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City Council/Public Finance and Economic Development Authority/Parking Authority
February 18, 2025

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February 18, 2025
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City Council/Public Finance and Economic Development Authority/Parking Authority
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CITY OF MERCED

HOUSING DIVISION
First Public Hearing
for the
2025-2029 Consolidated Plan and
2025 Annual Action Plan
City Council Meeting
February 18th, 2025

WHAT IS A CONSOLIDATED PLAN?
• Planning document required by HUD* every 5 years
as a condition of receiving funding
• Assists the City in determining the following needs
based on data analysis & community outreach:
• Housing and homelessness needs
• Economic development needs
• Public facilities and infrastructure needs
• Community service needs
• Includes needs assessment, market analysis, strategic plan, and first year annual action plan
*HUD = U.S. Department of Housing & Urban Development

FOUR IMPORTANT DOCUMENTS
"SAY" "DO" "SHOW"
5-Year
Consolidated Plan
Annual Action Plan Consolidated Annual Performance and
Evaluation Report
“HOW"
Citizen Participation Plan

CONSOLIDATED PLAN PROCESS
Community
Engagement
(community
meetings and
surveys)
Drafting of
Consolidated Plan
1st Public Hearing &
Start of 30-Day
Public Comment
Period in
February/March
2025
Virtual Community
Meeting
(February 25th)
Updating of
Consolidated Plan
2nd Public Hearing in
May 2025
Submission of
Approved
Consolidated Plan
to HUD by May
2025

COMMUNITY
ENGAGEMENT • 2 Community Meetings were held on January 8th and January 16th
• 2 Stakeholder Meetings were held on January 9th and
January 17th
• A total of 103 Comments were received
• A 3rd Community Meeting will be held February 25th
• In our feedback received to date:
• The Community Needs survey received a total of
92 participants
• The Stakeholder survey received 9 participants

SUMMARY OF PUBLIC COMMENTS
• Increase affordable housing options
• Creation and preservation of affordable rental and for-sale units • Expansion of rental assistance to include move in costs • Homeowner rehabilitation programs
• Expand knowledge and services of Fair Housing
• Offer a range of housing programs and services, from emergency to permanent housing. • Improve and expand access to essential services, community infrastructure, and economic development opportunities in South Merced
• Pedestrian walkways and bike pathways
• Street lighting
• Flood retention strategies

PUBLIC COMMENTS - HOUSING
• Increase to the housing inventory across all income levels, with a particular focus on long-term affordable housing and housing for vulnerable populations. • Services that increase housing stability including home repairs, rapid rehousing, short term and long-term rental assistance, utility assistance, and food security programs. • Development of new affordable housing units, prioritizing seniors, individuals with disabilities, or other households more vulnerable to housing instability. • Support to purchase and maintain homes, including financial assistance programs, homebuyer education, and home repair programs to help residents achieve and sustain homeownership. • Explore alternative development models, such as the subsidy of Accessory Dwelling Units (ADUs) or mixed-use affordable housing.

PUBLIC COMMENTS - HOMELESSNESS
• Prevention services that link people to resources, including rapid rehousing and mental and behavioral health services.
• Expansion of emergency housing programs, including rapid rehousing, short-term emergency rental assistance, hotel/motel vouchers, and shelters
• Supportive services such as mental or behavioral health services and substance abuse treatment both for those experiencing homelessness and those in permanent supportive housing
PUBLIC COMMENTS – QUALITY OF LIFE
• Investment in community programs and centers to support seniors, youth, and families, particularly in South Merced
• Increase pedestrian walkways and bike paths, especially in South Merced and areas with large investments in affordable housing, to better connect households to work centers. • Support for vulnerable populations through public services like nutrition assistance, physical, mental, behavioral health services, general healthcare, childcare, job training, and support for young adults transitioning from foster care.
• Invest in streetlighting and ADA compliant sidewalks, especially in South and Central Merced • Investment in job training and education programs in industries of growth

RENTER AND HOUSEHOLD DEMOGRAPHICS
56% of households
are renters
44% of households are
homeowners
Median rent: $1,293
Median home value:
$347,700
49% of renters are
cost-burdened
25% of homeowners are
cost-burdened
Annual income needed
to afford rent: $51,720
69% of households have
mortgages
Sources: U.S. Census Bureau 2018 & 2023 ACS 5-Year Estimates; 2017 to 2021 CHAS; Zillow Rental Data

AGE OF HOUSING IN MERCED
Y ear Unit Built Owner-Occupied Renter-Occupied
Number % Number %
2000 or later 4,059 33% 3,950 26%
1980-1999 2,880 24% 4,243 28%
1950-1979 4,244 35% 5,466 36%
Before 1950 1026 8% 1,614 11%
To t a l 12,209 100% 15,273 100%
Data Source: 2019-2023 ACS

PUBLIC SERVICE INFORMATION
• There are 1,472 affordable and permanent supportive housing units funded through a combination of federal, state, and local programs. These units serve households earning up to 80 percent AMI.

• Over 900 year-round beds are available to support individuals experiencing homelessness.

This includes emergency shelters, transitional housing, permanent supportive housing (PSH), and rapid rehousing programs.
• The City offers supportive services for older adults and individuals who are frail or elderly, individuals living with HIV/AIDS and their families, individuals with substance use disorders (SUDs), and individuals with mental or physical disabilities.

FY 2025 -2030 DRAFT CONSOLIDATED PLAN
GOALS

1. Enhance housing opportunities by increasing the availability of affordable housing options and improving the efficiency and cost-effectiveness of existing housing.

2. Address housing inequalities by offering fair housing services to residents.

3. Promote housing stability for the city’s most vulnerable residents by supporting a range of programs and services that address needs across the housing spectrum, from emergency to permanent housing.

4. Improve quality of life throughout communities by improving and expanding access to essential services, community infrastructure, and economic development opportunities.

CURRENT CONSOLIDATED PLAN GOALS
PROGRAM YEARS 2020 TO 2024
Six Consolidated Plan Goals for Program Y ears 2020 to 2024 • Affordable Rental Housing: T o preserve, rehabilitate, and enhance existing neighborhoods, and housing as applicable with an emphasis on South and Central Merced. • Support Services to Y outh, Homeless, Seniors: Provide support services for the City’s residents with an emphasis on the homeless and services to seniors. • Fair Housing: Ensure that all housing programs are available without discriminations based on race, color, religion, sex, national origin, age, income, disability status, etc. • Public Facilities and Infrastructure: T o preserve, rehabilitate, and enhance existing public facilities. • Job Creation: T o address the City’ significantly high unemployment rate with economic development. • Neighborhood Revitalization: Create neighborhood revitalization opportunities within targeted areas of the City.

FY 2024 -25 HUD FUNDS (CURRENT YEAR) *
Activity T ype Amount
CDBG $1,056,567
HOME $450,563
T otal FY 24-25’ Allocation $1,507,130
Program Income (CDBG+HOME) $228,327
Carryover Funds (CDBG+HOME) $1,744,820
T otal Budget (CDBG+HOME) $3,480,277
* Includes 1st Substantial Amendment approved by City Council on 2/3/2025 FY 2025 -2026 CDBG AND HOME ALLOCATION
AND EXPECTED RESOURCES *
Resource T ype Amount
CDBG (estimated) $ 1,000,000
HOME (estimated) $ 480,000
T otal FY 24-25’ Allocation (estimated) $ 1,480,000
Program Income (CDBG+HOME) (estimated) $ 168,000
* HUD is anticipated to announce CDBG and HOME allocations between March – June 2025 The 2024 program year is still in progress - therefore, estimated totals for 2025 Carryover Funds (CDBG+HOME) and 2025 T otal Budget are still to be determined.

CITY OF MERCED

HOUSING DIVISION
209 -385 -6863

KIM NUTT
Housing Program Supervisor
[email protected]

DAWN MENDONCA
Housing Specialist
[email protected]

ERICA STAFFORD
Housing Program Specialist
[email protected]

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