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<br />6 <br />9138-126780\1517029.2 <br />2.7 Minimum Development Standards for Affordable Units. The Affordable Units <br />shall be constructed in accordance with all applicable City approvals. <br /> <br />2.8 Permits and Processing; Compliance with Laws. Developer, at its sole cost and <br />expense, or as otherwise set forth in a separate written agreement, shall secure or cause to be <br />secured any and all permits that may be required for development of the Project by City or any <br />other federal, state, or local governmental entity with jurisdiction over the Property or Project. <br />Upon securing any and all required permits, and all necessary financing and property interests, <br />Developer shall carry out and perform the development, operation, and maintenance of the Project <br />or cause the performance of the development, operation, and maintenance of the Project, in <br />conformity with all applicable federal, state, and local laws and regulations, and all conditions of <br />approval issued by the City Council and City's Planning Commission for the Project. Any changes <br />to the Project shall be reviewed by the City to determine compliance with this Agreement. If any <br />changes to the Project shall materially alter the ability of Developer to comply with any terms of <br />this Agreement in City’s sole determination, then City and Developer shall meet and confer to <br />address amendments and revisions to this Agreement as necessary. <br /> <br />2.9 Relocation Prior to Development of Project. If relocation is required prior to the <br />completion of development of the Project, Developer shall have the sole and exclusive <br />responsibility for providing relocation assistance and paying all relocation costs as may be required <br />to comply with applicable federal and state laws and regulations. In addition to any other indemnity <br />provided by Developer under this Agreement, Developer shall indemnify, defend (with counsel of <br />City’s choosing and the consent of Developer, which shall not be unreasonably withheld and which <br />may be joint defense counsel upon City's and Developer's consent), and hold harmless City and all <br />of its officials, officers, employees, representatives, volunteers and agents from any and all alleged <br />or actual claims, causes of action, liabilities, and damages from any third party for relocation <br />assistance, benefits and costs prior to the completion of the development of the Project. <br /> <br />2.10 Local Sourcing Plan. Developer agrees to make a good faith effort to encourage <br />contractors and suppliers to hire and procure locally, to the extent that it is cost effective and does <br />not delay the overall project development schedule. Prior to issuance of a Building Permit, <br />Developer shall develop and submit or cause the development and submittal to the Community <br />Development Agency (the “CDA”) a local sourcing plan for the Project targeting, to the extent <br />commercially reasonable, the hiring of qualified workers, construction contractors, or the <br />purchasing of goods locally within the City of Santa Ana. The plan must be reviewed and approved <br />by the CDA which if not granted or denied within five (5) business days, shall be deemed approved <br />(with such approval not to be unreasonably withheld, conditioned or delayed) and be implemented <br />for the construction of the project prior to issuance of Building Permit. <br /> <br />2.11 Mechanic's Liens; Indemnification. Developer shall take all actions reasonably <br />necessary to remove any future mechanic's liens or other similar liens (including design <br />professional liens) against the Property or Project, or any part thereof, by reason of work, labor, <br />services, or materials supplied or claimed to have been supplied to Developer or caused by, at the <br />direction of, or on behalf of Developer. Prior to the recording of this Agreement (or memorandum <br />thereof) pursuant to Section 4.1 below, Developer shall provide evidence from the Title Company <br />of any new recordings against the Property or Project. City hereby reserves all rights to post notices <br />EXHIBIT 5