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(ii) Such policies shall be reasonably related to program eligibility and the applicants' ability to perform the obligations of the approved resident lease agreement; (iii) Such policies shall give reasonable consideration to the housing needs of senior citizens that would have a federal preference under 42 U.S.C. § 12744 of the Cranston- Gonzalez National Affordable Housing Act of 1992; (iv) Such policies shall provide for: (A) The selection of tenants from a written waiting list approved by the Agency and City, in the chronological order of their application, insofar as is practicable; and (B) The prompt written notification to any rejected applicant of the grounds for any rejection; (v) Such policies shall provide first priority in the selection of qualified eligible tenants to households that are referred by the Agency or City; and (vi) Such policies shall carry out the adopted affirmative marketing procedures of the City of Santa Ana, which are designed to provide information and otherwise attract eligible persons from all racial, ethnic and gender groups in the housing market area to the units. Prior to the date of these Restrictions, City has provided Developer with the City's affirmative marketing procedures. (vii) Developer and Agency shall cooperate to effectuate the tenant selection policies described in this Section prior to the initial renting, or upon occurrence of a vacancy, and the re-renting of any Affordable Unit. (e) Termination of Tenancy. Developer, its successors or assigns, must adhere to federal and state law requirements with regard to termination of any tenancy of each and every Affordable Unit. Developer may not terminate the tenancy or refuse to renew the lease of a tenant of an Affordable Unit within the Project except for failure to pay rent, serious or repeated violation of the terms and conditions of the lease; for violation of applicable federal, state, or local law; or for other good cause. Any termination or refusal to renew must be preceded by not less than 30 days by Developer's service upon the tenant of a written notice specifying the grounds for the action. (f) Termination of Management Contract; Replacement of Management Agent. If at any time the Agency determines that the units are not being managed or maintained in accordance with the approved Management Plan, Developer shall change the management agent or the practices complained of, upon receipt of written notice from the Executive Director. The Executive Director may require Developer to change management practices or to terminate the management contract and designate and retain a different management agent. The management contract shall provide that it is subject to termination by Developer without penalty, upon thirty (30) days prior written notice, at the direction of the Executive Director. Within ten (10) days following a direction of the Executive Director to replace the management agent, the Developer shall select another management agent or make other arrangements satisfactory to the Executive Director or designee for continuing management of the Housing Units. 4 DOCSOC/ 1495827v2/200272-0003