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4. Developer, its successors and assigns shall not charge rents for the Restricted Units <br />in excess of the amounts set forth herein, as adjusted on the basis of the revised schedules <br />of area median incomes issued from time -to -time by HUD. The City shall notify Developer <br />in writing of the adjusted allowable maximum incomes and rents. <br />5. Developer shall adopt and include as part of its Management Plan (described in <br />Section I 1 below), written tenant selection policies and criteria for the Restricted Units that <br />meet the following requirements: <br />5.1. Are consistent with the purpose of providing housing for Extremely Low <br />Income households; <br />5.2. Are reasonably related to program eligibility and the applicants' ability to <br />perform the obligations of the lease; <br />5.3. Give reasonable consideration to the housing needs of households that <br />would have a preference under 42 CFR §906.211 (Federal selection preferences for <br />admission to Public Housing); <br />5.4. Provide for: <br />(a) The selection of tenants from a written waiting list in the <br />chronological order of their application, insofar as is practicable; and <br />(b) The prompt written notification to any rejected applicant of the <br />grounds for any rejection; <br />5.5. Except with regard to persons experiencing homelessness referred off of the <br />County of Orange coordinated entry system due to the layer of forty-three (43) PBVs <br />provided by the Orange County Housing Authority, and subject to compliance with the <br />HOME Regulations, the requirements of Section 142(d) of the Code, Section 42 of the <br />Code, the County of Orange coordinated entry system and applicable California and federal <br />fair housing laws, local preference for Santa Ana residents and workers in tenant selection <br />shall be a requirement of the Project. Subject to applicable laws and regulations governing <br />nondiscrimination and preferences in housing occupancy required by Section 142(d) of the <br />Code, Section 42 of the Code, HUD or the State of California, as well as the City of Santa <br />Ana Affordable Housing Funds Policies and Procedures, the Developer shall give <br />preference in leasing units in the following order of priority: <br />(a) First priority shall be given to persons who have been permanently <br />displaced or face permanent displacement from housing in Santa Ana as a result of any of <br />the following: <br />(i) A redevelopment project undertaken pursuant to <br />California's Community Redevelopment Law (Health & Safety Code Sections 33000, et <br />seq.) — applicable only to projects funded by the Low and Moderate Income Housing Asset <br />Fund; <br />6 <br />The Crossroads at Washington <br />City NSP Affordability Restrictions on Transfer of Properly <br />