VA Entitlement Restoration: Veterans can restore previously used VA entitlement by:-Selling the original property, repaying their current VA loan in full, and disposing of the home-Allowing a qualified Veteran to assume their current loan and substitute their entitlement for theirs-Refinancing their existing VA loan into a non-VA product and invoking what's known as the "one-time restoration of entitlement."

I assume the best you could do is a non-renewal since the incident happened off your property. 

Since you're making bigger bucks than renting to non-contracted tenants you might not mind that they waste energy. 

Treat it just like any other non payment of rent.   

The Lease is an auto renew, but for one year, so it can be non renewed by either party, but a rent schedule is included such that if it is renewed the amount is specified.

Non-psychotic partner wants out.

Let them choose their own neighbors.Contact non-profit housing organizations. 

Loans are non-recourse, meaning the investor neither has to qualify for the loan nor take responsibility for the loan. 

@Miko Yeo My GC is non conventional.

You may explore starting a non-profit for philanthropy.