Lake San Marcos Lake and Recreation Area Rules and Regulations

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This is a proposed policy and CDC is seeking your input. Input timing is limited so please forward your suggestions at your earliest convenience. What do you like, what do you not like, what questions do you have, etc.? ALL YOUR INPUT SHOULD BE DIRECTED TO SCOTT CAMPBELL: scott@cdcsanmarcos.com Lake San Marcos Lake and Recreation Area Rules and Regulations These Lake San Marcos Rules and Regulations ("Rules") are binding on CDC Members, residents, and any person using, working, or entering upon Lake San Marcos (the "Lake") and apply to the Lake San Marcos Recreational Area, which area includes and surrounds the Lake owned and governed by Citizens Development Corporation (CDC). VIOLATION OF THESE RULES IS SUBJECT TO CORRECTION, FINES AND LOSS OF USE OF THE LAKE AS PROVIDED IN THESES RULES Definitions Member individuals with Lake and Lodge Lease in good standing with CDC Guest Persons visiting residents of Lake San Marcos. Guests must NOT be current residents of Lake San Marcos who are NOT in good standing with CDC or who do NOT have an executed Lake and Lodge Lease Watercraft - craft for surface transport on water excluding jet-skis, motor surfers, and water skiers and the like. Shipshape - clean, neat, and tidy: organized and in good condition as determined by the Yacht Club and Citizens Committee Shipshape Policy Grandfathered - exempt from new regulations by way of being on the lake prior to new rule implementation General Rules 1. CDC is a private Members Only entity which governs the use of Lake San Marcos and the Marina 2. CDC allows no business activity on the Lake except as it approves for furthering its purposes 3. The CDC Marina gates will remain locked at all times, there is NO public access to the Lake 4. ONLY watercraft owners with Lake and Lodge lease agreements in good standing with CDC (herein after referred to as Members), their guests, and visitors are permitted on the Marina docks and Lake Rev 1-6/10/14 Page 1 of 6

5. Guests must NOT be current residents of Lake San Marcos who are NOT in good standing with CDC or who do NOT have an executed Lake and Lodge Lease 6. Members agree NOT to live aboard or permit anyone else to live aboard their watercraft through the execution of a Lake and Lodge Lease 7. CDC Membership Cards containing an electronic access chip and photograph will be issued to each Member 8. Only the individual pictured on the CDC Membership card is authorized to use it, misuse will result in revocation or penalties 9. Members must retain their membership card at all times when using the Lake and Recreational facilities and present it when requested by a CDC or affiliate Staff member and Security personnel 10. Members are responsible for escorting their guests at all times and instructing them on the Rules and Regulations 11. Any party interested in launching a watercraft into Lake San Marcos must contact the CDC Offices to complete the application and provide all necessary paperwork to register their watercraft 12. All watercraft will need to receive a physical inspection by CDC staff prior to access. 13. All watercraft must clearly display a current CDC registration decal on the front left portion of the vessel 14. Watercraft to be used for commercial purposes will NOT be granted access to the Lake without proper legal license, prior written consent and a separate Commercial Use lease from CDC 15. Members are NOT permitted to make their watercraft available for business use, including chartering, without proper legal license, prior written consent and a separate Commercial Use lease from CDC 16. Only CDC Member or CDC Licensed watercraft will be operated upon the lake 17. Watercraft must NOT have head facilities 18. All watercraft must keep at least 15 from all docks and shoreline while underway 19. Do NOT tamper with buoy markers or signs 20. All watercraft must stay at least 15 north of the dam 21. NO person is permitted on the dam 22. Wakes are prohibited (this is a NO WAKE lake) - No boat shall exceed five (5) miles per hour except patrol boats on emergency calls. The speed limit in coves is three (3) miles per hour 23. Swimming is prohibited Motorized Watercraft 1. Must have Current CDC Registration Sticker adhered to port bow (front left as viewed from the driving position) 2. No boat that exceeds twenty four feet (24' 0") in overall length or exceeds eight feet six, inches (8' 6") in maximum beam, may be on the Lake a. Exceptions are work boats of CDC and of CDC authorized work contractors b. Boats Grandfathered on the lake 3. All powerboats must be electrically propelled except for those used by CDC, any approved boat service concessionaire licensed by CDC or its partners and those Grandfathered on the Lake a. Internal Combustion Engines must be 9.9 HP or less b. Electric Motors must be 9.9 HP (electronic equivalent) or less c. Electric trolling motors are permitted at all times 4. Fishing style boats less than 18 in length are permitted and must comply with all other regulations 5. Members must keep their vessels in Shipshape condition at all times during the term of the Agreement 6. The determination of Shipshape is in accordance with the standards developed by the Citizens Committee and CDC Management 7. The following actions must be reported immediately to CDC Management: a. Change in watercraft ownership b. Substitution of one watercraft for another Rev 1-6/10/14 Page 2 of 6

c. Change of motor/engine d. Change in mooring location e. Permanent removal of watercraft Kayaks 1. Kayakers must have an executed, paid current, Kayak Lake User Agreement, and Lake and Lodge Lease 2. Kayakers must have a current CDC registration sticker adhered their craft Model Boat Access 1. Model Boats may be put on the Lake by current leaseholders in good standing only 2. Boats must be going a respectful speed and must NOT be a nuisance to other residents or wildlife 3. Boats must stay close to the shoreline and maintain a safe distance from other vessels Invasive Species (The State of California maintains a coordinated effort to prevent and control infestation of destructive invasive species, including Quagga and Zebra mussels. These Non-native aquatic mollusks disrupt the ecological balance of entire bodies of water, damage equipment, and are extremely difficult to eradicate; as such, CDC enforces the following policies to preserve and protect the Lake) 1. All watercraft, trailers, vehicles and accessories (life vests, anchors, etc.) will be inspected by CDC for invasive species, including Quagga and Zebra mussels prior to Lake access being granted, regardless of whether previously approved by CDC 2. Watercraft and Trailer (including Kayaks, model boats, and all other types of watercraft) must be certified to have NOT been in fresh water within the last 30 days before inspection by CDC Vessel Inspection 1. Prior to Lake Access being granted all vessels will be inspected for: a. Shipshape Standards b. CDC Registration c. Invasive Species 2. To obtain an Inspection, members must: a. Complete an inspection form b. Schedule an appointment c. Remove watercraft plug(s) d. Clean the entire interior and exterior (including, but NOT limited to, ballast tanks, wakeboard bladder bags, live wells, and internal compartments) of the watercraft, trailer, and accessories (including all life vests, anchors, etc.) Watercraft MUST be clean, dry and free from mud, vegetation, and any other debris)) 3. A failed inspection will require quarantine, or alternative decontamination treatment. 4. CDC Management may choose to quarantine any watercraft for up to 30 days if the inspector has uncertainty as to whether the watercraft has been infected with invasive species, including Quagga and Zebra mussels Quarantine 1. The watercraft, trailer, and all accessories aboard the watercraft at the time of inspection will be placed in quarantine on CDC premises or at the Member s residence. 2. Red-Tag, by means of a cable lock, will be installed on all quarantined vessels, watercraft, trailers, and accessories to prevent their entry into the Lake. 3. Red-Tags must remain until re-inspection or quarantine time will reset. 4. Quarantine will be for a period of at least seven (7) and up to thirty (30) days (time depends upon weather and other environmental factors). Rev 1-6/10/14 Page 3 of 6

5. During the quarantine period, watercraft, trailer, and accessories cannot be washed, rinsed, or drained. 6. Quarantine may NOT be required if a CDC-approved hot water decontamination procedure is used, and documentation provided. Exemption 1. An inspection may NOT be required if watercraft has a service seal when leaving, and returning to, the Lake San Marcos community 2. Watercraft leaving the community for repairs, off-site storage, or other CDC approved activity, and must obtain a service seal from CDC 3. A service seal from an official governmental authority indicating a completed inspection by an authorized agent may exempt watercraft from inspection by CDC Launch Ramp Access 1. The CDC Launch Facilities will NOT be made available to Non-Members 2. All watercraft MUST be launched from the CDC Launch Ramp (with the exception of canoes and kayaks) 3. Canoes and Kayaks must be launched from the Canoe and Kayak launch ramp on the Marina Dock 4. CDC Launch Ramp access is by appointment only 5. The Launch Ramp access gate will remain locked at all times Equipment Storage 1. Watercraft owners shall NOT store or leave any items on the floats, docks, fingers or landings, including bicycles and dinghies. 2. Dock steps are NOT permitted. 3. Gear of any nature stored on any and all docks will be removed at owner s expense. 4. Flammable products of any nature stored on any and all docks will be removed at owner s expense. Mooring 1. Watercraft must be moored on the resident s half of a shared dock, Hotel dock or Marina dock. 2. NO watercraft may be anchored out overnight in the lake 3. Moving of watercraft from an assigned dock space to another must first be approved by CDC Management (the former dock space will be forfeited) 4. Front-load spots on main docks are solely reserved for pontoon boats. 5. The ends of main docks are for smaller watercraft (i.e. aluminum rowboats, sailboats, dinghies, pedal boats, and side loading craft) 6. It is the responsibility of the owner to provide the necessary and suitable dock lines, fenders and other gear for mooring their vessel 7. NO modification may be made or attached to any dock or slip by any Member without prior approval of CDC Management 8. Hydro hoists or similar type devices are prohibited unless prior written approval is obtained from CDC Management Vessel Maintenance 1. Removal of a watercraft for maintenance must be scheduled with CDC 2. NO prohibited repair work may be accomplished while at the dock or otherwise on CDC property. Rev 1-6/10/14 Page 4 of 6

3. Prohibited work includes, but is NOT limited to spray painting, heavy sanding, use of paint remover, spray guns, or burning of paint on the topsides or above the decks 4. CDC provides a dry dock for the maintenance and repair of vessels 5. The dry dock is reserved on a first come first served basis, an appointment must be made with the CDC Offices 6. Contractors hired by the owner to work on the vessel must be approved by CDC and must provide proof of liability insurance in an amount of at least $500,000 7. All work must be conducted in a manner whereby visible emissions are NOT generated and materials/wastes are NOT released into the water Waste Disposal Pets 1. The disposal of oil, chemicals, paints, thinners or batteries in the trash is specifically prohibited. 2. Hazardous materials and wastes must be removed from the premises and disposed of at a licensed waste disposal facility 3. Under NO circumstance will hazardous materials be disposed of on the CDC property. 4. Watercraft owners or their contractors are responsible for the removal and proper disposal of all hazardous waste at a licensed waste disposal facility 1. Animals are permitted in the marina and on the dock facilities only when leashed and attended by the owner 2. Any droppings on marina property must be immediately removed Noise and Conduct 1. Members and his/her guests shall NOT make or allow any disruptive noise to occur on the docks or any other CDC property 2. The hours between 10:00pm to 5:00am are quiet hours 3. Music shall NOT be played at a level that can be heard beyond the immediate confines of the vessel 4. NO person shall create a nuisance or loud and excessive noise on the lake which could disturb other Members, Residents or Wildlife 5. NO watercraft will be operated on the lake between the hours of 10:00pm and 5:00am Signage 1. NO signage of any kind may be posted, by Members or brokers/agents, upon any vessel or dock (this is to include but not be limited to For Sale signs, any type of advertisement, or political messages) without prior approval from CDC Management Penalties and Fines 1. CDC Management reserves the right, at all times, to cancel or withdraw access of any craft violating any of the foregoing rules and regulations of this private lake 2. Fines for infractions which impact the lake fines may be issued as follows: i. First Incident: A warning notice ii. Second Incident: A fine up to $125.00 and/or loss of lake use restriction up to 30days; iii. Third Incident: A fine up to $250.00 and/or loss of lake use restriction up to 60days iv. Fourth incident: a fine up to $500.00 and/or loss of lake use restriction up to 90 days. v. Fifth and subsequent incidents: as determined only by Committee with the fine portion of remedy imposed not to exceed $1000, and loss of use portion not to exceed one year without the committee revisiting the situation yearly thereafter to determine whether loss of use is to continue in each such ensuing year. Rev 1-6/10/14 Page 5 of 6

Important Numbers Emergency 911 Lake San Marcos Security Patrol (760)744-0811 CDC Offices (760) 510-3123 Police / County Sheriff s Department (760)736-2140 San Marcos Fire Department (760)744-1234 Rev 1-6/10/14 Page 6 of 6