[Ord. No. 75, 12-19-2006; amended 5-17-2011; amended 11-16-2021 §70]
The citizens within the town have experienced major issues with residential subdivision development and appropriate road maintenance once the developer has sold all of the lots. Therefore, the town desires to provide regulations for the mandatory establishment and maintenance of homeowner associations for each subdivision. In this manner the following purposes will be accomplished:
A. 
The comprehensive plan and the growth plan show that the town does not have the fiscal resources to maintain the roads that are privately owned. Setting minimum standards for homeowner associations will help alleviate the potential financial burden on the citizens of the town when the town decides to accept the roads located within private subdivisions.
B. 
Minimum standards for covenants and restrictions within homeowner associations will provide basic guidelines to provide for the orderly development and maintenance of areas within the subdivision and rural certificates of surveys for the mutual benefit of the citizens, the property owners and the town.
C. 
The town recognizes that some of the roads within private developments are in deplorable condition. Requiring minimum standards for covenants and restrictions within developments, including fiscal responsibility for the developer and the homeowners will help alleviate the deplorable condition of the roads.
D. 
The town has historically experienced problems with road maintenance, trash dumping, animal control, speeding traffic and sewage disposal. Requiring minimum standards for covenants and restrictions within private subdivisions will help alleviate these problems the town has faced in the past.
E. 
These regulations will affect the town's future fiscal responsibilities as well as the present fiscal resources available for improvements of dilapidated roads.
[Ord. No. 75, 12-19-2006; amended 5-17-2011, §71]
It is the town's policy that:
A. 
The homeowner's or property owner's association is the primary agent for ensuring that residents adhere to covenants including, but not limited to, the payment of dues and maintenance of common property.
B. 
Property sellers must disclose the existence of the covenants and restrictions to buyers of property located within a subdivision in accordance with the state law.
C. 
Each lot shall be entitled to one vote, and each lot shall bear their proportionate share of the financial burden for the maintenance of the common property within the subdivision. Covenants and restrictions shall apply to each lot and owner equally.
[Ord. No. 75, 12-19-2006; amended 5-17-2011; amended 11-16-2021 §72]
The following minimum requirements for all subdivisions and certificates of survey shall be established and not abrogated:
A. 
Each subdivision or certificate of survey that has roads or common elements requiring maintenance, shall have a homeowner's association or property owner's association.
B. 
If there are roads or other common elements requiring maintenance, then the homeowner's association or property owner's association shall collect a yearly assessment or dues for the purpose of maintaining all of the common elements within the subdivision.
C. 
If there are roads or other common elements requiring maintenance, then the dues for each lot shall be directly proportionate in relation to the number of total lots in the development to pay for the future costs of maintaining common areas, including the roads. Dues shall be assessed against all of the lots when the first lot is sold and shall continue yearly thereafter, in accordance with the following formula: The total dues for the subdivision shall be equal to the costs of maintaining the common property on an annual basis (roads, parks and common areas). The dues for each lot shall be equal to the total dues for the entire subdivision divided by the number of lots in the development.
Total dues for subdivision
=
Costs of maintaining the common property (roads, parks, ponds, streams, drainage facilities, and other common areas) annually
The dues for each lot
=
Total dues for the subdivision
 
 
Number of lots in the subdivision
1. 
The developer shall provide an estimate of the anticipated costs and present the same with the preliminary and final plat, or certificate of survey.
2. 
All funds shall be placed into an interest-bearing account and held on behalf of the homeowner's association.
D. 
The homeowner's association by-laws shall state at a minimum the association's:
1. 
Purpose;
2. 
Membership and voting, quorum and proxies;
3. 
Administration;
4. 
Association officers, selection process and their powers and duties. Once 50% of the lots have been sold, at least two-thirds (2/3) of the officers must reside within the subdivision;
5. 
Meetings;
6. 
Fiscal management; and
7. 
Disposition of the common property and responsibility for maintenance thereof, in the event of dissolution of the association in the future.
E. 
The covenants and restrictions shall include the following minimum standards:
1. 
The uses that are set forth by the zoning ordinance shall be allowed in appropriate zoning districts in the town;
2. 
Minimum set-back standards as defined in the zoning ordinance, shall be followed;
3. 
The association shall set limits to the number and kinds of animals allowed based on the size of the lots (this requirement is not necessary for certificate of surveys located in agricultural zoned property);
4. 
Animals must be contained on the owner's property;
5. 
Sewage disposal systems shall conform to state, county and town requirements;
6. 
No garbage, trash or refuse shall be burned, buried or otherwise disposed of on property within the subdivision. Garbage disposal services shall be utilized. This restriction shall not apply to organic composting;
7. 
The homeowners' association is responsible for maintaining roads and rights of ways and any other common areas within the subdivision; and
8. 
Any member of the association may enforce the provisions of the homeowner's association by initiating a lawsuit and if done, the prevailing party in any case shall be entitled to attorney fees and costs.
F. 
No person, firm or agency may change the covenants and restrictions once they are in place until at least 60% of the lots have sold to parties other than the developer. Provided however, in no event shall the modified covenants and restrictions not adhere to the minimum standards as established by this ordinance.
G. 
All homeowner covenants, restrictions, bylaws or other documents which do not contain the foregoing requirements shall be rejected by the town; and the subdivision shall not be approved.
H. 
The homeowners covenants, restrictions, and bylaws shall contain such other information as the town may require.