secretary, Treasurer, and any other officers that the members of the Executive Board may deem necessary. The President and Vice President must be members of the Executive Board. The operation of the Association is governed by the Bylaws. In addition to provisions for the Executive Board, manager, and officers as discussed above, the Bylaws provide for annual and special meetings, common expense assessments, insurance, restrictions on the use of Lots and Common Elements, and numerous other matters affecting the occupancy and operation of the Planned Community. A copy of the Bylaws is attached as Exhibit "3" to this Public Offering Statement. After the termination of the period of Declarant control in accordance with the Declaration, the Bylaws may be amended by majority of the Owners. Initial Rules and Regulations, attached as Exhibit "4" to this Public Offering Statement, have been adopted by the Executive Board governing the imposition of fines for violation of the provisions of the Declaration, Bylaws, and Rules and Regulations.

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ARTICLE X ASSOCIATION MAINTENANCE Maintenance Responsibility. In general, the Association shall maintain and keep in good repair the Common Elements as required by the Declaration. The Association shall be responsible for the maintenance of the Common Element open space, storm water management systems (until such time as dedicated to and accepted by the Township of Cecil) entrance signs, and entrance monument(s) if constructed. It is presently contemplated that all road rights-of-way will be dedicated to, and accepted by, Cecil Township for purposes of ownership and maintenance. The Association shall also be responsible for the maintenance, repair, and snow and ice removal from streets until such time as the streets are dedicated to and accepted by the Township of Cecil, Washington County. Further, sanitary sewage from the Planned Community is proposed to connect into the Southpointe Interceptor which is owned and maintained by the Cecil Township Municipal Authority. In the event that the Declarant elects to permit the construction of a recreational area upon any of the open spaces or elsewhere, the Association shall be responsible for maintenance, repair, and replacement of any such improvements. Otherwise, the repair, maintenance, and replacement of Lots and all improvements located on a Lot shall be the responsibility of the Owner, including the maintenance, repair, and snow and ice removal from sidewalks appurtenant to Lots. In particular, all storm sewers outside of the street right of way, functioning as roof drain collectors, shall be maintained by the individual Owner to whose Lot such collectors are appurtenant.

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ARTICLE XI INSURANCE The Executive Board will maintain insurance primarily to protect the Association. The Association and Owners will be insured against liability arising from ownership or use of the Common Elements. This coverage will not insure Owners against liability arising from an accident or injury occurring within a Lot or liability arising from the act or negligence of an Owner. The initial limits of liability shall be at least $1,000,000.00 for death or personal injury to any one person, $1,000,000.00 for death or personal injury in any single occurrence, and $1,000,000.00 for property damage in any single occurrence. EACH OWNER MUST MAINTAIN HIS OWN LIABILITY INSURANCE FOR HIS LOT. EACH OWNER HAS THE RESPONSIBILITY OF MAINTAINING SUCH INSURANCE COVERAGES AGAINST FIRE AND OTHER HAZARDS THAT MAY CAUSE DAMAGE TO THE IMPROVEMENTS LOCATED ON THE LOT. The Executive Board will also maintain appropriate workmen's compensation insurance as may be necessary, and, at the Executive Board's option, fidelity coverage to protect against dishonest acts on the part of officers, Board members, trustees, and employees of the Association and all others who handle funds of the Association, including the manager. The Executive Board may also carry such other policies of insurance, or greater amounts of insurance coverage, as it deems appropriate to protect the Association or the Owners and as required by the Act. ARTICLE XII TAXES Real property taxes are levied separately against individual Planned Community Lots and

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each Owner will be responsible for the payment of the taxes on his own Lot. ANY REPRESENTATION BY THE DECLARANT OR AN APPROVED BUILDER, OR ITS/THEIR AGENTS REGARDING REAL PROPERTY TAX ASSESSMENTS IS ON THE BASIS OF ESTIMATES ONLY, AND THERE ARE NO ASSURANCES WITH RESPECT TO THE ACCURACY OF THOSE ESTIMATES. ARTICLE XIII EASEMENTS, LIENS, AND ENCUMBRANCES ON TITLE Easements. The Planned Community will be subject to the normal utility easements for water, sewer, gas, electric, storm water, telephone lines, cable, and internet services. In addition, the Planned Community will be subject to certain easements created by the Declaration and by the Pennsylvania Uniform Planned Community Act. These easements are: a. With respect to Lots encumbered by Declarant, an easement in favor of

the Declarant and any Approved Builder(s) creating a perpetual right of access and easement to the Planned Community. b. An easement in favor of the Declarant and any Approved Builder(s) for

the purpose of maintaining and correcting the drainage of surface water. c. An easement in favor of the Declarant and any Approved Builder(s) for

the development and construction of the improvements in the Planned Community. d. Common Elements. e. An easement in favor of the Declarant and any Approved Builder(s), and An easement in favor of each Owner for the use and enjoyment of the

the Association for the construction improvement, repair, or maintenance of the Common Elements and Controlled Facilities.

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f.

An easement in favor of Owners and the Association to the extent that any

Lot or Common Element encroaches on any other Lot or Common Element. g. An easement in favor of Declarant (and other parties, as may be

designated by Declarant) and any Approved Builder(s) for development of the Planned Community as shown on the Plan, for all purposes relating to the construction, development, leasing, and sale of improvements, including the movement and storage of building materials and equipment, conducting of sales, leasing and management activities, the maintenance of models and offices and the erection and maintenance of directions and promotional signs. Liens and Encumbrances. a. With respect to all Lots conveyed by the Declarant, in the event a lien for

construction or other financing encumbers a Lot, the Lot will be fully released from the lien of this mortgage at final settlement when title to the Lot is conveyed to a purchaser. b. Coal, oil, gas, methane, and all mineral rights have either been severed

from the surface interest or are reserved and are not included in the Planned Community. ARTICLE XIV FINANCING The Declarant is not offering or arranging any financing for purchasers of the Lots. Any sources of mortgage financing which are made available in connection with Lot sales are for convenience of the purchaser only, and are not affiliated with the Declarant. Each purchaser will be responsible for obtaining financing for the purchase of the Lot. Nevertheless, each mortgagee of a Lot will be afforded certain rights under the Declaration in order to accommodate the financing of the Lots.

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Financing may be available to qualified applicants through the Approved Builder or its affiliated companies and/or other commercial lenders working through Approved Builders sales office. Prospective purchasers should inquire about financing terms prior to negotiating an

Agreement of Sale. The Approved Builder specifically reserves the right to change the terms and conditions or discontinue any financing program at any time without prior notice.

Purchasers may obtain financing from any source they choose subject to the terms and conditions of the Agreement of Sale. Each purchaser is cautioned that a final determination as to the availability of a loan, interest rates, down payments and other loan terms cannot be made until such time as a valid purchase contract exists and the purchaser has been qualified by his or her lender for financing.

ARTICLE XV RESTRICTIONS ON TRANSFER AND LEASING There are no restrictions on the resale of a Lot by the Owner. A Lot Owner may lease his or her Lot, including any Building constructed on the Lot (but not less than his or her entire Lot) at any time and from time to time provided that (except for a lease made by (i) Declarant or (ii) a mortgagee which is either in possession or is a purchaser at judicial sale): (1) no Lot and Building constructed on a Lot may be leased for transient or hotel purposes or for an initial term of less than one (1) year; (2) no Lot and Building constructed on a Lot may be leased without a written lease; (3) a copy of such lease shall be furnished to the Executive Board within ten (10) days after execution thereof; and (4) the rights of any lessee of the Lot and Building constructed on a Lot shall be subject to, and each such lessee shall be bound by, the covenants, conditions

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and restrictions set forth in the Declaration, Bylaws and Rules and Regulations, and a default thereunder shall constitute a default under the lease. ARTICLE XVI OTHER USE RESTRICTIONS No part of any Lot shall be used for other than housing and the related common purposes for which the Lot was designed. Each Lot shall be used only as a residence, unless such residential use is changed by the Declarant. If zoning regulations permit professional activities to be conducted within the Lots, application may be made by an Owner to the Executive Board for approval to commence such permitted use of his Lot. Each such application shall be considered by the Executive Board on an individual basis. The Executive Board may charge a fee to review such applications. Once the Executive Board has given its approval to a particular use of a Lot for a particular Owner, it may not revoke such approval so long as the nature and scope of the approved use remains unchanged. No Owner shall permit his Lot to be used or occupied for any purpose prohibited by the Declaration, the Bylaws, the Rules and Regulations, or the Act. Please see Article X of the Declaration and the Rules and Regulations for the balance of the restrictions to which the portions of the Planned Community are subject. ARTICLE XVII ZONING, HOUSING, AND BUILDING CODES The Planned Community is zoned R-2 Medium Density Residential under the Zoning Ordinance of the Township of Cecil. The Planned Community is in compliance with all applicable restrictions. There are no outstanding notices of uncured violations of building codes or other municipal regulations. The only government approval and permit required by the Township for the use and occupancy of the Planned Community is an occupancy permit. Lots

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must comply with any and all applicable requirements as set forth in Ordinances of Cecil Township, the Declaration, and/or the Plan. ARTICLE XVIII WARRANTIES Only the Declarant or Approved Builders shall construct any improvements on the Lots. Warranties for Structural Defects are summarized as follows: For the purpose of this Article XVIII, "Structural Defects" means those defects in components constituting any Lot or Common Element which would require repair, renovation, alteration, or replacement and either (A) reduce the stability or safety of the Structure below acceptable standards, or (B) restrict the normal intended use of all or any part of the Structure. a. Structures constructed, modified, altered, or improved by or on behalf of the

Declarant. For the purpose of this paragraph, "Structures" means the infrastructure improvements (other than dwellings) and utilities constructed, modified, altered, or improved by or on behalf of the Declarant. Declarant warrants against Structural Defects in Structures for two (2) years. The two (2) years shall begin as to each of the Common Elements whenever such Common Element has been completed, or, if later, at the time the first Lot in the Planned Community has been conveyed to a bona fide purchaser. THE DECLARANT ONLY WARRANTS THOSE STRUCTURES CONSTRUCTED, MODIFIED, ALTERED, OR IMPROVED BY OR ON BEHALF OF THE DECLARANT. DECLARANT MAKES NO WARRANTY WITH REGARD TO THOSE STRUCTURES, DWELLINGS, AND/OR IMPROVEMENTS CONSTRUCTED BY APPROVED BUILDERS OTHER THAN DECLARANT. b. Structures constructed, modified, altered, or improved by or on behalf of an

21

Approved Builder. For the purpose of this paragraph "Structures" means the infrastructure improvements (other than dwellings) and utilities constructed, modified, altered, or improved by or on behalf of any Approved Builder(s). Approved Builder(s) warrant against Structural Defects in Structures for two (2) years. The two (2) years shall begin as to each of the Common Elements whenever such Common Element has been completed, or, if later, at the time the first Lot in the Planned Community has been conveyed to a bona fide purchaser. DECLARANT MAKES NO WARRANTY WITH REGARD TO THOSE STRUCTURES, DWELLINGS, AND/OR IMPROVEMENTS CONSTRUCTED BY APPROVED BUILDERS OTHER THAN DECLARANT. c. Dwellings constructed, modified, altered, or improved by or on behalf of an

Approved Builder. If an Owner's dwelling is constructed by an Approved Builder, or the Lot is otherwise improved by an Approved Builder, said Owner shall look solely to the warranty provided by the Approved Builder with respect to the dwelling or improvement. DECLARANT MAKES NO WARRANTY WITH REGARD TO THOSE STRUCTURES, DWELLINGS, AND/OR IMPROVEMENTS CONSTRUCTED BY APPROVED BUILDERS OTHER THAN DECLARANT. No action to enforce any Declarant warranties set forth above, or otherwise, shall be commenced later than six (6) years after the warranty begins. Any action to enforce any warranties made by an Approved Builder must be brought within such time as is consistent with the terms and conditions of such warranty.

EXCEPT AS SET FORTH HEREINABOVE, LOTS AND COMMON ELEMENTS ARE BEING SOLD "AS IS" WITHOUT WARRANTY OR REPRESENTATION OF ANY KIND, EXPRESSED OR IMPLIED, INCLUDING WITHOUT LIMITATION, ANY

22

WARRANTY OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR HABITABILITY. Purchasers of a Lot will be required to sign a Purchaser's Acknowledgment attached hereto as Exhibit "1." ARTICLE XIX JUDGMENTS OR PENDING LITIGATION As of the effective date of this Public Offering Statement, the Declarant knows of no litigation, pending or threatened, which would materially adversely affect the Planned Community or the Declarant's ability to convey clear title to the Lot. There are no judgments against the Association, nor is the Association a party to any pending suits.

ARTICLE XX ESCROW ACCOUNTS FOR DEPOSITS Any deposit made in connection with the purchase of a Lot from the Declarant will be held by the Declarant in accordance with the provisions of Section 5408 of the Act. Such deposits should be returned to the purchaser if the purchaser cancels the contract to purchase the Lot pursuant to the purchaser's right to cancel as afforded in the Uniform Planned Community Act and as further set forth on the first page of this Public Offering Statement, or if the deposit is to be returned to the purchaser in accordance with the provisions of the Agreement of Sale. Declarant makes no assurances or representations regarding deposits paid pursuant to the purchase of a Lot from persons or entities other than the Declarant.

23

ARTICLE XXI AGREEMENT OF SALE The Agreement of Sale sets forth the various rights, duties and obligations of the purchaser and the seller with reference to the individual Lot to be purchased. An Agreement of Sale is typically included, but Approved Builders have their own Agreement of Sale and the Agreement of Sale between an Approved Builder and a purchaser of a Unit before or after construction of a residence thereon, is proprietary to that Approved Builder. As a result, no Agreement of Sale is included, but purchasers should carefully review the Agreement of Sale supplied to them by the Approved Builder. The Owner will be responsible for the payment of all premiums for title insurance coverage which is desired to be purchased by the Owner or is required by the Owner's lender, and for the payment of any other costs which are required under the Agreement of Sale.

ARTICLE XXII FINANCIAL MATTERS Owners will be assessed for Common Expenses to obtain the funds necessary to meet the budget of the Association. The assessments will be assessed as determined by the Executive Board. Except as set forth below with respect to vacant Lots, the amount assessed against each Lot for Common Expenses will be based upon the "Percentage Interest" of that Lot relative to the entire Planned Community and use. The Percentage Interest is determined by dividing the number one hundred (100) by the total number of Lots then created in the Planned Community. The Owner is then responsible for the payment of that Percentage Interest of the total annual

24

budget. Therefore, for Common Expenses to all Lots, each Owner will be assessed an amount equal to such Owner's Percentage Interest multiplied by the total annual budget. The obligation to pay Common Expenses that benefit fewer than all of the Lots ("Limited Common Expenses") shall be assessed exclusively against the Lots benefited on an equal basis. The Declarant shall be responsible for all costs of the Association until such time as the Executive Board of the Association establishes an assessment against Lots. For assessment purposes, a Lot is subject to the payment of assessments only upon occupancy by an Owner other than the Declarant or an Approved Builder. A Lot which is either unimproved, unoccupied, or for which a certificate of occupancy has not been issued for the improvement(s) thereon, shall not be required to pay a full monthly assessment to the Association, but shall be required to pay an assessment which equals a percentage of that to be assessed against said Lot once occupied (as set forth in the Association's Budget). For purposes of this calculation, the assessment shall not include a share of the cost of Common Expenses attributable to any item or amenity from which such unoccupied Lot has not yet obtained a benefit. The Budget will cover all anticipated Common Expenses for the upcoming fiscal year, including, but not limited to, accounting and legal fees, maintenance of Common Elements, insurance, and administration expenses. The Budget will also include whatever amount the Executive Board has estimated to be necessary as an adequate reserve to provide for unforeseen contingencies, working capital and repair or replacement of the Common Elements. The Declarant has prepared a proposed Budget for a fully operational year of the Planned Community's operation. As of the effective date set forth on the front page of this Public Offering Statement, no balance sheet exists for the Association. A copy of the proposed Budget

25

is attached to this Public Offering Statement as Exhibit "5." The budget figures are, of course, estimates, and the Declarant cannot be certain that sufficient funds have been budgeted to cover all Common Expenses that may be incurred. In the event that insufficient funds are budgeted for any given fiscal year, the Executive Board may levy a special assessment to make up the budget deficit. Any special assessment will be payable by Owners either in a lump sum or in installments, as the Executive Board determines. The Declarant is not providing any services or paying any expenses that are not reflected in the Budget. The Declarant expects that all expenses will be paid as Common Expenses by the Association and passed on to the Owners. Any expenses initially paid or provided by the Declarant that may later constitute Common Expenses are identified in the Budget. There is no personal property owned and provided by the Declarant and being used or to be used in the operation and enjoyment of the Common Elements that is or will be required in connection with the operation and enjoyment of the Common Elements. A reserve account will be funded by "Capital Improvement Fees" collected from each purchaser (other than the Declarant or any Approved Builder) in connection with each transfer of or resale of a Lot, which Capital Improvement Fee shall be as determined by the Executive Board. Except as otherwise provided in the Declaration, an Owner must pay directly all of the costs of maintenance and repair for his own Lot. All of the amounts assessed against a Lot are a lien on that Lot. This ability to lien a Lot protects all Owners by providing a mechanism to enforce the obligation of each Owner to pay his share of the Common Expenses. The Owner cannot dispose of his Lot free of the lien until the lien is satisfied by payment of the assessments secured by the lien. The Planned Community

26

Association may obtain payment of past due assessments by foreclosure of the lien (resulting in a forced sale of the Lot) or by suing the Owner. A late charge and interest will be imposed on any payment not received by the fifth (5th) day after it is due. Initially, the late charge will be eight percent (8%) of the late payment. Sums assessed by the Executive Board against any Owner will bear interest at the rate of fifteen percent (15%) per annum, or such other rate as may be determined by the Executive Board, from the thirtieth (30th) day following the due date of any such assessment. If any assessments are past due for more than sixty (60) days, the Executive Board may accelerate all of the assessment payments due from such Owner for that fiscal year of the Association, and the total amount assessed against the Owner for that fiscal year but not yet paid shall become immediately due and payable. Fees, charges, late charges, fines, interest, and reasonable costs and expenses of the association, including legal fees, incurred in connection with collection of any sums due to the association by the Owner, or enforcement of the provisions of the Declaration, Bylaws, Rules or Regulations against the Owner are enforceable as assessments. ARTICLE XXIII RESERVE FOR CAPITAL IMPROVEMENTS At closing on each Lot to a purchaser which is not Declarant or any Approved Builder, whether the initial sale or upon resale, an amount being equal to two times the then current monthly assessment, as determined by the Executive Board, shall be collected as a Capital Improvement Fee from each such purchaser and deposited into a separate reserve account. In addition, each Owner shall pay to the Association such Lot's share of the estimated annual Common Expenses, as determined by the Executive Board.

27

ARTICLE XXIV PRESENT CONDITION OF STRUCTURAL COMPONENTS AND UTILITY INSTALLATIONS OF PLANNED COMMUNITY PROPERTY All structural components and major utility installations will be unused when installed. The useful life and estimated costs of replacing major items (based upon 2013 costs) are as follows: INSTALLATION Sanitary Improvements Waterline Services Bituminous Paving Storm Water Management (Public) Storm Water Management (Private) (Roof drains) 30 years or more $ 65,040.00 COMPONENT OR UTILITY USEFUL LIFE 20 years or more 20 years or more 10 years or more 30 years or more REPLACEMENT COST $ $ $ $ 211,902.00 156,120.00 277,410.00 200,092.00

NOTE: THE ABOVE ESTIMATES OF USEFUL LIFE AND REPLACEMENT COSTS ARE REQUIRED TO BE GIVEN UNDER THE PROVISIONS OF THE UNIFORM PLANNED COMMUNITY ACT, AND ARE ESTIMATES ONLY AND ASSUME NORMAL MAINTENANCE OF SUCH COMPONENTS. EXCEPT AS NOTED WITHIN THE BUDGET, NO RESERVES ARE INCLUDED IN THE BUDGET FOR THESE COMPONENTS AND/OR UTILITY INSTALLATIONS. SANITARY IMPROVEMENTS AND WATER LINES IN PUBLIC RIGHT OF WAYS MAY BE OWNED BY THE CECIL TOWNSHIP MUNICIPAL AUTHORITY OR PA AMERICAN WATER OR ANY OTHER SANITARY OR WATER PROVIDER AS PERMITTED BY CECIL

28

TOWNSHIP. IT IS ANTICIPATED THAT STREETS WILL BE DEDICATED TO CECIL TOWNSHIP. ARTICLE XXV ADDITIONAL DISCLOSURES Fees Due From Purchasers at Closing: At the closing of each Lot, the purchaser will be required to provide, in addition to payment for the Lot purchased, sufficient funds to pay real estate transfer tax stamps; a pro-rata share of real estate property taxes; title insurance, if any; settlement and recording fees; any charges required by the Purchaser's lender; and Capital Improvement Fees in the amount equal to two times the then current monthly assessment as determined by the Executive Board. Other Fees and Charges: Pursuant to an agreement with the Southpointe Property Owners' Association ("SPOA"), upon final settlement, a fee of $25.00 per Lot will be payable to SPOA. This fee to SPOA is to be further paid on an annual basis per Lot and as possibly may be increased by SPOA. Pets: Only household domestic pets such as cats, dogs, song birds and fish in aquariums not bred or maintained for commercial purposes will be permitted in a Lot and/or anywhere on the Property; provided that no more than three (3) such non-aquatic pets are permitted per Lot. Newborn offspring of pets otherwise permitted hereunder may remain within the Lot for no more than six (6) weeks after birth; provided that such right shall not be deemed to authorize or permit the use of a Lot for commercial purposes for the breeding of any animal. In no event shall any pet be permitted in any outside area of the Property to run freely except in a fenced area on the Lot Owners Lot, and all such pets must be kept on a leash (no longer than six feet in length) and under supervision at all times. In no event shall any pet be permitted to be

29

chained, tied or otherwise restrained to any portion of the Common Facilities. No lines, chains, doghouse or other pet shelters shall be permitted on any portion of a Lot and/or the Common Facilities. All pets must be properly licensed and vaccinated. No such pet may disturb any resident or guest of the Property. If the pet becomes a nuisance to any of the Lot Owners, then upon written application to the Executive Board, if a majority of the Executive Board shall so vote, the pet may be ordered permanently removed from the Property, and the owner of said pet shall permanently remove said pet within fifteen (15) days after receipt of such order. No chickens, ducks, geese, turkeys, pigs, other farm animals, snakes and other reptiles and/or insects such as bees may be kept on the Property. All animal waste must be removed immediately upon excretion and disposed of in a manner which will not be offensive to any Lot Owner.

Improvements: Declarant has made reasonable financial arrangements for completion of all improvements to the Planned Community. There are no improvements that "must be built." Violations: There are no outstanding and uncured notices of violation of governmental requirements. Hazardous Conditions: The Declarant has no knowledge of any of the following: a. Hazardous conditions, including contamination affecting the Planned

Community site by hazardous substances, hazardous wastes, or the like, or the existence of underground storage tanks for petroleum products or other hazardous substances. b. Any investigation conducted to determine the presence of any hazardous

conditions on or affecting the Planned Community site.

30

c.

Any finding or action recommended to be taken in the report of any such

investigation, or by any governmental body, agency or authority, in order to correct any hazardous conditions, and any action taken pursuant to those recommendations. d. Information concerning environmental conditions affecting the Planned

Community may be obtained from the regional office of the Department of the Environmental Resources and the United States Environmental Protection Agency at the following addresses and phone numbers:

Pennsylvania Department of Environmental Protection: 400 Waterfront Drive Pittsburgh, PA 15222 (412) 442-4000

United States Environmental Protection Agency: Raymond George State Liaison Office U.S EPA Region 3 303 Methodist Building 11th and Chapline Street Wheeling, WV 26003 (304) 234-0234

ARTICLE XXVI UNUSUAL AND MATERIAL CIRCUMSTANCES Unusual and Material Circumstances: To the best of the Declarant's knowledge and information there are no unusual circumstances, features, or characteristics affecting the Planned Community or the Lots. Notwithstanding the above, the Declarant recognizes that the decision to purchase a new home is a very personal decision and many factors may influence a prospective buyers decision to live in a particular community. Declarant cannot list all features of the Community that may be material to an individual buyers purchase decision, but Declarant brings the following matters to the buyers attention. The Property is located in an area of the state where Marcellus shale drilling and/or other gas shale exploration and drilling activity may be occurring presently or in the future. In Pennsylvania, ownership and the right to use the subsurface of property, including ownership and rights to extract coal, gas, oil and other minerals, is not always transferred with the right to

31

use the surface of the property. The title to the surface of the Property may be conveyed to the Purchaser without any ownership rights to coal, gas, oil and other minerals. Such subsurface rights may be vested in third parties and such third parties may also have rights to use the surface of the Property to test for, explore, drill and/or otherwise remove the coal, gas, oil and other minerals. In some instances, the coal, gas, oil and other minerals can be removed even if the surface is not accessed. Pennsylvania law provides that a gas or oil well cannot be located within 300 feet of an existing building. Declarant does not make any representations as to the Purchasers ownership of subsurface rights. Declarant and Builder do not make any representations regarding the maintenance of current views or the uses that may be made by off-site third party landowners located in the area.

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BYLAWS OF IRONWOOD II HOMEOWNERS' ASSOCIATION

Prepared by: Sebring & Associates 339 Haymaker Road Suite 1101, Parkway Bldg. Monroeville, PA 15146 (412) 856-3500 www.sebringlaw.com
K:\Meritage Group, The\Wooden Irons, L.P\Ironwood II Planned Community Documents\Public Offering 021014\Bylaws 021014.docx

BYLAWS OF IRONWOOD II HOMEOWNERS' ASSOCIATION ARTICLE I Introductory Provision 1.1 Applicability. These Bylaws provide for the governance of the Homeowners' Association created by the recording of the Declaration of Planned Community for IRONWOOD II (the "Declaration"), in the office of Recorder of Deeds of Washington County, Pennsylvania, pursuant to the requirements 68 Pa.C.S. 5306 of the Pennsylvania Uniform Planned Community Act ("the Act"). 1.2 Definitions. Capitalized terms used herein without definition shall have the meanings specified for such terms in the Declaration of Planned Community or, if not defined therein, the meanings specified or used for such terms in the Act. 1.3 Compliance. Pursuant to the provisions of the Act, every Lot Owner and all persons entitled to occupy a Lot thereon shall comply with these Bylaws. 1.4 Office. The office of the Association and the Executive Board shall be located at the Planned Community or at such other place as may be designated from time to time by the Executive Board. ARTICLE II The Association 2.1 Composition. The Association is hereby organized on the date hereof as an unincorporated association. The Association shall consist of all of the Lot Owners acting as a group in accordance with the Act, the Declaration, and these Bylaws. The Association shall have the responsibility of administering the Planned Community, establishing the means and methods of collecting assessments and charges, arranging for the management of the Planned Community, and performing all of the other acts that may be required or permitted to be performed by the Association pursuant to the Act and the Declaration. The foregoing responsibilities shall be performed by the Executive Board or Managing Agent as more particularly set forth in these Bylaws. 2.2 Annual Meetings. An annual meeting of the Association shall be held each year in the same month as the first meeting of the Lot Owners at a date and time to be designated by the Executive Board. At such annual meetings: (a) The Executive Board of the Association shall be elected by ballot of the Lot Owners in accordance with the requirements of Section 3.3 of these Bylaws
2

(subject to the Declaration); and (b) Such other business as may properly come before the meeting may be transacted.

2.3 Place of Meetings. Meetings of the Association shall be held at the principal office of the Association or at such other suitable place convenient to the Lot Owners as may be designated by the Executive Board. 2.4 Special Meetings. The President shall call a special meeting of the Association if so directed by resolution of the Executive Board or upon a petition signed and presented to the Secretary by Lot Owners entitled to cast at least twenty-five percent (25%) of the votes in the Association. The notice of any special meeting shall state the time, place, and purpose thereof. Such meeting shall be held within forth-five (45) days after receipt by the President of said resolution or petition; provided, however, that if the purpose includes the consideration of the rejection of a budget or capital expenditure pursuant to Section 5.9 below, such meeting shall be held within fifteen (15) days after receipt by the President of said resolution or petition. No business shall be transacted at a special meeting except as stated in the notice. 2.5 Notice of Meetings. The Secretary shall give to each Owner a notice of each annual or regularly-scheduled meeting of the Association at least fifteen (15) but not more than sixty (60) days, and of each special meeting of the Lot Owners at least ten (10) but not more than forty-five (45) days, prior to such meeting, stating the time, place, and purpose thereof. The giving of a notice of meeting in the manner provided in this Section and Section 9.1 of these Bylaws shall be considered service of notice. The Notice of Meeting must state the time and place of the meeting, the items on the agenda, including the general nature of any proposed amendment to the Declaration or Bylaws, any budget or assessment changes, and any proposal to remove an Executive Board member of officer. 2.6 Adjournment of Meetings. If at any meeting of the Association a quorum is not present, Lot Owners entitled to cast a majority of the votes represented at such meeting may adjourn the meeting to a time not less fifteen (15) days after the time for which the original meeting was called. 2.7 (a) Voting. In General. Voting at all meetings of the Association shall be on a Lot basis, with each Lot Owner entitled to one (1) vote. Multiple Owners. Where the ownership of a Lot is in more than one (1) Owner, the Owner who shall be entitled to cast the vote of such Lot shall be the Owner named in a certificate executed by all of the Owners of such Lot and filed with the Secretary (the "Designated Owner"). Such certificate shall be valid unless revoked by a subsequent certificate similarly executed. In the absence of such named Designated Owner from the meeting, the Owner who shall be entitled to cast the vote of such Lot shall be the Owner owning such Lot who is present. If the Designated Owner is not present, and more than one other Owner or Owners
3

(b)

owning such Lot is present, then such vote shall be cast only in accordance with their unanimous agreement pursuant to Section 5310(a) of the Act. There shall be deemed to be unanimous agreement if any one of the multiple Owners casts the votes allocated to that Lot without protest being made promptly to the person presiding over the meeting by any of the other Owners of the Lot. Any certificate executed by all Lot Owners shall be valid until revoked by a subsequent certificate similarly executed. Subject to the provisions of the Act, the Declaration, and these Bylaws, wherever the approval or disapproval of a Lot Owner is required by this subpart, the Declaration, or the Bylaws, such approval or disapproval shall be made only by the person who would be entitled to cast the vote of such Lot at any meeting of the Association. (c) Ownership by an Entity other than an Individual. If the Owner of a Lot is a corporation, joint venture, partnership, or unincorporated association, then the natural person who shall be entitled to cast the vote for such Lot shall be the person named in a certificate executed by such entity pursuant to its governing documents. If the Owner of a Lot is a trust, then the Trustee or Trustees shall be deemed to be the Owner for the voting purposes, however the Trustees shall designate one Trustee to cast the vote of such Lot. The natural person who shall be entitled to cast the vote of such Lot shall be the person named in a certificate executed by all of the Owners of such Lot and filed with the secretary or, in the absence of such named person from the meeting of the failure to execute and file such a certificate, the person who shall be entitled to case the vote of such Lot shall be the person owning such Lot who is present. If multiple Owners of a Lot are present, then the votes allocated to that Lot may be cast only in accordance with their unanimous agreement unless the Declaration expressly provides otherwise. There shall be deemed to be unanimous agreement if any one of the multiple Owners casts the votes allocated to that Lot without protest being made promptly to the person presiding over the meeting by any of the other Owners of the Lot. Such certificate shall be valid until revoked by a subsequent certificate similarly executed. Except where execution by Owners of a Lot in the same manner as a deed is required, and subject to the provisions of the Act, the Declaration, and these Bylaws, wherever the approval or disapproval of a Lot Owner is required by this subpart, the Declaration, or the Bylaws, such approval or disapproval shall be made only by the person who would be entitled to cast the vote of such Lot at any meeting of the Association. Votes Required. Except with respect to election of members of the Executive Board and except where a greater number is required of members of the Executive Board and except where a greater number is required by the Act, the Declaration, or these Bylaws, the Owners of more than fifty (50%) percent of the aggregate number of Lots, voting in person or by proxy at one time at a duly convened meeting at which a quorum is present, is required to adopt decisions at any meeting of the Association.

(d)

(e)

Elections. In all elections for Executive Board members, each Owner shall be entitled to cast for each vacancy to be filled at such election one (1) vote per Lot owned by such Lot Owner as provided in the Declaration. Those candidates for election receiving the greatest number of votes cast in such elections shall be elected and, if Executive Board members are being elected to unequal terms, then the candidates receiving the highest number of votes shall be elected to the longest terms. Declarant's Votes. If the Declarant owns or holds title to one (1) or more Lots, then the Declarant shall have the right at any meeting of the Association to cast the votes to which such Lot or Lots are entitled. Pursuant to the Declaration, if any Approved Builder owns or holds title to one (1) or more Lots, then the Declarant shall have the right at any meeting of the Association to cast the votes to which such Lot or Lots are entitled. Association Votes. No votes allocated to a Lot owned by the Association may be cast. Cumulative and Class Voting. There shall be no cumulative or class voting.

(f)

(g)

(h)

2.8 Election by Mail. All matters which might be voted upon at a meeting of the Lot Owners including, but not limited to, the election of members of the Executive Board, may also be submitted, at the election of the Executive Board, to the Lot Owners by a mail ballot. The Executive Board shall prepare for distribution an official ballot form and shall circulate a ballot to each Owner authorized to vote pursuant to Section 2.7 above as if a meeting were being held on the date of the ballot. All Lot Owners shall be required to execute the ballot unless a certificate has been filed with the Secretary naming a Designated Owner. Ballots shall be distributed and counted in accordance with Rules and Regulations to be adopted by the Executive Board. 2.9 Proxies. A vote may be cast in person or by proxy. Such proxy may be granted by any Lot Owner or in case of multiple Owners, by the Designated Owner, in favor of only another Owner, a Permitted Mortgagee, or the Declarant. Proxies shall be duly executed in writing, shall be valid only for the particular meeting designated therein or adjournment thereof, and must be filed with the Secretary before the appointed time of the meeting. Such proxy shall be deemed revoked only upon actual receipt by the person presiding over the meeting of written notice of revocation from the grantor(s) of the proxy. No proxy shall be valid for a period in excess of one year after the execution thereof. A proxy is void if it is not dated or purports to be revocable without notice. The holder of any proxy must be eighteen (18) years or older. 2.10 Quorum. Except as set forth below, the presence in person or by proxy of Lot Owners of twenty percent (20%) or more of Owners of Lots created at commencement of a meeting shall constitute a quorum at all meetings of the Homeowners' Association. If a meeting is adjourned pursuant to Section 2.6 above, then the quorum at such second meeting shall be deemed present throughout any meeting of the Association if persons entitled to cast ten percent
5

(10%) of the votes which may be cast for the election of the Executive Board are present in person or by proxy at the beginning of the meeting. 2.11 Conduct of Meetings. The President (or in his absence, the Vice-President) shall preside over all meetings of the Association and the Secretary shall keep the minutes of the meeting and record in a minute book all resolutions adopted at the meeting as well as a record of all transactions occurring at each meeting. The President may appoint a person to serve as parliamentarian at any meeting of the Association. The then current edition of Robert's Rules of Order shall govern the conduct of all meetings of the Association when not in conflict with the Declaration, these Bylaws, or the Act. All votes shall be tallied by tellers appointed by the President. ARTICLE III Executive Board 3.1 Number and Qualification. The affairs of the Association shall be governed by an Executive Board. The Executive Board shall be composed of not less than three (3) nor more than five (5) natural persons, all of whom shall be designees of the Declarant, Lot Owners, or officers, directors, shareholders, partners, or employees of Owners. No more than one (1) member shall be elected from any Lot. The initial Board shall consist of three (3) members. The number of members may be increased to five (5) at any annual meeting of the Owners by a vote of a majority of the Owners. 3.2 Delegation of Powers; Managing Agent. The Executive Board may employ for the Planned Community a "Managing Agent" at a compensation established by the Executive Board. The Managing Agent shall perform such duties and services as the Executive Board shall authorize including, but not limited to, all of the duties listed in the Act, the Declaration, and these Bylaws; provided, however, that where a Managing Agent does not have the power to act under the Act, the Declaration, or these Bylaws, such duties shall be performed as advisory to the Executive Board. The Executive Board may delegate to the Managing Agent all of the powers granted to the Executive Board by the Act, the Declaration, and these Bylaws other than the following powers: (a) to adopt the annual budget and any amendment thereto or to assess any Common Expenses; to adopt, repeal or amend Rules and Regulations; to designate signatories on Association bank accounts; to borrow money on behalf of the Association; to acquire and mortgage Lots;

(b) (c) (d) (e)

(f) (g)

to designate reserved common elements; and to allocate Limited Common Elements.

Any contract with the Managing Agent must provide that it may be terminated with cause on no more than thirty (30) days written notice and without cause on no more than ninety (90) days written notice. The term of any such contract may not exceed three (3) years. 3.3 (a) Election and Term of Office. At the annual meetings of the Association, subject to the Declaration, the election of members of the Executive Board shall be held. Elections may also be held by mail as set forth in Section 2.8 hereinabove. At the first annual meeting, two board members shall be elected for two (2) year terms and one board member shall be elected for a one (1) year term. Thereafter, the term of office of any Executive Board member to be elected (except as set forth in Section 3.5 hereof) shall be two (2) years. If the Executive Board is expanded to five (5) members, the terms of the Executive Board members shall be staggered, with two (2) members serving for a three (3) year term, two (2) members serving for a two (2) year term, and the fifth (5th) member serving for a one (1) year term. The length of term shall be determined by the number of votes received by each member, i.e., the member receiving the most votes shall serve for the longer term, and the member receiving the least votes shall serve for the one (1) year term, and so on. The members of the Executive Board shall hold office until the earliest to occur of the election of their respective successors, or their death, adjudication of incompetency, removal, or resignation. Notwithstanding the foregoing provisions, an Executive Board member may not serve for more than five (5) consecutive years. At the expiration of five (5) consecutive years of service, said member shall resign and thereafter be ineligible for service as an Executive Board member for a period of no less than five (5) years following expiration of said term. Within sixty (60) days after occupation of twenty-five percent (25%) of the Lots by Owners other than the Declarant, a special meeting of the Association shall be held at which one (1) of the members of the Executive Board designated by the Declarant shall resign (such member to be selected by the Declarant), and the Owners, excluding the Declarant as an Owner, shall thereupon elect a successor member of the Executive Board to act in the place and stead of the member resigning. Such successor member shall serve until the annual meeting of the Association following the meeting at which he was elected. Within 180 days after occupation of seventy-five (75%) percent of the Lots by Lot Owners other than Declarant, a special meeting of the Association shall be held at which time any remaining Declarant appointed Board members shall resign and the Owners shall elect a new Board member or members, a special
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(b)

(c)

meeting of the Association shall be held at which all of the members of the Executive Board designated by the Declarant shall resign, and the Owners, including the Declarant if the Declarant owns one or more Lots, shall thereupon elect successor members of the Executive Board to act in the place and stead of those resigning. The successor member receiving the highest number of votes shall serve until the second annual meeting of the Association following the date of the election of the successor Board member elected pursuant to subparagraph (b) above, and the successor member/s receiving the next highest number of votes shall serve until the first annual meeting of the Association following the date of the election of the successor Board member elected pursuant to subparagraph (b) above. (d) Notwithstanding the foregoing, if any meeting required pursuant to subparagraphs (a), (b) or (c) above could be held on the date an annual meeting of the Association is scheduled, then such meeting(s) shall be held concurrently with such annual meeting. Persons qualified to be members of the Executive Board may be nominated for election only as follows: (i) Any Lot Owner may submit to the Secretary, at least fifteen (15) days before the meeting at which the election is to be held, a nominating petition signed by Owners owning at least two (2) Lots in the aggregate, together with a statement that the person nominated is willing to serve on the Executive Board and a biographical sketch of the nominee. The Secretary shall mail or hand deliver the submitted items to every Owner along with the notice of such meeting; and Nominations may be submitted from the floor at the meeting at which the election is held for each vacancy on the Executive Board; and In the event an election is held by mail, nominations shall be submitted by mail not less than forty-five (45) days prior to the date selected for the election and shall be accompanied by a biographical sketch. The Executive Board shall mail an official ballot, together with a copy of the biographical information, to all Owners not less than twenty (20) days prior to the date set for the election. Ballots may be returned by mail or in person up to 5:00 p.m. on the date set for the election.

(e)

(ii)

(iii)

3.4 (a)

Removal or Resignation of Members of the Executive Board. Except with respect to members designated by Declarant, at any regular or special meeting of the Association duly called, any one or more of the members of the Executive Board may be removed with or without cause by Owners entitled to cast a majority of all votes in the Association and a successor may then be elected
8

to fill the vacancy thus created in accordance with the provisions of Section 3.5. Any Owner proposing removal of a Board member shall give notice thereof to the Secretary. Any member whose removal has been proposed by an Owner shall be given at least ten (10) days' notice by the Secretary of the time, place, and purpose of the meeting and shall be given an opportunity to be heard at the meeting. (b) A member of the Executive Board may resign at any time and shall be deemed to have resigned upon transfer of title to his Lot, or upon termination of his relationship with the Owner, if the Owner is other than a person. Declarant shall have the right to remove and replace any or all members appointed by Declarant at any time and from time to time until the required resignation date specified in the Declaration.

3.5 Vacancies. Except as set forth in Section 3.4 above with respect to members appointed by Declarant, vacancies in the Executive Board caused by any reason other than the removal of a member by a vote of the Owners shall be filled by a vote of a majority of the remaining members at a special meeting of the Executive Board held for such purpose promptly after the occurrence of any such vacancy, even though the members present at such meeting may constitute less than a quorum. Each person so elected shall be a member of the Executive Board for the remainder of the term of the member being replaced and until a successor shall be elected at the next annual meeting of the Association at which such seat is to be filled upon expiration of the term of his predecessor. In the case of multiple vacancies, the member receiving the greatest number of votes shall be elected for the longest term. 3.6 Organization Meeting. The first meeting of the Executive Board following each annual meeting of the Association shall be held within ten (10) days thereafter at such time and place as shall be fixed by the President (even if he is the outgoing President), and no written notice shall be necessary to the newly elected members of the Executive Board in order legally to constitute such meeting, if a majority of the Executive Board members shall be present at such meeting. 3.7 Regular Meetings. Regular meetings of the Executive Board may be held at such time and place as shall be determined from time to time by a majority of the members, but such meetings shall be held at least once each fiscal year. Notice of regular meetings of the Executive Board shall be given to each member, by U.S. Mail or email, at least five (5) business days prior to the day named for such meeting. 3.8 Special Meetings. Special meetings of the Executive Board may be called by the President on at least three (3) business days' notice to each member, given by U.S. Mail or email, which notice shall state the time, place and purpose of the meeting. Special meetings of the Executive Board shall be called by the President or Secretary in like manner and on like notice on the written request of at least two (2) members of the Executive Board. 3.9 Waiver of Notice. Any member may at any time, in writing, waive notice of any meeting of the Executive Board, and such waiver shall be deemed equivalent to the giving of
9

such notice. Attendance by a member at any meeting of the Executive Board shall constitute a waiver of notice by him of the time, place and purpose of such meeting. If all members are present at any meeting of the Executive Board, then no notice shall be required and any business may be transacted at such meeting. 3.10 Quorum of the Executive Board. At all meetings of the Executive Board a majority of the members shall constitute a quorum for the transaction of business, and the votes of a majority of the members present at a meeting at which a quorum is present shall constitute the decision of the Executive Board. If at any meeting of the Executive Board there shall be less than a quorum present, a majority of those present may adjourn the meeting from time to time. At any such adjourned meeting at which a quorum is present, any business which might have been transacted at the meeting originally called may be transacted without further notice. One or more members of the Executive Board may participate in and be counted for quorum purposes at any meeting by means of conference telephone or similar communication equipment by means of which all persons participating in the meeting can hear each other. 3.11 Compensation. No member of the Executive Board shall receive any compensation from the Association for acting as such, but may be reimbursed for any expenses incurred in the performance of his duties. 3.12 Conduct of Meetings. The President shall preside over all meetings of the Executive Board and the Secretary shall keep a minute book of the Executive Board meetings, recording all resolutions adopted by the Executive Board and a record of all transactions and proceedings occurring at such meetings. The then current edition of Robert's Rules of Order shall govern the conduct of the meetings of the Executive Board if and to the extent not in conflict with the Declaration, these Bylaws, or the Act. 3.13 Action Without Meeting. Any action by the Executive Board required or permitted to be taken at any meeting may be taken without a meeting if all of the members of the Executive Board shall individually or collectively consent in writing to such action. Any such written consent shall be filed with the minutes of the proceedings of the Executive Board. Action may also be taken by conference, telephone, or similar electronic means where all Board members can participate simultaneously. 3.14 Validity of Contracts with Interested Executive Board Members. No contract or other transaction between the Association and one or more of its Executive Board members or between the Association and any corporation, firm, or association in which one or more of the Executive Board members are directors or officers, or are financially interested, shall be void or voidable because such Executive Board member or members are present at any meeting of the Executive Board which authorized or approved the contract or transaction or because his or their votes are counted, if the circumstances specified in either of the following subparagraphs exists: (a) The fact that an Executive Board member is also such a director or officer or has such financial interest is disclosed or known to the Executive Board and is noted in the minutes, and the Executive Board authorizes, approves or ratifies the
10

contract or transaction in good faith by a vote sufficient for the purpose without counting the vote or votes of such Executive Board member or members with a financial interest; or (b) The contract or transaction is made in good faith and is not unconscionable to the Association at the time it is authorized, approved, or ratified.

3.15 Inclusion of Interested Executive Board Members in the Quorum. Any Executive Board member holding such director or officer position or having such financial interest in another corporation, firm, or association may be counted in determining the presence of a quorum at a meeting of the Executive Board or a committee thereof which authorizes, approves, or ratifies a contract or transaction of the type described in Section 3.14 hereof. ARTICLE IV Officers 4.1 Designation. The principal officers of the Association shall be the President, the Secretary and the Treasurer, all of whom shall be members of and elected by the Executive Board. The offices of Secretary and Treasurer may be held by one person. The Executive Board may appoint a Vice-President, Assistant Treasurer, Assistant Secretary, and such other officers as in its judgment may be necessary. 4.2 Election of Officers. The officers of the Association shall be elected annually by the Executive Board at the organization meeting of each new Board and shall hold office at the pleasure of the Executive Board. 4.3 Removal of Officers. Upon the affirmative vote of a majority of all members of the Executive Board, any officer may be removed, either with or without cause, and a successor may be elected at any meeting of the Executive Board called for such purpose. 4.4 President. The President shall be the chief executive officer of the Association, shall preside at all meetings of the Association and of the Executive Board, and have all of the general powers and duties which are incident to the office of president of a corporation organized under the laws of Pennsylvania, including without limitation, the power to appoint committees from among the Lot Owners from time to time as the President may in his discretion decide is appropriate to assist in the conduct of the affairs of the Association. The President shall cease holding such office at such time as he ceases to be a member of the Executive Board. 4.5 Vice President. The Vice President (if any) shall take the place of the President and perform the duties of the President whenever the President shall be absent or unable to act. If neither the President nor the Vice President is able to act, then the Executive Board shall appoint another member of the Executive Board to act in the place of the President on an interim basis. The Vice President shall also perform such other duties as shall from time to time be delegated or assigned him by the Executive Board or by the President.
11

4.6 Secretary. The Secretary shall keep the minutes of all meetings of the Association and of the Executive Board, have charge of such books and papers as the Executive Board may direct, maintain a register setting forth the place to which all notices to Lot Owners and holders of mortgagees on any Lots hereunder shall be delivered and, in general, perform all the duties incident to the office of secretary of a corporation organized under the Laws of Pennsylvania. The Secretary shall, upon request, provide any person, or cause to be provided, to any person entitled thereto a written statement or certification of the information required to be provided by the Association pursuant to the Act and Article V below, upon payment of the fee set by the Executive Board for such service. 4.7 Treasurer. The Treasurer shall have the responsibility for the safekeeping of Association funds and securities, be responsible for keeping full and accurate financial records and books of account showing all receipts and disbursements, and for the preparation of all required financial data, and be responsible for the deposit of all monies in the name of the Executive Board, the Association or the Managing Agent, in such depositories as may from time to time be designated by the Executive Board and, in general, perform all the duties incident to the office of treasurer of a corporation organized under the laws of Pennsylvania. 4.8 Execution of Documents. All agreements, contracts, deeds, leases, checks, and other instruments of the Association for expenditures or obligations in excess of Five Thousand Dollars ($5,000) shall be executed by two officers of the Association. All instruments for expenditures or obligations of Five Thousand Dollars ($5,000) or less may be executed by any one officer of the Association. 4.9 Compensation of Officers. No officer who is also a member of the Executive Board shall receive any compensation from the Association for acting as such officer, but may be reimbursed for any out-of-pocket expenses incurred in performing his duties; provided, however, the Secretary and Treasurer may be compensated for their services if the Executive Board determines such compensation to be appropriate. ARTICLE V Common Expenses; Budgets 5.1 Fiscal Year. The fiscal year of the Association shall be the calendar year unless otherwise determined by the Executive Board; provided, however, that the first fiscal year shall begin upon the recordation of the Declaration. 5.2 (a) Preparation and Approval of Budget. On or before the first day of December of each year (or thirty (30) days before the beginning of the fiscal year if the fiscal year is other than the calendar year), the Executive Board shall adopt an annual budget for the Association containing an estimate of the total amount considered necessary to pay the cost of maintenance,
12

management, operation, repair and replacement of the Common Elements and those parts of the Lots as to which it is the responsibility of the Executive Board to maintain, repair and replace, and the cost of wages, materials, insurance premiums, services, supplies, and other expenses that may be declared to be Common Expenses by the Act, the Declaration, these Bylaws, or a resolution of the Association and which will be required during the ensuing fiscal year for the administration, operation, maintenance and repair of the Planned Community, and the rendering to the Owners of all related services. Such budget shall also include such reasonable amounts as the Executive Board considers necessary to provide working capital, a general operating reserve, and reserves for contingencies and replacements. The budget shall segregate General Common Expenses and Limited Common Expenses. Further, as and when more than one type of structure is constructed and created as a Lot in the Planned Community, the budget may also segregate as Limited Common Expenses the expense of the maintenance, repair, and replacement of each particular type of structure, and certain components of Limited Common Elements appurtenant to the Lot. (b) On or before the fifth (5th) day of December (or twenty (20) days before the beginning of the fiscal year if the fiscal year is other than the calendar year), the Executive Board shall make the budget available for inspection at the Association office and shall send to each Owner a copy of the budget in a reasonably itemized form that sets forth the amount of the Common Expenses. Such budget shall constitute the basis for determining each Lot Owners' assessments for General Common Expenses of the Association and shall automatically take effect at the beginning of the fiscal year for which it is adopted, subject to Section 5.9 below. The Executive Board shall make reasonable efforts to meet the deadlines set forth above, but compliance with such deadlines shall not be a condition precedent to the effectiveness of any budget.

(c)

5.3 Assessment and Payment of Common Expenses. (a) In General. Except as provided in Subsection (b) below, all Common Expense assessments made in order to meet the requirements of the Association's annual budget shall be deemed to be adopted and assessed on an annual basis payable in installments as determined by the Executive Board. Once a Lot is created, the Owner shall be responsible for its pro rata share of the Common Expenses, in addition to the Limited Common Expenses and Special Assessments and reserves as hereinafter defined as same may relate to such Lot. The obligation to pay Common Expenses that benefit fewer than all of the Lots shall be assessed exclusively against the Lots benefited on an equal basis. Unoccupied Lots. A Lot which is either unimproved, unoccupied, or for which a certificate of occupancy has not been issued for the improvement(s) thereon, shall not be required to pay a full monthly assessment to the Association, but shall be
13

(b)

required to pay an assessment which equals a percentage of that to be assessed against said Lot once occupied (as set forth in the Association's Budget). For purposes of this calculation, the assessment shall not include a share of the cost of Common Expenses attributable to property damage insurance costs, any recreational area costs, or any item or amenity from which such unoccupied Lot has not yet obtained a benefit. (c) Adoption and Accounting. Assessments shall be deemed to have been adopted and assessed as determined by the Executive Board, and shall be a lien against each Owner's Lot as provided in the Act and the Declaration. Within ninety (90) days after the end of each fiscal year, the Executive Board shall prepare and deliver to each Owner an itemized account of the Common Expenses and funds received during such fiscal year less expenditures actually incurred and sums paid into reserves. Any net shortage with regard to General Common Expenses, after application of such reserves as the Executive Board may determine, shall be assessed promptly against the Owners in accordance with their Percentage Interests and shall be payable in assessments, as the Executive Board may determine. Supplemental Assessments. If the Executive Board determines that the estimate of total charges for the current fiscal year is, or will become, inadequate to meet all Common Expenses for any reason, it shall immediately determine the approximate amount of the inadequacy. Subject to the provisions of Section 5.4, the Board shall have the authority to levy, at any time by a majority vote, a Supplemental Assessment, reflecting a revision of the total General Common Expense Assessment. Written notice of any change in the amount of Supplemental Assessments levied by the Association through the Board shall be given to all Owners not less than thirty (30) days prior to the effective date of such Supplemental Assessment. Limited Expenses. The Executive Board shall calculate the assessments for Limited Expenses, if any, against each Lot obligated to pay Limited Expenses by multiplying (i) the total amount of the estimated funds required for Limited Expenses set forth in the budget adopted by the Executive Board for the fiscal year in question, after deducting any income expected to be received from the operation of the Limited or Reserved Common Elements to which the Limited Expenses pertain other than Limited Expense Assessments by (ii) the share of Limited Expenses (expressed in decimal form) allocated to each such Lot, and dividing the resultant product by (iii) the number of months in such fiscal year. Such assessments shall be deemed to have been adopted and assessed on a basis as determined by the Executive Board, and shall be a lien against each Owner's Lot as provided in the Act and the Declaration. Within one hundred twenty (120) days after the end of each fiscal year, the Executive Board shall prepare and deliver to each Owner and to each Permitted Mortgagee who has registered an address with the Secretary an itemized accounting of the Limited Expenses and
14

(d)

(e)

funds received during such fiscal year less expenditures actually incurred and sums paid into reserves. Any net shortage with regard to Limited Expenses, after application of such reserves as the Executive Board may determine, shall be assessed promptly against the Lot Owners obligated to pay Limited Expenses in accordance with their allocable share of Limited Expenses and shall be payable in one or more assessments, as the Executive Board may determine. (f) Reserves. The Executive Board may build up and maintain reasonable reserves for working capital, operations, contingencies, and replacements. Extraordinary expenditures not originally included in the annual budget which may become necessary during the year may be charged first against such reserves. If the reserves are deemed to be inadequate for any reason, including non-payment of any Owner's assessments, the Executive Board may at any time levy further assessments for General Common Expenses which shall be assessed against the Lot Owners either according to their respective Percentage Interests with regard to General Common Expenses and shall be payable in one or more assessments as the Executive Board may determine. Payments for said purposes may be classified as capital contributions at the discretion of the Board.

5.4 Further Assessments. The Executive Board shall serve notice on all Lot Owners of any further assessments pursuant to Sections 5.3(a), (b), or (c), or otherwise as permitted or required by the Act, the Declaration, and these Bylaws, including, but not limited to, the right to levy fines, by a statement in writing giving the amount and reasons therefore, and such further assessments shall, unless otherwise specified in the notice, become effective with the next assessment if pursuant to Section 5.3 which is due more than thirty (30) days after the delivery of such notice of further assessments. All Lot Owners so assessed shall be obligated to pay the amount of such assessments. Such assessments shall be a lien as of the effective date as set forth in the preceding Sections. 5.5 Fines. The Executive Board shall have the power to levy fines as set forth in the Act, which shall be considered as a further assessment against the Lot as set forth in Section 5.4 hereof. 5.6 Initial Budget. At or prior to the time assessment of Common Expenses commences, the Executive Board shall adopt the budget, as described in this Article, for the period commencing on the date the Executive Board determines that assessments shall begin and ending on the last day of the fiscal year during which such commencement date occurs. Assessments shall be levied and become a lien against the Lot Owners during such period as is provided in Section 5.3 above. 5.7 Effect of Failure to Prepare or Adopt Budget. The failure or delay of the Executive Board to prepare or adopt a budget for any fiscal year shall not constitute a waiver or release in any manner of a Lot Owner's obligation to pay his allocable share of the Common Expenses as herein provided whenever the same shall be determined and, in the absence of any annual budget or adjusted budget, each Lot Owner shall continue to pay each assessment at the
15

rate established for the previous fiscal year until the new annual or adjusted budget shall have been adopted. 5.8 Accounts. All sums collected by the Executive Board with respect to assessments against the Lot Owners or from any other source may be commingled into a single fund. Reserves shall be maintained in a separate fund, although different types of reserves may be commingled in one fund. All books and records of the Association shall be kept in accordance with good and accepted accounting practices, and the same shall be reviewed and a compilation prepared at least once each year by an independent accountant retained by the Executive Board. 5.9 Rejection of Budget; Limitations on Expenditures and Borrowing. Anything herein to the contrary notwithstanding, the Association, by majority vote of all votes in the Association, may reject any budget or capital expenditure approved by the Executive Board, within thirty (30) days after approval by the Executive Board. The power of the Executive Board to expend funds, incur expenses, or borrow money on behalf of the Association is subject to the requirement that the consent of Lot Owners entitled to cast at least two-thirds of the votes in the Association obtained at a meeting duly called and held for such purpose in accordance with the provisions of these Bylaws, shall be required to (i) expend funds or incur expenses that it is reasonably anticipated will cause the aggregate amount of all expenses in the budget (including reserves) to be exceeded by more than 10% of such aggregate amount after taking into account any projected increases in income, and (ii) to borrow money so that loans of the Association then outstanding would exceed 10% of such aggregate amount. 5.10 Payment of Common Expenses. Each Owner shall pay the Common Expenses assessed by the Executive Board pursuant to the provisions of this Article V. No Owner may exempt himself from liability for his contribution toward Common Expenses by waiver of the use or enjoyment of any of the Common Elements or by abandonment of his Lot. No Owner shall be liable for the payment of any part of the Common Expenses assessed against his Lot subsequent to the date of recordation of a conveyance by him in fee of such Lot. The purchaser of a Lot shall be jointly and severally liable with the selling Owner for all unpaid assessments against the latter for his proportionate share of the Common Expenses up to the time of such recordation, without prejudice to the purchaser's right to recover from the selling Owner amounts paid by the purchaser therefore; provided, however, that any such purchaser shall be entitled to a statement setting forth the amount of the unpaid assessments against the selling Owner within five (5) days following a written request therefore to the Executive Board or Managing Agent and such a purchaser shall not be liable for, nor shall the Lot conveyed be subject to a lien for, any unpaid assessments in excess of the amount therein set forth; and, provided further that, each Permitted Mortgagee who comes into possession of a Lot by virtue of foreclosure or by deed or assignment in lieu of foreclosure, or any purchaser at a foreclosure sale, shall take the Lot free of any claims for unpaid assessments or charges against such Lot which accrue prior to the time such holder comes into possession thereof, except for claims for a pro-rata share of such assessments or charges resulting from a pro-rata reallocation of such assessments or charges to all Lots including the mortgaged Lot.

16

5.11 Collection of Assessments. The Executive Board, or the Managing Agent at the request of the Executive Board, may take prompt action to collect any assessments for Common Expenses due from any Owner, which remain unpaid for more than thirty (30) days from the due date for payment thereof. Any assessment not paid within five (5) days after its due date shall accrue a late charge in the amount of eight percent (8%) of the overdue assessment in addition to interest at the rate of fifteen percent (15%) per annum (or such other rate as may be determined by the Executive Board) on the amount of the unpaid assessment through date of payment. 5.12 Statement of Common Expenses. Upon request, the Executive Board shall promptly provide any Owner, contract purchaser, or proposed mortgagee with a written statement of all unpaid assessments for Common Expenses due. Further, the Executive Board may charge a reasonable fee for the preparation of such statement to cover the cost of its preparation, to the extent permitted by the Act. 5.13 Surplus. Any amounts accumulated from Assessments for General Common Expenses and income from the operation of the Common Elements, other than Limited Common Elements with regard to which Limited Expenses are assessed, in excess of the amount required for actual General Common Expenses and reserves for future General Common Expenses, shall be credited to each Lot in accordance with such Lot's interests in Common Elements. These credits will be applied, unless the Declaration provides otherwise, to the next Assessments of General Common Expenses against that Lot under the then current fiscal year's budget and thereafter, until exhausted. Any amounts accumulated from Assessments for Limited Expenses and income from the operation of Limited Common Elements to which such Limited Expenses pertain in excess of the amount required for actual Limited Expenses and reserves for future Limited Expenses shall be credited to each Lot assessed for a share of such Limited Expenses in proportion to the share of such Limited Expenses so assessed. These credits will be applied, unless the Declaration provides otherwise, to the next Assessments of Limited Expenses against that Lot under the then current fiscal year's budget, and thereafter, until exhausted. 5.14 Negligence. If any Common Expense is caused by the negligence or misconduct of any Lot owner, the Association may assess that expense exclusively against his Lot(s). ARTICLE VI Compliance and Default 6.1 Relief. Each Lot Owner shall be governed by, and shall comply with, all of the terms of the Declaration, these Bylaws, the Rules and Regulations, and the Act, as any of the foregoing may be amended from time to time. In addition to the remedies provided in the Act and the Declaration, a default by an Owner shall entitle the Association, acting through its Executive Board or through the Managing Agent, to the following relief: (a) Additional Liability. Each Owner shall be liable for the expense of all maintenance, repair or replacement rendered necessary by his act, neglect or carelessness or the act, neglect or carelessness of his tenants, guests, invitees or
17

licensees, but only to the extent that such expense is not covered by the proceeds of insurance carried by the Executive Board. Such liability shall include any increase in casualty insurance premiums occasioned by improper use, misuse, occupancy, or abandonment of any Lot or its appurtenances. Nothing contained herein, however, shall be construed as modifying any waiver by any insurance company of its rights of subrogation. (b) Costs and Attorney's Fees. In any proceedings arising out of any alleged default by an Owner under the Declaration, these Bylaws, the Rules and Regulations, or the Act, the Association shall be entitled to recover the reasonable costs and expenses of the Association, including attorney's fees. No Waiver of Rights. The failure of the Association, the Executive Board, or of an Owner to enforce any right, provision, covenant, or condition which may be granted by the Declaration, these Bylaws, the Rules and Regulations, or the Act shall not constitute a waiver of the right of the Association, the Executive Board, or the Owner to enforce such right, provision, covenant, or condition in the future. All rights, remedies, and privileges granted to the Association, the Executive Board, or any Owner pursuant to any term, provision, covenant, or condition of the Declaration, these Bylaws, the Rules and Regulations, or the Act shall be deemed to be cumulative and the exercise of any one or more thereof shall not be deemed to constitute an election of remedies, nor shall it preclude the party exercising the same from exercising such other privileges as may be granted to such party by the Declaration, these Bylaws, the Rules and Regulations, or the Act or at law or in equity. Abating and Enjoining Violations by Owners. The violation of any of the Rules and Regulations adopted by the Executive Board, the breach of any Bylaws contained herein, or of any provision of the Declaration or the Act shall give the Executive Board the right, in addition to any other rights: (i) to enter the Lot or Lot in which, or as to which, such violation or breach exists and summarily to abate and remove, at the expense of the defaulting Owner, any structure, thing or condition that may exist therein contrary to the intent and meaning of the provisions hereof, and the Executive Board shall not thereby be deemed guilty in any manner of trespass; or (ii) to enjoin, abate or remedy by appropriate legal proceedings, either at law or in equity, the continuance of any such breach. Termination of Services. The Association shall have the right to terminate any services, which it performs or provides to or for an Owner, including utility service to individual Lots or Lots, in the event of delinquency. Prior to termination of any service, the Executive Board shall give at least ten (10) days written notice and an opportunity to appear at a meeting of the Executive Board to any delinquent Owner.

(c)

(d)

(e)

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(f)

Suspension of Voting Rights. Any Owner who is more than thirty (30) days delinquent at the time of the annual meeting shall not be permitted to vote at any meeting or mail ballot. ARTICLE VII Amendments

7.1 Amendments to Bylaws. These Bylaws may be modified or amended only by vote of Lot Owners entitled to cast a majority of the votes in the Association, except as otherwise expressly set forth herein or in the Act; provided, however, that until the date on which all Declarant-appointed Board members voluntarily resign or are required to resign pursuant to the Declaration, (i) Section 2.4, (ii) Section 3.4, and (iii) this Section 7.1 may not be amended without the consent in writing of Declarant, as long as Declarant owns any Lots. Additionally, if any amendment is necessary in the judgment of the Executive Board to cure any ambiguity or to correct or supplement any provision of these Bylaws that is defective, missing, or inconsistent with any other provision hereof, or with the Act or the Declaration, or if such amendment is necessary to conform to the requirements of the Federal National Mortgage Association or the Federal Home Loan Mortgage Corporation with respect to single family residential projects, then at any time and from time to time the Executive Board may effect an appropriate corrective amendment without the approval of the Lot Owners or the holders of any liens on all or any part of the Planned Community, upon receipt by the Executive Board of an opinion from independent legal counsel to the effect that the proposed amendment is permitted by the terms of this Section. 7.2 Approval of Mortgagees. These Bylaws contain provisions concerning various rights and interests of Eligible Mortgagees. Such provisions in these Bylaws are to be construed as covenants for the protection of such Permitted Mortgagees on which they may rely in making loans secured by such mortgages. Accordingly, no amendment or modification of these Bylaws substantially impairing or affecting the rights, priorities, remedies, or interests of a Permitted Mortgagee shall be adopted without its or their prior written consent. 7.3 Amendments to the Declaration. Any two officers or Executive Board members of the Association may prepare, execute, certify, and record properly adopted amendments to the Declaration on behalf of the Association. ARTICLE VIII Maintenance, Repair, Replacement and Other Common Expenses 8.1 By the Association. The Association shall be responsible for the maintenance, repair, and replacement (unless, if in the opinion of not less than two-thirds (2/3) of the Executive Board such expense was necessitated by the negligence, misuse or neglect of a Lot Owner) of all of the Common Elements as defined herein or in the Declaration, whether located inside or outside of the Lots, the cost of which shall be charged to all Lot Owners as a common expense. Further, in accordance with the Declaration, the Association may have the
19

responsibility to perform the maintenance, repair, and replacement of certain Limited Common Elements, with the cost associated with such maintenance, repair, or replacement to either be assessed as a Common General Expense, or a Limited Expense in accordance with the Declaration. 8.2 (a) By the Lot Owner. Each Owner shall keep his Lot, and its appurtenances in good order, condition, and repair and in a clean and sanitary condition, and shall do all work that may at any time be necessary to maintain the good appearance and condition of his Lot. In addition, each Owner shall be responsible for all damage to any other Lots or to the Common Elements resulting from such Lot Owners failure or negligence to make any of the repairs required by this section, or otherwise by his (or its) negligence or neglect. Each Owner shall promptly report in writing to the Executive Board or the Managing Agent any defect or need for repairs for which the Association is responsible. Unless otherwise provided in the Declaration, the Owner of any Lot to which a Limited Common Element is appurtenant shall perform the maintenance for that Limited Common Element, including keeping it in a clean and sanitary condition, free and clear of snow, ice and any accumulation of water, and shall also make all repairs thereto and be responsible for the replacement thereof. ARTICLE IX Miscellaneous 9.1 Notices. All notices, demands, bills, statements, or other communications under these Bylaws shall be in writing and shall be deemed to have been duly given if delivered personally or if sent by United States mail, postage prepaid, (or otherwise as the Act may permit), (i) if to an Owner, at the single address which the Owner shall designate in writing and file with the Secretary or, if no such address is designated, at the address of the Lot of such Lot Owner, or (ii) if to the Association, the Executive Board or to the Managing Agent, at the principal office of the Managing Agent or at such other address as shall be designated by notice in writing to the Lot Owners pursuant to this Section. If a Lot is owned by more than one person, each such person who so designates a single address in writing to the Secretary shall be entitled to receive all notices hereunder. 9.2 Captions. The captions herein are inserted only as a matter of convenience and for reference, and in no way define, limit or describe the scope of these Bylaws or the intent of any provision thereof. 9.3 Capitalized Terms. Capitalized terms not otherwise defined herein shall be defined as set forth in the Declaration or in the Act, as applicable.

(b)

20

9.4 Gender. The use of the masculine gender in these Bylaws shall be deemed to include the feminine and neuter genders and the use of the singular shall be deemed to include the plural, and vice versa, whenever the context so requires.

IN WITNESS WHEREOF, these Bylaws have been adopted this _________day of , 2014.

ATTEST/WITNESS:

Wooden Irons, L.P., a Pennsylvania limited partnership By: The Meritage Group, Inc., General Partner

By: James C. Rumbaugh, President

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RULES AND REGULATIONS OF IRONWOOD II PLANNED COMMUNITY Unless specifically defined herein, the terms used in these Rules and Regulations shall have the same meanings as defined in the Declaration of Planned Community of the property known as IRONWOOD II, a planned community created under and subject to the Pennsylvania Uniform Planned Community Act, 68 Pa.C.S. 5101, et seq. (the "Act"). All present and future owners, mortgagees, lessees, and occupants of the Lots or of the Common Elements and their agents, employees, guests, and any other person or entity who or which may use the facilities of the Property are subject to and bound by these rules and all amendments thereof. A. DEFINITIONS 1. "Association" shall mean the planned community which shall be known as Ironwood II Homeowners' Association. "By-Laws" shall mean the By-Laws of the Association. "Common Areas" shall mean all portions of the Property as defined in the Declaration, but shall exclude Lots. "Declaration" shall mean the DECLARATION OF PLANNED COMMUNITY FOR IRONWOOD II, as the same may be amended from time to time. "Executive Board" shall mean the Executive Board of the Association.

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GENERAL 1. These Rules and Regulations are adopted pursuant to the Declaration and the By-Laws and may be enforced in accordance with those documents. The Executive Board reserves the right to amend these Rules and Regulations at any time from time to time. The Common Elements shall be used only for the purposes set forth in the Declaration and By-Laws. Except for model homes constructed by Declarant or a Builder, no Lot shall be used for any purpose other than for residential use.

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Lots shall be maintained in a reasonable manner in accordance with the standard generally prevailing throughout the Planned Community. No noxious or offensive activity shall be conducted upon any Lot, nor shall anything be done which may become an annoyance or nuisance to the Planned Community. No garage or other structure other than the dwelling for which the plans have been approved shall be used as a residence, temporarily or permanently. Only mailboxes approved by the U.S. Postal Service shall be permitted. Presently, only cluster mailboxes are approved by the U.S. Postal Service. Furthermore, the location and design of mailboxes shall be approved by the Declarant.

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No fence shall be permitted on any Lot unless approved as to height, location, material, and design by the Declarant. All fences must comply with applicable Cecil Township ordinances. Underground electric fences, for the purpose of effectively containing dogs and cats, may be permitted without approval by the Executive Board. Lot Owners are responsible for any property damage caused by their families, pets, guests, or decorative items. Maintenance of the Common Elements and structural repair of the Limited Common Elements are the responsibilities of the Association, but are charged as a General Common Expense or a Limited Common Expense, as the Declaration provides. The Association shall in no event be liable for the loss, destruction, theft, or damage of personal property placed on any Common or Limited Common Elements. Bicycle riding is permitted only upon paved areas or other designated areas. No clotheslines or drying within yards shall be permitted unless concealed by hedges, lattice work, or screening acceptable to the Executive Board. No weeds, underbrush, or other unsightly growths shall be permitted to grow or remain upon any Lot in the area of the property line abutting any street and extending from said Property line a distance of 50 feet from the rear of any structure constructed on the Property.

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No refuse pile or unsightly objects shall be allowed to be placed or suffered to remain on any Lots. No Lot shall be used in whole or in part for the storage of rubbish of any character whatsoever, nor for the storage of any property or thing that will cause such Lot to appear in an unclean or untidy condition or that will be obnoxious to the eye; nor shall any substance, thing, or material be kept upon any lot that will emit foul or obnoxious odors or that will cause any noise that will or might disturb the peace, quiet, comfort, or serenity of the occupants of surrounding Lots. In the event that any Lot Owner shall refuse to keep his Lot free from weeds, underbrush, or refuse piles, or other unsightly growths or objects, the Executive Board, or its designee, may enter upon such Lot and remove the same at the expense of the Lot Owner, and such entry shall not be deemed a trespass. In the event of such a removal, a lien shall arise and be created in favor of the Association and against such Lot for the full amount chargeable to such Lot, and such amount shall be due and payable within thirty (30) days after demand is made therefore. No radio or television aerial, antenna, wiring and/or satellite dish greater than one meter in diameter shall be installed on any dwelling without the written consent of the Executive Board. The Executive Board may remove, without notice, any aerial, antenna, wiring and/or satellite dish erected or installed in violation of this Declaration and/or the Rules and Regulations. The Owner for whose benefit the installation was made will be liable for the total cost of removal of such aerial, antenna, wiring and/or satellite dish. Decks may be made of Trex, vinyl or other low maintenance approval as approved by the Executive Board

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SAFETY 1. 2. Walkways and/or sidewalks, if installed, shall not be obstructed. No Lot Owner, guest, licensee, invitee or others shall discharge any toxic non-biodegradable substance into any storm water sewer(s) or open drainways. Such substances shall include, but not be limited to: paint, oil, gasoline, any and all petroleum products, kerosene, paint thinner, antifreeze and the like, and any and all substances as defined by and as the same as is commonly understood by the Environmental Protection Agency or any other agency or organization having jurisdiction over same.

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Open burning is not permitted on any Lot, except that outdoor fireplaces, grills, and chimineas may be used if equipped with fire screens to prevent discharge of embers or ashes.

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STRUCTURAL 1. No Common Elements shall be altered without the prior written consent of the Executive Board.

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REGULATION OF TRAFFIC AND PARKING 1. Only licensed motorized vehicles are allowed in driveways and streets of the Planned Community. Campers, recreational vehicles and boats may be parked in a driveway for a period not exceeding forty-eight (48) hours in any one (1) calendar month period, for the purposes of cleaning, loading, or unloading. No vehicles of any kind not utilized on a daily basis shall be "stored" in the driveways or streets. No autos shall be stored under protective coverings in the driveways or streets. No vehicle which is undrivable, due to damage or mechanical failure, or which is not bearing a valid registration plate or current inspection sticker, shall be kept upon any portion of a Lot or street. Vehicle repairs and storage of vehicles are permitted on a Lot only if in garages.

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PETS 1. 2. All pets must be registered and inoculated as required by law. Each Lot Owner shall indemnify and hold harmless the Association from any claims of property damage and/or personal injury made as a result of the action of their or their guest's pets. Pets must be leashed and accompanied by a responsible adult at all times when occupying any Common Areas or property not owned by the pet owner. Otherwise, a pet may be tied, staked, attached to run, fenced or be allowed within the Lot Owner's Lot provided that, in all of the foregoing events, the Owner is available to attend to the pet, or, in the case of a dog or cat, the dog or cat is effectively contained by an electric fence on the Lot. Lot Owners must comply with all ordinances of Cecil Township governing pets.

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Lot Owners must protect the property of others from damage by their pets and will be liable for any damages caused by their pets. Lot Owners must promptly remove and properly dispose of their pet's droppings. As set forth in the attached schedule, the Association may require the permanent removal of any pet violating these rules upon written notice to the Lot Owner. No farm animals and no animals of any type except for dogs and cats shall be kept on the Lots. No external compound cages, kennels or hutches shall be permitted. Household pets shall be limited in number as to not cause a nuisance to the residents and guests and may not be located on Lots or within the Planned Community for commercial purposes.

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IRONWOOD II PLANNED COMMUNITY SCHEDULE OF VIOLATIONS AND PENALTIES

CATEGORY/ VIOLATION Pets (general)

1ST NOTICE Written request to pet owner for compliance and notice of consequences for subsequent violations Written request to pet owner for damage repair within 30 days and notice of consequences for inaction

2ND NOTICE A $25.00 fine will be imposed for a second violation

3RD NOTICE A $100.00 fine will be imposed for each subsequent violation and removal of pet may be required. A $100.00 fine and costs will be imposed and removal of pet may be required.

Pets (damage to lawn and shrubs)

A $25.00 fine will be imposed

Stored/unmoved vehicle

Vehicle ticketed and/or written request for compliance within 72 hours Written request to Lot owner for compliance and notice of consequences for subsequent violations

After 72 hours Township Police will be notified to tow, vehicle owner will be billed A $25.00 fine will be imposed for a second violation
A $100.00 fine will be imposed for each subsequent violation

All other violations

Homeowner's Association of Ironwood II 2014 Budget

INCOME: Yearly fees
Dues for 12 Months - 35 Units Occupied Unit

$10,500.00
Unoccupied w/o complete Residence "A" $ "A" "A" "A" "A" $ $ 1.00 10.00 2.00

EXPENSES:
*Reserve Grass Cutting & Fertilization (Open Space) Insurance General Insurance Directors' & Officers Legal/Accounting Expense/Tax Return Southpointe Maintenance Assessment Snow Removal Open Space Sidewalk **Snow Removal for Roadways $1,159.20 $840.00 $840.00 $903.00 $1,260.00 $877.80 $420.00 $4,200.00 $2.76 $2.00 $2.00 $2.15 $3.00 $2.09 $1.00 $10.00

$10,500.00

$25.00 Per Month

$ 13.00 Per Month

"A" - no charge because no benefit derived **Snow removal fee for roadways will be deleted from the budget once Cecil Township accepts the roadways. At the time of closing two months dues is required to be put into Reserves and the first month's dues. This will be for the month following the closing and no prorated amount for the month closed. Made payable to Ironwood II Homeowners Associaton and maile 772 Pine Valley Drive, Pittsburgh,PA 15239 If Ironwood II merges with Ironwood HOA the dues will be approximately $325.00 per year as of 2013