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| SUN LAKES LIFESTYLES | JUNE 2019 | 11 PROPOSED RULE CHANGE NOTIFICATION # 19-03 The Board reviewed the following proposed amendment, to the Sun Lakes Country Club Homeowners Association General Statement of Rules and Regulations (revised March 1, 2019 edition), that appears on the Association's website (sunlakescc.com) and are available in the administration office (please reference ARTICLE VI – Recreational Facilities Rules and Regulations, at its April 24, 2019 Open Session meeting. The Board will vote upon the proposed amendment at its July 24, 2019 Open Session Meeting, following publication in the June 2019 edition of Lifestyles. If the Board votes in favor of the proposed rule change it would go into effect August 1, 2019. PURPOSE: The purpose of the proposed rule change is to establish an Association policy on and rules for use of community facilities for meetings on matters of public interest in accordance with the mandate of Civil Code Section 4515. EFFECT: The effect of the proposed rule change, if adopted by the Board, will be to implement the following rules and procedures consistent with the aforesaid statute, including a rule mandating that the owner(s) of a separate interest residential lot, the resident(s) of which schedule such a meeting in an Association facility, will be responsible for any damage or injury which occurs at or is caused as a result of said meeting. The rule change should thereby help to reduce the Association's exposure to unfunded expenses and liabilities which have been created by Civil Code Section 4515. Strikethrough = Text to be deleted Bold, Italic and Underlined Text = Text to be added PROPOSED RULE AMENDMENT ARTICLE VI – RECREATIONAL FACILITIES RULES AND REGULATIONS SECTION 6.08 USE OF COMMON AREA FOR MEETINGS ON MATTERS OF PUBLIC INTEREST 1. Use of common area for the purposes described in Civil Code Section 4515(b)(1), (2) and (3), hereinafter referred to as "Public Interest Meetings," shall be scheduled by the Association for common area meeting locations on a first-come, first-served basis. The Association member or resident shall state, in writing, the subject of the meeting which qualifies it as a Public Interest Meeting. 2. Public Interest Meetings do not have priority over other permitted uses of Association facilities. Public Interest Meetings shall only be held in meeting room space; Association open space areas and specialty rooms, such as exercise rooms and recreational facilities, are not considered meeting space. 3. Hours of operation previously established for Association facilities remain in effect. Public Interest Meetings may only be scheduled for the Association's established hours of operation. 4. No alcoholic beverages may be sold, distributed or consumed during or at Public Interest Meetings. No use of the kitchen facilities is permitted. No food shall be served at Public Interest Meetings. Public Interest Meetings are not permitted to use the Association's audiovisual equipment. 5. If the owner(s) of a lot or unit in the Association ("Member") or his/her/their/its tenant or co-resident reserves any community facility for a Public Interest Meeting, that Member shall be liable for any and all injuries or damages, including, but not limited to, property damage or personal injuries caused by attendees, which result from or occur at said Public Interest Meeting. Should any such damages result or occur, the Association shall have the right to seek indemnity from the responsible Member, levy a Compliance Assessment against the responsible Member following notice and hearing pursuant to Section 9.13 of the CC&Rs, or seek any other remedy available under the Association's governing documents or California law to enforce the obligation of the responsible Member. 6. All persons attending the Public Interest Meeting shall be deemed the responsible Member's guest. The Member will be responsible to the Association for the acts of the guests, including those occurring while using Association common area to travel to and from the Public Interest Meeting. A list of names of outside guests must be provided to the Association at least one full business day in advance for entry at the main Sun Lakes Boulevard entrance. Outside guests must have valid identification to check against the outside guest list. 7. The Association is in no way responsible for and shall not make any determination regarding the propriety or accuracy of the opinions, points of view, advocacy or information presented by any person at a Public Interest Meeting. 8. All persons attending a Public Interest Meeting do so at their own risk. The Association is in no way responsible for the conduct of the Public Interest Meeting or the safety or security of persons in attendance. 9. The Board of Directors may determine if a sham Public Interest Meeting was conducted for a purpose not permitted by Civil Code Section 4515(b)(1), (2) and (3), e.g., a meeting was conducted for purposes of a commercial solicitation rather than for a bona fide matter of public interest pursuant to the statute. If the Board of Directors determines that such a sham Public Interest Meeting was held, the Board may, after notice and hearing, charge the responsible Association Member a Compliance Assessment for all costs and expenses incurred by the Association as a result of the sham Public Interest Meeting in accordance with Section 9.13 of the CC&Rs as well as a fine or other disciplinary action. 10. All other Association rules and regulations remain in effect and applicable to Public Interest Meetings, responsible Members, residents, and Public Interest Meeting attendees except to the extent those rules are contrary to the foregoing or contrary to Civil Code Section 4515. Rule Change Related to Use of Common Area for Meetings on Matters of Public Interest

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