7/10/2026
1 Multijurisdictional
Housing Element
July 20, 2026
1 General Plan Amendment #24-06 – Housing Element,
Zoning Ordinance Amendment #26-0001,
Environmental Review #26-0068
Purpose
2 The Housing Element is one chapter or Element of
the City’s General Plan. It is updated on an 8 – year
cycle.
A comprehensive assessment of current and future
housing needs for all residents of the City of
Merced.
The primary focus of the Housing Element is to
ensure decent, safe, sanitary, and affordable
housing for current and future residents including
those with special needs.
Since 1969, California law has required that all cities and counties demonstrate how they will meet the
housing needs of everyone in the community. The
State forecasts the need for housing based on
population projections, and then each region must
show how it will accommodate that need.
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2 California Requirements for Housing
Elements
3 Adequate Sites Inventory: an inventory of land suitable for residential development that could accommodate the County’s Regional Housing Needs Allocation (RHNA)
Constraints and Barriers Analysis: an evaluation of governmental and nongovernmental barriers to housing production
Goals, Policies, and Implementation Programs: Identification of specific policies and actions to implement the Housing Element
Other analyses, policies, and goals to meet community housing needs, and/or comply with applicable State law
Regional
Housing
Needs
Assessment
(RHNA)
4 What is RHNA
•State-mandated process that quantifies housing needs for each jurisdiction, it helps communities plan for smart, sustainable growth
How the State Contributes
•Uses demographic trends and projected growth to set regional housing targets
Role of MCAG
•Distributes the state-assigned housing need across Merced County jurisdictions
•Develops RHNA methodology in consultation with HCD
Final Output
•Housing allocations divided into four income categories:
•Very Low (30 – 50% of AMI)
•Low (50 – 80% of AMI)
•Moderate (80 – 120% of AMI)
•Above Moderate (120% or more of AMI)
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3 Regional Housing Needs Assessment (RHNA)
5 RHNA Allocation Income Category
2,543 UnitsVery Low Income
1,742 UnitsLow Income
1,838 UnitsModerate Income
4,394 UnitsAbove Moderate
Income
Background/History/Actions
The City of Merced last adopted and
submitted a housing element in September
2016, which was in compliance with State
of California Housing and Community
Development Department (HCD).
6th Cycle Housing Element: January 31,
2024, through January 31, 2032
Must be adopted by City Council and
submitted to HCD
June 17, 2026 - Planning Commission
Approved Resolution # 4181,
recommending that City Council Adopt HE,
ZOA, and ER
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6 7/10/2026
4 Actions by
Year
7 2022
Actions related to Housing
Element in 2022:
17 Oct. 2022
Admin Report to City
Council on the
Multijurisdictional Housing
Element
5 Dec. 2022
Admin Report to City
Council Authorizing
Participation in the MJHE &
Cost Sharing Agreement
2023
Actions
8 2023
Actions related to
Housing Element in 2023:
7 Aug. 2023
City Council – Resolution
2023-63 – MJHE
Agreement with County,
Atwater, Dos Palos,
Gustine, Livingston, &
Los Banos. SB 244
Analysis
22 Aug. 2023
Workshop
26 Aug. 2023
Workshop
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5 2024
Actions
9 2024
Actions related to
Housing Element in
2024:
17 Jan. 2024
Proposed Rezoning
Workshop
May 2024
1st Draft, Public
Review 5/13 to 6/12
20 May 2024
Admin Report - City
Council during the
Public Review Process
following the 1st Draft
3 June 2024
Admin Report - City
Council Consent
Calendar for the
approval of PSA -
Rincon for work on
the MJHE &
Environmental Review
Services
2025
Actions
10 2025
Actions related to
Housing Element in
2025:
21 Jan. 2025
Study Session -
Planning
Commission & City
Council - Rezones
needed to meet
RHNA (10,517 units)
23 Jan. 2025
Housing Element
Programs Workshop5 Feb. 2025
Planning
Commission heard
& recommended
rezone of 27 parcels
to rezone & 3
recommended for
denial.
18 Feb. 2025
Admin Report - City
Council – Update
MJHE, Public Input
and Programs
Review
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6 2025
Actions
Continued
11 2025
Actions related
to Housing
Element in 2025:
7 Apr. 2025
2nd Draft, Public
Review 4/14 to
4/22. Also, City
Council voted
on rezones,
Ordinance 2577.
21 Apr. 2025
2nd reading of
Ordinance 2577
– Rezones to
meet RHNA
Sep. 2025
3rd Draft, Public
Review 9/26 to
10/3
Dec. 2025
4th Draft, Public
Review 12/22 to
1/9 (extended at
the request of
the public)
2026 Actions
12 Actions related to Housing Element in 2026:
• March 2026 – Technical Advice Meeting. 5 th Draft, Public Review 3/5 to 3/12 • March 17, 2026 -
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7 Zoning
Ordinance
Amendment
#26-0001
Permit owner-occupied and rental multi-family
uses by-right for developments in which 20
percent or more of the units are affordable to
lower-income households. By-right means
approval without discretionary review.
Permit the development of at least 16 units per
site.
Establish a minimum density of 20 units per acre
and a maximum density of at least 24 units per
acre for all rezone sites to accommodate lower
income RHNA.
Ensure that either: a) at least 50 percent of the
shortfall of low- and very-low-income regional
housing needs can be accommodated on sites
designated for exclusively residential uses; or b)
if accommodating more than 50 percent of the
low- and very-low-income regional housing
needs on sites designated for mixed uses, all
sites designated for mixed uses must allow 100
percent residential use and require that
residential uses occupy at least 50 percent of
the floor area in a mixed-use project.
13 Programs
14 Programs were reviewed and approved by Council; modifications were made throughout the review process to include more measurable outcomes and meet State expectations and Housing Law.
Program 1: Regional Collaboration
Program 2: Adequate Sites for RHNA and Monitoring of No Net Loss * Program 3: By-Right Approval *
Program 4: Replacement Housing *
Program 5: Accessory Dwelling Units
Program 6: Zoning Code Amendments *
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8 Programs
15 Program 7: Facilitating Affordable Housing Development Program 8: Preservation of At-Risk Housing *
Program 9: Housing Preservation and Rehabilitation
Program 10: Lower-Income and Special Needs Housing
Program 11: Farmworker Housing
Program 12: Water and Sewer Service *
Program 13: Community and Economic Development
Program 14: Fair Housing Outreach and Enforcement
CEQA
16 General Plan EIR Addendum – adopted in April 2025
Environmental Review #26-0068 - Statutorily Exempt
from CEQA pursuant to CEQA Guidelines Section 15162
Future development will require CEQA review
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9 General Plan Consistency
17 Adopt a Resolution amending the General Plan - 6th Cycle Multijurisdictional Housing Element
Adopted Housing Element to be incorporated into the
City’s Comprehensive General Plan Update
Timeline
Adoption of General Plan Amendment – Housing
Element
1st Reading of the Zoning Ordinance Amendment for
the RHNA sites
2nd Reading of the ZOA – next City Council meeting
30 days after the 2nd approval the ZOA is in effect
Pending - HCD – letter of substantial compliance
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10 Recommendation
Adopt the GPA 24-
06 Housing Element
Approve the ZOA
26-001
Approve
Environmental
Review 26-0068
19 Questions?
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