Section 1. Dues, Assessments, and Liens. For the purpose of maintaining the Association's water system and private easement roadways and for the supplying of water to each tract, it is hereby declared that all of the tracts within the said property, regardless of size or number of acres, may be annually charged such dues and assessments as shall be deemed necessary by the members of West Beach Road Association. The annual dues and assessments shall be imposed by the affirmative vote of a majority of the members of the Association each year. Such annual dues and assessments and the rate thereof shall be recommended by the Board of Directors at its meeting held in conjunction with the annual meeting of the members of the Association and shall be due and payable at such dates as shall be fixed by the Board. In the event that the said dues and assessments are not paid on the due date specified by the Board, said dues and assessments shall thereafter be deemed to be delinquent following a thirty (30) day grace period from the due date and shall bear interest at the rate of 12 percent per annum (1.0 percent per month) or consistent with Washington State Law (RCW 19.52.010) compounded annually, thereafter until paid in full. Upon becoming delinquent, such dues and assessments shall constitute a lien upon the property against which the same was levied, and the Association may file a statement of charges, in the form of a claim of lien, with the Office of the Auditor of Island County, Washington. A release of said lien shall be filed by the Association upon full payment of said dues and assessments with interest and costs, disbursements, and attorney fees incurred by the Association. Said lien may be enforced by the Association as may any lien on real property under the law, and if said lien is foreclosed, the tract owner shall be liable for the costs and disbursements, including reasonable attorney's fees, to the Association herein, all of which costs, disbursements and fees shall be secured by such lien. The purchasers of tracts within the said property, by the acceptance of deeds therefore, whether from declarants or subsequent owners of any of said property, or by the signing of a contract to purchase the same, shall become personally obligated to pay such dues and assessments, including interest, upon the tract or tracts purchased or agreed to be purchased by them, and shall be subject to the enforcement provisions outlined above.

Section 2. Hookup Charges for Water Connection. No member shall tap into, or hook into, the water system maintained by West Beach Road Association and serving the properties which are the subject of this declaration, without the prior approval of the Board of Directors of West Beach Road Association, or their designated agent, and said installation must be made in accordance with the terms and conditions as established by the Board. These conditions shall include payment by the owner of the property to be served by the water connection of a hookup fee as imposed by the affirmative vote of a majority of the members of the West Beach Road Association. All monies received by West Beach Road Association from the said hookup fees shall be deposited in the water fund account of the West Beach Road Association. In the event that any property should receive a water service, or should hook onto the water system, without paying the hookup fee as aforementioned, a penalty fee of an amount as imposed by the affirmative vote of a majority of the members of the West Beach Road Association will also be charged. That amount shall constitute a lien upon the property that is served by the water hookup, which lien may be enforced and foreclosed in the manner specified in paragraph 1 above.

Section 3. Water Use Fee. A water use assessment shall be charged at a rate as imposed by the affirmative vote of a majority of the members of the West Beach Road Association each year. This assessment shall be recommended by the Board of Directors at its meeting held in conjunction with the annual meeting of the members of West Beach Road Association, and shall be due and payable at such dates as shall be fixed by the Board.

Section 4. Selling of Water Shares. Selling of any available water shares and any terms pertaining thereto are subject to approval by two-thirds (2/3) vote of a quorum of the membership.