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Developer may not withdraw funds from the Replacement Reserve Account for any other <br />purpose without the prior written approval of the City which must be consistent with other lender <br />and investor approvals. <br />13. NONDISCRIMINATION COVENANTS <br />13.1 Obligation to Refrain from Discrimination. Developer covenants and agrees <br />that: <br />a. In Use of Property. There shall be no discrimination against or <br />segregation of any person, or group of persons, on account of race, color, creed, disability, <br />religion, sex, marital status, national origin, or ancestry in the sale, lease, sublease, transfer, use, <br />occupancy, tenure or enjoyment of the Property, nor shall Developer or any person claiming <br />under or through it, establish or permit any such practice or practices of discrimination or <br />segregation with reference to the selection, location, number, use or occupancy of tenants, <br />lessees, subtenants, sublessees, or vendors of the Property. <br />b. In Affordable Housing Restrictions. The foregoing covenant shall (a) <br />be included in the Affordability Restrictions on Transfer of Property, (b) run with the land, and <br />(c) remain effective for the term of the contract (for 55 years). <br />C. In Employment. In construction on the Property, Developer shall not <br />discriminate against any employee or applicant because of race, color, creed, religion, sex, <br />marital status, disability, national origin, or ancestry. Developer shall take affirmative action to <br />ensure that applicants are employed, and that employees are treated during employment, without <br />regard to their race, color, disability, creed, religion, sex, marital status, disability, national <br />origin, or ancestry. <br />d. In all Contracts. Developer shall cause the foregoing covenants to be <br />inserted in all contracts for any work covered by this Agreement so that such provisions will be <br />binding upon each contractor for the benefit of City, provided that the foregoing covenant shall <br />not apply to contracts or subcontracts for standard commercial supplies or raw materials. <br />14. ENVIRONMENTAL MATTERS <br />14.1 Representation and Warranty. Except as disclosed in writing to the City, <br />Developer has no knowledge (a) of the presence on, under or about the Property, now or in the <br />past, of any Hazardous Materials, or of the transportation to or from the Property of any <br />Hazardous Materials, (b) that asbestos or polychlorinated biphenyls (PCBs) are contained in or <br />stored on the Property, or (c) that there are any underground storage tanks located in, on or under <br />the Property. <br />14.2 Compliance with Environmental Laws. Developer shall (a) comply with all <br />environmental laws and environmental permits applicable to the construction of the Property, (b) <br />immediately pay or cause to be paid all costs and expenses incurred by reason of such <br />compliance, (c) keep the Property free and clear of any environmental claims or liens imposed <br />26 <br />1096A53 \1389382.1 <br />