Loan is in effect, Developer may not withdraw funds from the Replacement Reserve
<br />Account for any other purpose without the prior written approval of the City.
<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,
<br />disability, religion, sex, marital status, national origin, or ancestry in the sale, lease,
<br />sublease, transfer, use, occupancy, tenure or enjoyment of the Property, nor shall
<br />Developer or any person claiming under or through it, establish or permit any such
<br />practice or practices of discrimination or segregation with reference to the selection,
<br />location, number, use or occupancy of tenants, lessees, subtenants, sublessees, or vendors
<br />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
<br />land, and (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,
<br />sex, marital status, disability, national origin, or ancestry. Developer shall take
<br />affirmative action to ensure that applicants are employed, and that employees are treated
<br />during employment, without regard to their race, color, disability, creed, religion, sex,
<br />marital status, disability, national 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
<br />will be binding upon each contractor for the benefit of City, provided that the foregoing
<br />covenant shall not apply to contracts or subcontracts for standard commercial supplies or
<br />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
<br />in the past, of any Hazardous Materials, or of the transportation to or from the Property of
<br />any Hazardous Materials, (b) that asbestos or polychlorinated biphenyls (PCBs) are
<br />contained in or stored on the Property, or (c) that there are any underground storage tanks
<br />located in, on or under 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
<br />Property, (b) immediately pay or cause to be paid all costs and expenses incurred by
<br />reason of such compliance, (c) keep the Property free and clear of any environmental
<br />55C-34
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