Block grant awards and a public hearing on an annexation application are on the agenda for the Merced City Council Monday.The meeting will be held at 6 p.m. in the Council Chamber on the second floor of the Merced Civic Center, (City Hall), 678 W. 18th St. The Council meets the first and third Mondays of the month, except when there is a holiday, when it meets the following day.

The Council will be asked to allocate the Community Development Block Grant (CDBG) and HOME Investment Partnership Program funds (HOME). The federal funding comes from the Department of Housing and Urban Development.

Among the grants to be awarded are: $60,000 to Restore Merced for a neighborhood clean-up program, $465,000 for Sierra Saving Grace homeless project and $250,000 for the Merced Rescue Mission Hope for the Families Project.

Louann Bianchi and Quad LLC have asked to annex 8.83 acres of land at Highway 59 and Santa Fe Drive. There were issues with traffic flow that came up at the Sept. 17 meeting, so the public hearing was continued while staff worked on potential solutions that will be presented Monday. The site would be developed into two phases with phase one including a fast food restaurant, convenience market, drive-thru coffee shop and a gas station.

Also on the agenda is a report on the results of the Pavement Management System survey. The survey to assess the condition of City streets was conducted by the Merced County Association of Governments. The results will be used to direct future funding towards street repairs.

The Council also will be receiving the quarterly update on its goals and priorities at the meeting.

The Council will meet in closed session at 5:30 p.m. to discuss public employment of a city attorney.