CHICO >> Plaintiffs against two major government agencies connected to the Stonegate development project received a major victory Friday after a federal judge determined the project to be unlawful.

According to a press release issued Friday by the Center for Biological Diversity in conjunction with AquAlliance, the ruling stated that the United States Fish and Wildlife Service, as well as the United States Army Corps of Engineers, did not adequately communicate regarding environmental impact concerns and Chico’s vernal pools.

John Buse, the Center for Biological Diversity’s senior counsel, offered a statement with the press release.

“It was clear to us that federal agencies didn’t do their homework when allowing wetlands to be paved over,” Buse said. “I’m pleased the court agreed.”

The 313-acre project, which would have run along both sides of Bruce Road near East 20th Street and the Skyway, was approved in a 4-3 vote by the Chico City Council in 2018. Two years later, the Army Corps of Engineers approved Stonegate but, according to the release, it was determined by the court to have failed to properly consult with the Fish and Wildlife Service.

“The residential and commercial development would destroy vernal pool habitat, which is home to not just the garter snake but vernal pool fairy shrimp, vernal pool tadpole shrimp and the endangered flower Butte County meadowfoam,” the Release said.

Chris Giampaoli of Epick Homes, the company behind Stonegate, said he was disappointed with the court’s ruling.

“Decisions like this are a lot of the reasons why home prices are so expensive in Chico and in California,” Giampaoli said. “It’s a tough environment to get housing approved in a time when housing is desperately needed.”

The judge ruled that neither department addressed harm to the ecosystem by climate change in their findings and ultimate approval.

“The value of the habitat on Stonegate was documented for three decades by federal agencies and widely known by local residents and government. In this case, the court had to step in to remind all players of the values and the law,” said Barbara Vlamis, executive director of AquAlliance. “If we haphazardly build in these sensitive areas, we’ll wipe out the biodiversity that makes Butte County so special.”

Epick Homes issued a statement as well addressing the ruling.

“We are continuing to review the court’s decision pertaining to the Stonegate Project and to evaluate our options going forward in the hopes of ultimately being able to provide much-needed housing for the Chico community,” the statement said.