STATE OF TEXAS COUNTY OF BELL

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1 RP 08/14/ O r STATE OF TEXAS COUNTY OF BELL SECTION 8.10 POWER TO ADOPT RULES AND REGULATIONS AS PER DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS HIDDEN SPRINGS SECTION ONE RECORDED IN VOLUME 446 PAGE 147, AND HIDDEN SPRINGS SECTION TWO RECORDED IN VOLUME 4811 PAGE 265. NOTICE IS HEREBY GIVEN THAT THE HIDDEN SPRINGS PROPERTY OWNERS ASSOCIATION, P.O. BOX 185, SALADO, TEXAS BOARD OF DIRECTORS HAS APPROVED A SUPPLEMENT TO THE BYLAWS AND DECLARATIONS (ALSO REFERRED TO AS COVENANTS), AND AS DIRECTED IN COVENANT ARTICLE VIII, SEE THE ATTACHED NEW RULES AND REGULATIONS DATED AUGUST 7, 2008 TO BE RECORDED IN BELL COUNTY, TEXAS RECORDS. 1 y: BELL Doc: Date: 08/14/2008 Vol: Page: Page 1 of 8

2 HIDDEN SPRINGS PROPERTY OWNERS ASSOCIATION RULES AND REGULATIONS 1. This document contains approved by the Board of Directors as a supplement to the Bylaws and Declarations (also referred to as Covenants), and as directed in Covenant Article VIII (Duties and Powers of the Property Owners Association) and specifically cited below: a. Section 8.01 General Duties and Powers of the Association. "The Association has been formed to further the common interest of the Members. The Association, acting through the Board of Directors or through persons to whom the Board of Directors has delegated such powers (and subject to the provisions of the Bylaws), shall have the duties and powers hereinafter set forth and, in general, the power to do anything that may be necessary or desirable to further the common interest of the members, to maintain, improve, and enhance the Common Areas, and to improve and enhance the attractiveness, desirability, and safety of the tkvelopment." b. Section 8.10 Power to Adopt Rule and Regulations. "The Association may aciap4 amend, repeal and enforce rules and regulations ("Rules and Regulations', fines, levies, and enforcement provisions as may be deemed necessary or desirable with respect to the Interpretation and implementation of this Declaration, the operation of the Association, the use and enjoyment of the Common Areas, and the use of any other Property, facilities, or improvements owned or operated by the Association.' 2. The intent of the Covenant sections cited above is to permit the Board of Directors (as the agent of the Association) to adopt, amend, repeal, and enforce necessary rules and regulations to ensure the attractiveness, desirability, and safety of this development. Unlike the Covenants, the Rules and Regulations are provisions that the Board can review, improve, amend, or rescind as conditions change or warrant. 3. The Hidden Springs contain Covenant Interpretations, fine and levy programs, and enforcement measures for upholding the Covenants. This document is every bit as important to the property owner as the Bylaws and Covenants, and is posted on the Association website. Copies are also furnished to prospective builders, homeowners, and realtors as appropriate. 4. Property improvements previously approved by the ACC are not affected by rules and regulations adopted after the fact However, when the property owner desires to change previously approved improvements or make additional improvements, then these rules apply in total to proposed changes and improvements. 5. Board approved apply to all of the Salado Hidden Springs Property Owners Association and indudes geographical Sections 1 and 2 of the Development 6. Consistent with the Covenants Section 4.05, property owners may apply to the Architectural Control Committee for a variance (i.e., relief from the rule) if the relief or exception can be justified on merit. The burden for showing sufficient merit for the variance is on the property owner, and the ACC is under no obligation to grant a variance unless two-thirds of the committee members agree with the property owner's request. 2 y: BELL Doc: Date: 08/14/2008 Vol: Page: Page 2 of 8

RULE 2008-001: BUILDING CONSTRUCTION CLARIFICATION 1. Rule 2008-001 pertains to Declaration Article 111 (Use Restriction), specifically Section 3.

3 RULE : BUILDING CONSTRUCTION CLARIFICATION 1. Rule pertains to Declaration Article 111 (Use Restriction), specifically Section 3.01 Single Family Residential Construction, which is repeated for ease of reference below: "Except as provided below, no one dwelling building shall be erected, altered, placed or permitted to remain on any Tract other than one dwelling unit per each Tract to be used for single family residential purposes. One guest/servants house may be built provided said guest/servants house contains no less than (51V) square fee4 no more than one-thousand two hundred (1200) square fee4 is built alter or, while the main dwelling is being built and has prior approval of the Architectwal Control Committee. A/I residences must have a garage. Detached garages and workshops may not be constructed on the Property prior to the main dwelling being built One barn and/or storage building may be constructed on the properly prior to the main dwelling being built provided such barn and/or storage building is approved in waling by the Architectural Control Committee prior to being ereclzd, altered or placed on the property and are placed on the rear half of the property, out of view of any road, and behind the intended dwelling site. All structures must be approved in writing by the Architectural Control Cbmmittee, prior to being erected, altered or placed on the Property. The term "dwelling' does not include either double wide or manufactured home or single wide mobile homes, or prefab houses regardless of whether the same are placed upon permanent foundation, and said homes am not permitted within the Subdivision. All dwellings must have at least one thousand eight hundred (1800) square feet of living area for one story homes and two thousand (2000) square feet of living area for two story homes, with at least one thousand (1000) square feet an the ground floor, excluding porches, and be built with the new construction material. Any building, structure or improvements commenced on any tract shall be completed as to the exterior finish and appearance within six (6) months from the commencement date All garages, including detached garages, will be of the same general construction as the main dwelling and located on the tract according to the Committee approved building site plan and shall be suitable for not less than two (2) automobiles. All garage entries must face the rear or side lot fine. No carports shall be allowed. 2. Rule : Building Construction Clarification Authorized construction in Hidden Springs includes the main dwelling, guest house, detached garage, workshop, storage building, barn, and well house. Workshops, storage buildings, and barns are classified under this rule as auxiliary buildings. A single property may have only one auxiliary building, regardless of the type. Structures other than the aforementioned, such as a greenhouse, pergola, or pool house, are permitted but are not considered auxiliary buildings When the owner chooses to construct auxiliary building prior to the main dwelling (as permitted in Section 3.01 Covenants), then he must initiate construction of the main dwelling within 6 months from the construction start date on the auxiliary building Any building located within 50 feet of the main dwelling must be constructed of the same masonry materials as the dwelling Roll-Up doors on well houses shall face to the side or rear of the lot. Roll-Up doors on an Auxiliary Building may face to the front of the tract if this disposition ensures a smaller building profile to neighbors and the county roads. Colors of doors must be complimentary to the building The size of an Auxiliary Building may be the size of the main dwelling but not larger than two thousand five hundred (2500) square feet, whichever is smaller. No building that Is separate from the dwelling may be taller than sixteen (16) feet Overhangs, carports, and awnings are not permitted. Eaves of the roof up to 36 inches are permitted for auxiliary buildings or garages. Auxiliary buildings may have an overhang if the intended use is for horse stalls, and no overhang may be wider than 12 feet or cause the overall size of the auxiliary building to exceed 2500 square feet 3 y: BELL Doc: Date: 08/14/2008 Vol: Page: Page 3 of 8

4 Well Houses may be no larger than 500 square feet in area. Greenhouses and pool houses may be no larger than 250 square feet in area Colors of dwellings, auxiliary buildings, well houses, roofs, etc. shall be neutral colors. All colors must be approved by the ACC and be supported by color chips, RULE : DRIVEWAYS CLARIFICATION 1. Rule pertains to Declaration Article III (Use Restriction), specifically Section 3.24 Driveways (same as Section 3.25 in Section One Second Amendment) which is repeated for ease of reference below: "No later than sixty (60) days after the main dwelling is completed, the driveway shall be completed All driveways shall be constructed of asphalt two (2) course surface treatments, exposed aggregate finished concrete, conaete or brims pavers materials and shall extend no less than from the paved country road to the front setback line unless otherwise approved by writing by the Architectural Control Committee." As adopted by the Hidden Springs Property Owners Meeting , Two Course Surface Treatment shall mean the following: a. Prepare the surface with packed caliche or similar material b. Apply binder of cutback asphalt or emulsion c. Immediately apply aggregate (3/8 gravel or similar) d. Apply a second coat of binder e. Immediately apply second coat of aggregate f. Roll the treated surface g. Sweep off and remove loose aggregate 2. Rule : Driveways Clarification All driveways that abut the county road will be improved in accordance with the materials listed in the Covenants (Section 3.24 for Section Two, and 3.25 Second Amendment for Section One) Principal residential driveway must be constructed within sixty (60) days after the main dwelling is completed. Construction must use Section 3.24/3.25 approved materials from the county road to and including the garage entrances, unless otherwise authorized by the ACC Driveways that originate from another point on the property or as a spur off the main driveway may be unimproved, except for any part of this drive that is within 75 feet of the county road Maintenance and upkeep of driveways: M Driveways must present distinct linear edges and must be continually maintained, free of vegetation, excessive wear, and materials deterioration For driveways that are required by the Bell County Engineers to have a culvert, the homeowner shall ensure the culvert is completely covered with one of the approved surface materials (i.e., asphalt, two course surface treatment, exposed aggregated finished concrete, concrete, or brick pavers materials) Secondary driveways that do not abut the county road but are within 75 feet of the county road's edge will have the same maintenance requirements as the primary drive. RULE : CORNER LOTS CLARIFICATION 4 y: BELL Doc: Date: 08/14/2008 Vol: Page: Page 4 of 8

5 1. Rule pertains to Declaration Article III (Use Restriction), specifically Section 3.01 Single Family Residential Construction, and Section 3.24 Driveways, which are repeated for ease of reference under Rules and of this document. 2. Rule : Corner Lot Clarification The main dwelling on all corner lots will be constructed to have the garage entrance on the side of the house where there is no county road, or to the rear of the dwelling Detached garages on all corner lots will be constructed on the side of the tract that is not bound by a side county road. RULE : FENCE AND WALL SPECIFICATIONS 1. Rule pertains to Declaration Artide III (Use Restriction), specifically Section 3.12, Walls, Fences, and Mailboxes, which is repeated for ease of reference below: "Waits and fences, If any, must be approved prior to construction by the Architectural Control Committee and, unless otherwise permitted by the Architectural Control Committee, must be constructed of wood, metal, masonry, masonry veneer, or smooth wire. Electric ;sire and chain link fencing shall not be permitted. All wooden fences must be painted and the color of such paint must be approved by the Architectural Control Committee.' 2. Rule : Fence and Walt Specifications Fences will be of uniform construction material for the front and sides of the property to the rear of the dwelling. Fences in the rear of the property may be of dissimilar materials in accordance with Covenant Section Wood fences may be stained or painted. All metal and veneer fences except for those pretreated in the manufacturing process or not requiring protective coating -- will be painted a uniform color approved by the ACC All walls, including those intended for landscaping, must be approved by the ACC prior to construction Homeowners will be responsible for deaning, staining and/or painting, and repairing fences periodically to maintain a high state of condition and appearance No mailboxes will be erected at individual residences. RULE : VERTICAL OBSTRUCTIONS CLARIFICATON 5 y: BELL Doc: Date: 08/14/2008 Vol: Page: Page 5 of 8

6 1. Rule pertains to Dedaration Article III (Use Restriction), specifically Section 3.13, Antennas, Towers, and Satellite Dishes, which is repeated for ease of reference below: 'Antennas, towers, or satellite dishes of any kind shall not exceed ten feet above the roof of the Dwelling or Accessory Building whichever is higher. Any antenna, tower or satellite dish must be located to the side or rear of the Dwelling or Accessory Building and not within twenty (20) feet of any side Prosoerty fine, twenty-five (259 of any side Property line facing a sweet or sirty (609 of any rear Property line. Notwiffistanding, the placement of the Antenna, tower or satellite dish must be approved by the Architectural Control Committee, prior to placement. Nothing herein shall be constnied to conflict with the rules and regulations set forth by the Federal Communications Commission." 2. Rule : Vertical Obstructions Clarification Full-size windmills shall not exceed ten feet above the roof of the main dwelling Windmills must be located to the side or rear of the Dwelling and not within twenty (20') feet of any side Property line, twenty-five (25') of any side Property line facing a county road, sixty (60') of any rear Property line, or closer than 75 feet to the county road paralleling the front of the property, as per the recorded setback lines in Section 3.03 of the Covenants. RULE : MAINTENANCE OF RESIDENCES 1. Rule pertains to Declaration Article III (Use Restriction), which is silent about the Homeowner's and Builder's responsibilities for maintaining completed dwellings. 2. Rule : MAINTENANCE OF OCCUPIED AND VACANT RESIDENCES The builder and/or homeowner (as applicable) will ensure the following actions are accomplished no later than 75 days after the main dwelling exterior construction is finished (completion date verified by the Architectural Control Committee): Builder or homeowner will remove all building materials, trash, and debris from the lot. Debris includes mounds of dirt, rocks, fallen tree limbs, unsightly brush, dead vegetation, etc. that are not a part of the intended landscaping Builder need not install extensive landscaping measures but will take prudent necessary actions to prevent erosion of the property and ensure that good visual integrity is maintained Builder or homeowner will dear dead limbs and selectively trim brush and trees on any front part of the tract that is to be left natural Builder or homeowner choosing to leave the front of a tract as natural will ensure grass vegetation is mowed regularly and that trees are free of unsightly underbrush and broken limbs Builder or homeowner will remove storm damaged debris (fallen trees, limbs, and damaged natural and man-made materials) not later than 45 days of the damage occurring Builder or homeowner will periodically perform yard work and other maintenance of the property to ensure it does not appear to be abandoned or unkempt, or is detrimental to the appearance of neighbors' properties. 6 y: BELL Doc: Date: 08/14/2008 Vol: Page: Page 6 of 8

7 Builder or homeowner will maintain all structures and property In good repair and appearance (i.e., repair wind damage, flaking paint, broken windows, shutters, damaged roofs, broken gates and fences, detached gutters, etc.) Hidden Springs homeowners may rent or lease their dwellings only to single families. Homeowners leasing or renting their homes are responsible for ensuring that their tenants fully observe the Covenants, Rules, and Regulations of the Hidden Springs POA. STATE OF TEXAS COUNTY OF BELL Except as amended herein, the shall remain in Full Force and Effect. IN WITNESS WHEREOF, the undersigned, being a the Hidden Springs Property Owners Asso. Ion, has the day of cer or Autho Agent of h re nt its ve Office r Authorized Agen Hidden Springs POA This instrument was acknowledged before me on this 1 3 day of 2008, by of the Hidden Springs POA. iiane MIDLER by Commission Expires November 07, 2011 CafeLtA..K1 NOTARY PUBLIC, STATE OF TEXAS Notary's Name Printed: >cii r My Commission Expires: t I /9,1-0 (1 AFTER RECORDING, Rril1RN TO; H.S.P.O.A. P.O. Box 185 Salado, TX C k. 7 : BELL Doc: Date: 08/14/2008 Vol: Page: Page 7 of 8

8 Bell County Shelley Coston County Clerk Belton, Texas ecorded On: August 14, 2008 instrument Number As Recordings Parties: HIDDEN SPRINGS PROPERTY OWNERS ASSOCIATION Billable Pages: 7 To PUBLIC Number of Pages: 8 Comment: rdings ( Parties listed above are for Clerks reference only ) " Examined and Charged as Follows: ** Total Recording: """**"**''* DO NOT REMOVE THIS PAGE IS PART OF THE INSTRUMENT''`**"****' -`** "rile Information: Document Number: Receipt Number: Any provision herein which restricts the Sale, Rental or use of the described REAL PROPERTY because of color or race is invalid and unenforceable under federal law. Record and Return To: Recorded Date/Time: August 14, :57:40A PO BOX 185 SALADO TX User / Station: N Mitchell - Cash Station 1 HIDDEN SPRINGS PROPERTY OWNERS I hereby certify hal this Insaument was filed on the date at time stamped hereon and was duly tecoted the Real Property Records in Bet County. Texas Shelley Coston Bell Coady Clerk ty: BELL Doc: Date: 08/14/2008 Vol: Page: Page 8 of 8

STATE OF TEXAS COUNTY OF BELL SECTICN 8.10

RP 01/06/2010 1111111101 111 Doc* 00000594 STATE OF TEXAS COUNTY OF BELL SECTICN 8.10 POWER TO ADOPT RULES AND REGULATIONS AS PER DECLARATION OF COVENATNS, CONDITIONS AND RESTRICTIONS HIDDEN SPRINGS SECTION