1-27-19 WHEREAS, at a regular meeting of the membership held on January 27, 2019, a two- third (2/3rd) majority of the Association membership approved this Seventh Amendment to and Total Restatement of Declaration of Restrictions of Valhalla Subdivision. NOW THEREFORE, the Association, by and through its appropriate corporate officers, hereby declares that this Seventh Amendment to and Total Restatement of Declaration of Restrictions are hereby imposed upon Valhalla Subdivision according to plat thereof recorded in Plat Book 67, Page 34, Public Records of Polk County, Florida. ARTICLE 1 - DEFINITIONS 1. “Association” shall mean and refer to VALHALLA HOMEOWNERS ASSOCIATION, INC., a not-for-profit corporation, its successors and assigns. 2. “Common Areas” shall mean all real property owned by Valhalla Homeowners Association or easement rights given the Association to be used and enjoyed equally by all lot owners. The Common Areas to be owned and/or maintained by the Association are: entrance area and signs, guard house, lighting, roads, landscaping, tennis courts, swimming pool, fence, drainage easements, land between lots, lakefront, irrigation system, clubhouse, maintenance building and caretaker’s home. 3. “Lot” shall mean the (60) individually numbered plots of land shown on the recorded subdivision map of VALHALLA SUBDIVISION as recorded in Plat Book 67, page 34, Public Records of Polk County, Florida. 4. “Maintenance” shall mean the exercise of reasonable care to maintain the Common Areas, home and/or lot landscaping comparable to their original condition, normal wear and tear excepted. Maintenance of landscaping shall further mean the exercise of generally accepted garden-management practices necessary to promote a healthy, weed-free environment for optimum plant growth. 5. “Member” and “owner” shall be interchangeable and shall mean the record owner, whether one or more persons or entities of a fee simple title to any lot which is part of the subdivision, and shall include contract sellers, but shall not include those holding title merely as security for the performance of an obligation. 6. “Mortgage” shall mean a conventional mortgage or a deed of trust. 7. “Mortgagee” shall mean a holder of a conventional mortgage or a beneficiary under or holder of a deed of trust. 2 1-27-19 8. “Subdivision” shall mean the subdivided real property hereinbefore described as VALHALLA SUBDIVISION as recorded in Plat Book 67, Page 34, public records of Polk County, Florida. ARTICLE ll - MEMBERSHIP IN ASSOCIATION; VOTING RIGHTS Section 1. Every owner of a home or a building lot shall be a member of the Association; membership shall be appurtenant to and may not be separated from ownership of a lot. Members shall be entitled to one vote for each residential dwelling or whole lot owned. When more than one person or entity holds an interest in a given lot, each such person or entity shall have a fractional vote as to that lot computed on the basis of the total square footage of the lot owned by each owner. By way of illustration, if two (2) members each own a whole lot and together also own one-half of the total square footage in another lot lying between them, each member shall only have one and a half (1-1/2) votes. ARTICLE lll - ASSESSMENTS Section 1. Lien and personal obligation of assessments. The undersigned hereby covenant for each lot within the subdivision and each owner of a lot is hereby deemed to covenant by acceptance of his deed for such lot, whether or not it shall be so expressed in his deed, to pay to the association: (1) annual assessments, which at the election of the Board of Directors can be made payable monthly or quarterly; and (2) special assessments for capital improvements. Such assessments will be established and collected as hereinafter provided. The annual and special assessments, together with interest, costs, late fees and reasonable attorney’s fees, shall be a charge on the land and a continuing lien on each lot against which such assessment is made. Each such assessment, together with interest, costs, late fees and reasonable attorney’s fees, shall be the personal obligation of the person or persons who owned the lot at the time the assessment fell due. Section 2. Purpose of annual assessments. The annual assessment levied by the Association shall be used exclusively to promote the health, safety, welfare, and recreation of the residents in the subdivision and for the improvement, repair and maintenance of the Common Areas in the Subdivision. Annual assessments shall include, and the Association shall acquire and pay for out of the funds derived from annual assessments, the following: (a) Maintenance, repair, preservation, and improvement of the Common Areas, all landscaping in the Common Areas and around dwellings, and all other operating costs of the Association; (b) Water, sewer, garbage, electrical, lighting, telephone, gas, and other necessary utility services for the Common Areas; 3 1-27-19 (c) Acquisition of all furnishings, equipment, landscaping materials, and personnel necessary to manage and properly take care of the day-to-day operation and upkeep of the Common Areas, including any recreational facilities which may be located thereon; (d) Insurance covering the full insurable replacement value for fire and extended coverage on the clubhouse, maintenance home, and irrigation pump system; (e) Liability insurance insuring the Association against any and all liability to the public, to any owner or to the invitees or tenants of any owner arising out of their occupation and/or use of the Common Areas. The policy limits shall be set by the Board of Directors and shall be reviewed at least annually and increased or decreased in the discretion of the Board of Directors; (f) Workmen’s compensation insurance to the extent necessary to comply with Florida Statutes §440.38, and any other insurance deemed necessary by the Board of Directors of the Association; (g) A standard fidelity bond covering all members of the Board of Directors of the Association and all other employees of the Association in an amount to be determined by the Board of Directors (if the Board determines said bond to be necessary or proper); (h) Reserves for future improvements or repairs to the Common Areas as established by the Board of Directors and allowed by Florida law; and (i) Any other materials, supplies, labor, services, utilities, (including the hiring of accountants, attorney, engineers or other professionals), insurance, taxes, or assessments which the Association is required to secure or pay pursuant to the terms of this Declaration or by law or which shall be necessary or proper in the opinion of the Board of Directors of the Association to carry out its assigned functions for the benefit or welfare of lot owners or the enforcement of these restrictions. In the event the need for maintenance or repair is attributed to the willful or negligent act of the owner of a lot, his family, guests or invitees, the cost of such maintenance or repairs shall be added to and become a part of the assessment to which such lot is subject. Section 3. Special assessments for capital improvements. In addition to the annual assessments authorized above, the Board of Directors may with the approval of the Association levy in any assessment year a special assessment applicable to that year only for the purpose of defraying in whole or part the cost of any construction, reconstruction, repair or replacement of a capital improvement on the Common Areas, including fixtures and personal property related thereto. Any such assessment must be approved by a majority of the membership of the Association. 4 1-27-19 Section 4. Notice and quorum for action authorized under Section 3. Written notice of any meeting called for the purpose of taking any action authorized by Section 3 shall be sent to all members not less than thirty (30) nor more than fifty (50) days in advance of such meeting, In the event the proposed action is favorable by a majority of the votes cast at such meeting, but less than the requisite majority of the membership, members who were not present in person or by proxy may give their written assent within thirty (30) days after the date of such meeting. Section 5. Rate of assessment. As a general rule, both annual and special assessments shall be at a uniform rate for all lots, with each lot bearing an equal assessment with all other lots in the subdivision. (a) Notwithstanding this general rule, if a member owns the fee simple title to a second lot contiguous with his building lot, or if a member builds a home upon two contiguous building lots, one lot shall bear full assessment with all other lots, but the second lot shall be assessed at a seventy-five percent (75%) rate as to full assessment. By way of illustration, if two owners each own a whole lot and together also own fractional interests in another lot lying between them, the second lot will be assessed at a seventy-five percent (75%) rate with each owner paying the pro rata share of the assessment as to the lot owned in common based upon the total square footage of the lot owned by each owner. Section 6. Collection of annual assessments. The Board of Directors shall fix the amount of the annual assessment based upon the annual budget which has been approved by the Membership at an annual meeting or special meeting called for that purpose. The amount of the annual assessment against each lot shall be fixed at least thirty (30) days in advance of the due date thereof and shall fix the date such amounts become due.