A federal judge's decision last week halted progress on the Stonegate Development Project in Chico, Off Bruce road and East 20th Street , citing concerns over its impact on the local ecosystem. The judge ruled that the original approval of the 314-acre project, which included housing, parks and an open land reserve, did not meet necessary regulations, particularly in reporting its impact on local wildlife. The City of Chico initially approved the project in 2018, followed by the U.S. Army Corps of Engineers in 2020. However, the site is identified as a core recovery area for vernal pool species. Local Environmental groups filed a lawsuit against federal agencies for failing to report the project's impact on protected species that include the meadowfoam and Fairy shrimp. Chico City officials indicated that the future of the project now rests with the landowners and federal agencies.