City of Merced, CA
HomeFederal Public and Environmental Review Notices
For Consolidated Plan, Annual Action Plan, Consolidated Annual Performance and Evaluation Report (CAPER) - and - National Environmental Policy Act (NEPA) Notices
The Housing Division will post Public Notices and National Environmental Protection Act (NEPA) Notices related to HUD-assisted projects on this webpage, as required by the Citizen Participation Plan and NEPA regulations.
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A Public Notice was posted on 7/29/25 for the 2024 Consolidated Annual Performance and Evaluation Report (CAPER) -- this notice is posted further below. Please scroll down.
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Posted 8/4/2025:
COMBINED NOTICE
Final Notice and Public Explanation of a Proposed Activity in a Federal Flood Risk Management Standard (FFRMS) Designated 100-year Floodplain
Notice of Finding of No Significant Impact (FONSI)
Notice of Intent to Request Treasury Approval
Notice of Intent to Request a Release of Funds (NOI-RROF)
To: All interested Federal, State, and Local Agencies, Groups, and Individuals: These combined notices satisfy four (4) separate but related noticing and procedural requirements for project activities proposed to be undertaken by Visionary Home Builders (VHB), the City of Merced, and the Housing Authority of the County of Merced with the use of federal funding, and as a result, the comment periods for the (1) FONSI, (2) Notice of Intent to Request Treasury Approval, (3) NOI-RROF, and (4) Final Notice and Public Explanation of a Proposed Activity in a 100-Year Floodplain, have been combined.
Project Information
The project, the Bella Vista Apartments, proposes the construction of a new 108-unit affordable housing apartment complex on a 4.65-acre vacant parcel located at 1808 Parsons Avenue, approximately 300 feet southeast of the intersection of Yosemite Parkway/Highway 140 and Parsons Avenue, in Merced, Merced County. The project will provide vital affordable housing to low-income families earning 30% and 60% of the Area Median Income (AMI), with 20 farmworker households receiving rental assistance through the provision of Project Based Vouchers (PBVs). The project will comprise of five, three-story residential buildings, a community building, and related improvements. The units themselves will be comprised of: six (6), 1-bedroom units; fifty-nine (59), 2-bedroom units; twenty-nine (29), 3-bedroom units; twelve (12), 4-bedroom units; and two (2) on-site management units. On-site amenities will include leasing offices, daycare center, a teen center, a computer room, and space for resident activities in the 7,100 square-foot community center; playground; basketball court; 183 spaces of surface parking; and full landscaping. On-site classes will offer financial literacy, homeownership education, rental counseling, and job readiness programs. Access to the development would be via two (2) ingress/egress areas within the northeast and southwest portions of the site to/from Parsons Avenue. Water, sewer, and refuse services would be provided by the City of Merced. The proposed project will be developed in a single phase. The proposed project will meet California’s building Energy Efficiency standards (Title 24) and will follow the Model Water Efficient Landscape ordinance.
Sources of Funding
Financing sources and amounts for this project include the following: U.S. Department of Housing and Urban Development (HUD) Office of Public Housing PBV Program, CFDA No. 14.871 ($2,675,880), U.S. Treasury State and Local Fiscal Recovery Fund-American Rescue Plan Act (SLFRF-ARPA) funds ($3,500,000), California State 4% Tax Credit Equity ($29,255,745), Bank of California Tax Exempt Permanent Loan ($4,219,000), RAZA Development Fund ($1,000,000), California Department of Housing and Community Development (HCD) – Multifamily Housing Program (MHP) ($19,062,940), HCD – Joe Serna, Jr. Farmworker Housing Grant (FHWG, SERNA) ($6,059,305), Accrued Deferred Interest ($292,807), City of Merced Water and Sewer Enterprise Fee Loan ($977,626), City of Merced Development Impact Fee Waiver ($756,522), Accrued Developer Fee ($49,226), Capital Contributions – General Partner (GP) (Developer Fees) ($4,406,850), Capital Contributions – Sponsor, Limited Partner Equity ($31,995,697) and Deferred Developer Fee ($1,927,023).
1. Final Notice and Public Explanation of a Proposed Activity in a FFRMS Designated 100-year Floodplain
This is to give Notice that the City of Merced, as Responsible Entity for decision-making under 24 CFR Part 58, has conducted an evaluation as required by Executive Order 11988, as amended by Executive Order 13690, in accordance with HUD regulations at 24 CFR 55.20 in Subpart C Procedures for Making Determinations on Floodplain Management and Wetlands Protection.
The entire 4.65-acre project site is located in an existing FEMA-designated AO+1 Flood Zone, in the Federal Flood Risk Management Standard (FFRMS) 100-year floodplain. The extent of the FFRMS floodplain was determined using a freeboard value approach. A former riverine was identified in 1987 U.S. Fish and Wildlife wetland mapping using infrared imagery, which has since been undergrounded by the Merced Irrigation District and will be maintained through an on-site easement. Currently the vacant site aids in groundwater recharge, and with ample permeable landscape areas included, will continue to provide some recharge and soil erosion control. The site has historically been used for heavy agricultural use (orchards), dating to at least 1937.
The Responsible Entity has considered the following alternatives to minimize adverse impacts and to restore and preserve natural and beneficial functions and intrinsic values of the existing SFHA/FFRMS floodplain: (1) The No Action Alternative is favored for rejection because it will not satisfy the requirements for slope mitigation and the high demand for affordable housing and revitalization within the Merced, Merced County area will continue to be unaddressed; (2) Locate at Another Site Alternative: for the project to be financially feasible, the land needs to be at or about the same size as the proposed. Other similarly sized sites in the City were considered; however, all these sites are also in some type of floodplain or floodway, and thus the adverse impact of development in a floodplain is not minimized by locating another site; (3) The Accept as Proposed Alternative is preferred due to: (a) the high need to provide affordable housing and vital services to low-income, at risk, and farmworker families; (b) zoning, site access, and buildable area requirements are met; (c) good proximity to transit, employment, health services, and vital retail opportunities; (d) the ability to mitigate and minimize impacts on human health, public property, and floodplain values through construction mitigation measures and the requirement of flood insurance.
The City of Merced has reevaluated alternatives to building in the floodplain and has determined that it has no practicable alternative to FFRMS floodplain development. As Mitigation Measures to minimize potential impacts, the project will: 1) follow its Grading and Drainage Plan in ensuring that all permanent structures are built above the FFRMS floodplain (BFE + 2 ft), 2) ensure that the MID retains access to the undergrounded riverine waterway through a 20-foot easement at the eastern portion of the project site; 3) ensure compliance with all applicable City of Merced Municipal Codes that address construction activities in floodplains, particularly Title 17; 4) notify all future tenants of the project’s location in a floodplain and provide information about renter flood insurance; 5) ensure that all open space and paved areas, where reasonably possible, are landscaped, designed, and built with permeable and/or semi-permeable methods and treatments that will enable the preservation of both the natural floodplain and the recharge of the City’s groundwater sources, and to prevent soil erosion. The project will abide by and be in compliance with state and local floodplain protection procedures.
Environmental files documenting compliance with Executive Order 11988, as amended by Executive Order 13690, are available for public inspection, review and copying upon request at the times and location delineated below in Public Review for receipt of comments.
There are three primary purposes for this notice. First, people who may be affected by activities in floodplain and those who have an interest in the protection of the natural environment should be given an opportunity to express their concerns and provide information about these areas. Second, an adequate public notice program can be an important public educational tool. The dissemination of information and request for public comment about floodplain can facilitate and enhance Federal efforts to reduce the risks and impacts associated with the occupancy and modification of these special areas. Third, as a matter of fairness, when the Federal government determines it will participate in actions taking place in floodplain, it must inform those who may be put at greater or continued risk.
2. Notice of Finding of No Significant Impact (FONSI)
This is to give Notice that the City of Merced has determined that the project is not an action that will result in a significant impact on the quality of the human environment. Therefore, an Environmental Impact Statement under the National Environmental Policy Act of 1969 (NEPA) is not required. Please see below under Public Review for more information regarding the Environmental Review Record (ERR).
3. Notice of Intent to Request Treasury Approval
On or about August 21, 2025, the City of Merced, as Responsible Entity, will submit a request to the U.S. Treasury for the approval to use $3,500,000 of State and Local Fiscal Recovery Funds (SLFRF) to undertake the Title I project known as the Bella Vista Apartments for the purpose of constructing a 108-unit affordable housing apartment complex located at 1808 Parsons Avenue, in Merced, California. Non-Treasury funding sources are listed above.
4. Notice of Intent to Request a Release of Funds (NOI-RROF)
On or about August 21, 2025, the City of Merced, as Responsible Entity for the Recipient, the Housing Authority of the County of Merced, will authorize the submittal of a request to the U.S. Department of Housing and Urban Development (HUD) for the release of approximately $2,675,880 of twenty (20) Section 8 Project-Based Vouchers (PBV) under Section 8(o)(13) of the U.S. Housing Act of 1937 (42 U.S.C. 1437f (o)(13)) to undertake a project known as the Bella Vista Apartments for the purpose of constructing a 108-unit affordable housing apartment complex located at 1808 Parsons Avenue, in Merced, California. Non-HUD funding sources are listed above.
Public Review
Project information is contained in the Environmental Review Record (ERR) on file at the City of Merced Housing Division located at: Merced Civic Center, 678 W. 18th Street (Second Floor), in Merced, California 95340, from 9:00 a.m. to 5:00 p.m. (closed Noon-1p.m.) Monday-Friday (excluding holidays), or viewable online at: 1) the City of Merced Housing Division website: www.cityofmerced.org/housing (follow posted links); or 2) on HUD’s public review portal at: https://cpd.hud.gov/cpd-public/environmental-reviews.
Public Comment for Final Floodplain, NOI-RROF, and FONSI Notices
Any individual, group, or agency may submit written comments on these Notices and the ERR to the following address on or before TUESDAY, AUGUST 19, 2025, AT 5:00 P.M., to: City of Merced Housing Division, 678 W 18th Street (2nd Floor), Merced, CA; phone (209)385-6863, to the attention of: Kimberly Nutt, Housing Program Supervisor. Comments may also be submitted by email to: housing@cityofmerced.org. Comments should specify which Notice they are addressing. All comments will be considered and included, if appropriate, by the City of Merced prior to submission of the Request for Treasury Approval and the Request for Release of Funds.
Environmental Certifications
The City of Merced certifies to Treasury and HUD that D. Scott McBride, Certifying Officer, in his capacity as City Manager, consents to accept the jurisdiction of the Federal courts if an action is brought to enforce responsibilities in relation to the environmental review process and that these responsibilities have been satisfied. Treasury’s and HUD’s approvals of the certification satisfies its responsibilities under NEPA and related laws and authorities and allows the City of Merced to use SLFRF funds and for the Housing Authority of the County of Merced to use PBVs for the project.
Objections to Release of Funds
Treasury and HUD will accept objections to its approval and release of funds, respectively, and the City of Merced’s certification for a period of fifteen (15) days following the anticipated submission date (8/21/25) or its actual receipt (whichever is later) only if they are on one of the following bases: (a) the certification was not executed by the Certifying Officer of the City of Merced; (b) the City of Merced has omitted a step or failed to make a decision or finding required by HUD regulations at 24 CFR part 58; (c) the recipient or other participants in the development process have committed funds, incurred costs or undertaken activities not authorized by 24 CFR part 58 before approval of a release of funds by Treasury/HUD; or (d) another Federal agency acting pursuant to 40 CFR part 1504 has submitted a written finding that the project is unsatisfactory from the standpoint environmental quality. Objections must be prepared and submitted in accordance with the required procedures (24 CFR part 58, Section 58.76) and shall be addressed to either/both: (a) Treasury (regarding approval of SLFRF-ARPA funds) by sending an email to OCA-SLFRF-EnvCertApproval@Treasury.gov, with the subject line “Objection to SLFRF Title I Project Undertaken by City of Merced” or/and, (b) HUD (regarding use of PBV assistance) by sending and email to Alison Brokke, HUD Program Analyst, at email: Alison.M.Brokke@hud.gov and RROFSFRO@hud.gov and MFW-Public-Notices@hud.gov. Potential objectors should contact Treasury or/and HUD to verify the actual last day of the objection period.
/s/ Kimberly Nutt, Housing Program Supervisor, for D. Scott McBride, City Manager/Certifying Officer; City of Merced, Responsible Entity
** Please use the link in the notice above or immediately below to view the full Environmental Assessment. The link will re-direct you to HUD's Public System to review the document. **
The Comment Period runs from 8/5 to 8/19/2025
Thank you for your participation!
- Final Draft - Bella Vista Environmental Assessment - posted for comment 8/4/25
- Site Location - Aerial
- Project Site Plan
- Grading and Drainage Plan
- Apartment Exterior Elevations
- Community Center Exterior Elevations
- Community Center - Architectural Rendering
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2024-2025 Annual CAPER Public Notice
Posted 7/29/2025
BACKGROUND: Following the end of each program year, the City of Merced must submit a Consolidated Annual Performance and Evaluation Report (CAPER) to the U.S. Department of Housing and Urban Development (HUD) that reports how and the extent to which Federal funds were used towards activities that benefitted low- and moderate-income people. Additionally, prior to drafting this year’s CAPER report, that describes activities carried out during the 2024 Program Year spanning of July 1, 2024, to June 30, 2025 (PY2024), the City must hold a public meeting that provides an opportunity for all residents to provide input regarding these activities. Further, upon completion of the draft report, the City must make the report available for public review and comment a minimum of 15 days.
PUBLIC MEETING: the Merced City Housing Division invites interested parties to attend a public meeting on Thursday, August 7, 2025, from 5:30 p.m.to 6:30 p.m., in the Sam Pipes Room, 1st Floor Merced Civic Center/City Hall, 678 W. 18th Street, Merced. Data regarding PY2024 funded activities will be available for review.
Public review and comment: The Draft 2024 CAPER report will be posted and available for public review and comment by Monday, August 11, 2025, through Monday, August 25, 2025, at 5 p.m. TO VIEW: 1) Internet: a link to view/download the Draft Report will be posted on the Housing Division’s webpage: www.cityofmerced.gov/housing; 2) In person: a printed copy will be available at the City of Merced Housing Division, 678 W 18th Street (2nd Floor), Merced; and, 3) Request a copy by email: housing@cityofmerced.org with subject line “CAPER”. TO COMMENT: Mail or hand-deliver written comments to: CAPER Comment, City of Merced Housing Division, 2nd Floor City Hall, 678 W. 18th Street, Merced CA 95340 Monday-Friday 9:00 a.m – 5:00 p.m. (Closed Noon- 1:00 p.m), or email to: housing@cityofmerced.gov with subject line “CAPER Comment”.
For special accommodations, Spanish or Hmong translation, or more information, please contact the Housing Division at (209) 385-6863, or email: housing@cityofmerced.gov. Please allow five working days’ notice for translation or hearing-impaired requests, to assure the provision of these accommodations and/or information.
City Council approval of the Final Draft of the 2024 CAPER is scheduled for the Merced City Council meeting of September 15, 2025 (6:00 p.m.). A public hearing is not required for this process; however, citizens are welcome to attend and/or submit public comment for the agenda item, as per normal citizen participation procedures. For City Council agendas, special accommodations/translators, and meeting participation instructions, please visit the City Clerk webpage: www.cityofmerced.gov/departments/city-clerk/council-meetings.
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