City of Lake Forest seeks funds for housing rehabilitation and paint grant programs.

NOTICE OF INTENT TO REQUEST RELEASE OF FUNDSNOTICE OF FINDING OF NO SIGNIFICANT IMPACT AND
City of Lake ForestCity Manager’s Office100 Civic Center Drive, Lake Forest, CA 90630
These notices shall satisfy two separate but related procedural requirements for activities to be undertaken by the City of Lake Forest.
REQUEST FOR RELEASE OF FUNDS
On or about March 17, 2026, the City of Lake Forest will submit a request to the U.S. Department of Housing and Urban Development (HUD) for the release of Community Development Block Grant funds under Title I of the Housing and Community Development Act of 1974 (PL 93-383)], as amended, to undertake an activity known as the Housing Rehabilitation Program. The purpose of the program is to encourage the rehabilitation of housing units occupied by eligible homeowners to eliminate housing and building code and health and safety issues. The Housing Rehabilitation Loan Program provides deferred payment loans up to $40,000 for single-family units and $25,000 for mobile home units. Loans carry 0% interest with deferred payment until the time a property is sold or transferred. The City anticipates utilizing approximately $200,000 in CDBG program resources per year for the program. Over five years, an estimated $1,000,000, plus program income from repayment of prior funded loans received during respective years, may be allocated for this activity. The City also offers a Paint Grant Program. The purpose of the program is to maintain and improve the character, aesthetic quality and property values within the community. Grants for single family homes cannot exceed $12,000.00 and mobile homeowners cannot exceed $7,500.00. The City anticipates using approximately $50,000 in CDBG program resources per year for the program. Over five years, an estimated $250,000 may be allocated for this activity.
FINDING OF NO SIGNIFICANT IMPACT
The City of Lake Forest has determined that the program will have no significant impact on the human environment. The basis of this finding is the following: the proposed activity will not take place in or near a coastal barrier, coastal zone, farmlands, sole-source water aquifer, wild and scenic rivers, wetlands, or endangered species habitats. Each housing unit to be assisted will be individually reviewed to ensure compliance with applicable regulations, including flood plain management, historic preservation, explosive and flammable operations hazards, airport clear zone issues, toxic chemicals, and radioactive material hazards, and lead-based paint hazards. Furthermore, compliance with all City ordinances and permit conditions will minimize impacts on the environment in terms of noise and air quality (i.e., construction dust). Therefore, an Environmental Impact Statement under the National Environmental Policy Act of 1969 (NEPA) is not required. Furthermore, since the scope of the proposed activity will not substantially change from year to year, the Environmental Review Record will cover five program years, including July 1, 2025 to June 30, 2026, July 1, 2026 to June 30, 2027, July 1, 2027 to June 30, 2028, July 1, 2028 to June 30, 2029, and July 1, 2029 to June 30, 2030. No further federal environmental review of this activity will be conducted prior to the request of release for Federal funds. However, a statement documenting no substantial change in the nature of the programs will be prepared at the beginning of year two, three, four, and five.
Additional project information is contained in the Environmental Review Record (ERR) on file at 100 Civic Center Drive, Lake Forest, CA 90630 or by contacting Adrian Grijalva agrijalva@lakeforestca.gov
PUBLIC COMMENTS
Any individual, group, or agency may submit written comments on the ERR to the City of Lake Forest, Community Development Department. All comments received by March 16, 2026 will be considered by the City of Lake Forest prior to authorizing submission of a request to release funds. Comments should specify which Notice they are addressing.
ENVIRONMENTAL CERTIFICATION
The City of Lake Forest certifies to HUD that Keith Neves, in his capacity as Assistant 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. HUD’s approval of the certification satisfies its responsibilities under NEPA and related laws and authorities and allows the City of Lake Forest to use Program funds.
OBJECTIONS TO RELEASE OF FUNDS
HUD will accept objections to its release of fund and the City of Lake Forest’s certification for fifteen days following the anticipated submission date or its actual receipt of the request (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 Lake Forest; (b) the City of Lake Forest has omitted a step or failed to make a decision or finding required by HUD regulations at 24 CFR part 58; (c) the grant 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 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 of environmental quality. Objections must be prepared and submitted in accordance with the required procedures (24 CFR Part 58, Sec. 58.76) and shall be addressed to the HUD Office of Community Planning and Development at 300 N. Los Angeles Street, Ste. #4054, Los Angeles, CA 90012. Potential objectors should contact HUD to verify the actual last day of the objection period./s/Thy MerrittCity ClerkThe Orange County RegisterPublished: 2/26/26