STAFF REPORT
Meeting Date:
December 9, 2025
CONSENT
14 SUBJECT: INITIATION OF CEQA REVIEW AND APPROVAL OF CONSULTANT
AGREEMENT FOR THE PROPOSED ALISO ESTUARY RESTORATION
PROJECT
RECOMMENDATION: It is recommended that the City Council:
1. Authorize the initiation of environmental review for the proposed Aliso Estuary Restoration Project in accordance with the California Environmental Quality Act, with the City of Laguna Beach serving as the lead agency, and direct staff to assume that role for purposes of environmental review and coordination;
2. Approve a professional services agreement with Rincon Consultants, Inc. in the amount of $117,882 to prepare the required CEQA documentation, with the City contributing $100,000 and the balance funded by the Laguna Ocean Foundation through grant resources;
3. Authorize the City Manager to execute the agreement and any necessary amendments, in a form approved by the City Attorney; and
4. Find that the recommended action is not a project subject to the California Environmental Quality Act pursuant to Section 15378 of the CEQA Guidelines, as it involves only the initiation of environmental review and does not commit the City to a specific physical development or construction project.
SUMMARY OF THE MATTER
This item requests City Council authorization to initiate formal environmental review for the proposed Aliso Estuary restoration project, and to approve a service agreement with Rincon Consultants to prepare or review the required California Environmental Quality Act (CEQA) documentation. The City owns key parcels within Aliso Beach Park and serves as the lead agency responsible for evaluating potential environmental, operational, and public access effects associated with any restoration activity. This report’s staff recommendation was prepared in accordance with City Council direction provided on October 22, 2024.
Since 2018, LOF has secured more than $2,600,000 in State, Federal, and private funding and has produced technical studies that inform feasibility, site constraints, coastal processes, utilities, public access, and environmental resources. These products hold independent value to the City and will assist in future planning regardless of whether the restoration ultimately proceeds. The upcoming CEQA process will analyze environmental impacts, evaluate alternatives, identify required permits, address public access and recreation issues, and further define long term operational obligations and future roles of the City and other agencies.
The recommended action does not approve the proposed Aliso Estuary restoration project, authorize any construction, or resolve jurisdictional hurdles that may limit any eventual project, especially in regard to infrastructure in place and owned by the South Coast Water District (SCWD). It is a procedural step that initiates CEQA review and retains a qualified consultant for the City. This process will include an Initial
INITIATION OF CEQA REVIEW AND APPROVAL OF CONSULTANT AGREEMENT FOR
THE PROPOSED ALISO ESTUARY RESTORATION PROJECT
December 9, 2025
Study and an Environmental Impact Report (EIR). At the conclusion of its preparation, the EIR will be reviewed by Planning Commission for certification. If the EIR is completed and certified by the Planning Commission, the EIR then would be provided to the City Council. The certified EIR will provide the City Council with the full range of information necessary for a decision on whether or not to proceed with the proposed Aliso Estuary restoration project.
To initiate the CEQA review, staff is recommending retaining Rincon Consultants at a cost of $117,882.
The City Council has previously appropriated $100,000 in 2020, in anticipation of environmental review for a possible restoration of the Aliso Estuary. LOF has committed to funding the remaining amount through its grant resources, so no additional appropriation is required. The estimated construction cost is $20,000,000 and would rely entirely on outside funding. State and Federal agencies have indicated continued interest, and the proposed Aliso Estuary restoration project remains competitive for future grants.
The CEQA process, anticipated to occur through 2026, will provide multiple opportunities for public participation and will return to the City Council for all major decisions before any advancement to design or construction.
DISCUSSION
Section 1
Proposed Aliso Estuary Restoration Project Background
This proposed estuary restoration project involves City participation because the City owns key parcels within Aliso Beach Park and holds responsibility for managing public access, public safety, and coastal resources. As landowner, the City must serve as the CEQA lead agency for any discretionary approvals that may affect City property or operations. Restoring the estuary would improve natural habitat, enhance resilience to coastal flooding, and address long standing resource management constraints in the area. The effort responds to community interest in preserving the natural character of the Aliso Creek watershed while ensuring that City facilities and coastal access remain functional and safe.
The completion of the CEQA process will provide the City with technical data relevant to flood behavior, public access, coastal processes, and utility infrastructure. The data have independent value and will inform future planning and coastal management decisions regardless of whether the proposed Aliso Estuary restoration project proceeds beyond CEQA review.
To date, the City Council has provided direction to support the proposed Aliso Estuary restoration project’s conceptual development, including:
• 2015–2021: Designation of project representatives and allocation of initial funding. • January 2024: Direction to submit the conceptual plan for Planning Commission review. • August 2024: Completion of Planning Commission conceptual review. • October 2024: City Council direction to prepare a scope of work for the Environmental Impact Report (EIR) and return to City Council with a contract for consideration. Council deliberations at this time also included a request that SCWD be further consulted as to their concerns (if any) about the Project (Attachment 2).
The proposed Aliso Estuary restoration project review occurs in the following sequence:
INITIATION OF CEQA REVIEW AND APPROVAL OF CONSULTANT AGREEMENT FOR
THE PROPOSED ALISO ESTUARY RESTORATION PROJECT
December 9, 2025
1. Concept Review and Planning Commission Input (Completed)
2. Authorization to Initiate CEQA Environmental Impact Report; including peer review of Technical Studies. (For Consideration December 9, 2025)
3. Planning Commission review and consider Certification of EIR
4. City Council review EIR and determine if City should proceed with proposed Aliso Estuary restoration project, which would include a Memorandum of Understanding (MOU) with LOF
5. If the City Council votes to proceed with the restoration project, the City would work with other agencies to obtain necessary permits and complete final design
6. Construction would initiate if funding is obtained by LOF Laguna Ocean Foundation Contribution
LOF has secured more than $2,600,000 in State, Federal, and private foundation funds to support the Aliso Estuary restoration. These funds have advanced a range of technical and planning tasks, beginning with the 2018 science based Conceptual Restoration Plan confirming the feasibility of restoring the estuary to a viable habitat. Subsequent work has included technical studies to inform restoration design, public outreach, site design and park planning analyses, coordination with permitting agencies, and engagement with the County of Orange, SCWD, the South Orange County Wastewater Authority (SOCWA), City decision makers, and the public. LOF has also contributed its own funds and in-kind labor, including pro bono grant writing and project management.
This work produced a Conceptual Restoration Plan that reflects Planning Commission and staff feedback and aligns with the operational needs of SCWD, SOCWA, and The Ranch. Current State grant funding includes allocations for post CEQA tasks to carry the proposed Aliso Estuary restoration project through permitting and make it shovel ready. Construction and implementation, estimated at $20,000,000, are expected to be funded by State and Federal partners that have expressed interest in supporting proposed Aliso Estuary restoration project delivery.
In developing the Conceptual Restoration Plan, LOF produced technical products that address existing conditions of City owned real property conveyed in 2023. These products have independent value for the City and include resource and constraint mapping, regulatory analyses, and feasibility evaluations. The table below summarizes the list of products and their corresponding cost as reported by LOF:
Product Estimated Cost
Topographic basemap, including PDF and CAD files, aerial topographic and planimetric data, utilities, manholes, and Record of Survey mapping of easements, property lines and rights of way
$150,000
Mapping of underground public utilities (SOCWA, SCWD and City facilities) $120,000 Jurisdictional wetlands delineation (report and data) $15,000 Delineation of tidelands in Aliso Beach Park and development of State Lands Commission pathways for City use of Public Trust Lands
$36,000
Phase 1 Environmental Assessment $6,000
Rare plant survey and vegetation mapping $10,500
Flood modeling of existing hydrology and flood conditions $57,000 Water and sediment quality study $20,000
Drainage plan for inland areas of Aliso Beach Park $24,200
INITIATION OF CEQA REVIEW AND APPROVAL OF CONSULTANT AGREEMENT FOR
THE PROPOSED ALISO ESTUARY RESTORATION PROJECT
December 9, 2025
Parking and circulation analysis $25,000
Coastal processes study (sand budget, erosion, lagoon modeling, mouth migration, and analysis of conditions affecting surfing and skimboarding) $136,000
Flood modeling study (creek flooding and scour assessment) Included above Geotechnical reports $58,568
Arboreal survey $6,930
Cultural resources surveys (archaeological, historical, tribal and paleontological) $10,420 Section 2:
Environmental Review Overview
If the Council determines to initiate the environmental review of the estuary restoration project, then the next phase will be the preparation of an Initial Study and the EIR. The EIR will evaluate potential environmental effects of the proposed restoration project and identify mitigation measures to ensure informed and legally defensible decision making by the City. The CEQA process will also provide formal opportunities for public agencies and community members and members of the public generally to submit comments. Responses to these comments will be incorporated into the final EIR.
The Environmental Impact Report will provide detailed analysis of public access and recreation issues, including potential changes to beach conditions, visitor circulation, and recreational opportunities. The City will ensure continued public access and will coordinate with recreational user groups throughout the process.
Summary of Community and Planning Commission Input
During conceptual review, the Planning Commission and members of the public raised questions regarding public access, sand movement, flood behavior, and the relationship between the project and facilities operated by SCWD and the SOCWA. These comments informed the Conceptual Restoration Plan and will guide the scope of analysis in the EIR. The CEQA process will allow residents, coastal users, agency partners, and stakeholder groups to participate in scoping, attend public meetings, review project alternatives, and submit formal comments for City consideration.
Technical Studies and Peer Review
The project area includes Aliso Beach Park. Technical studies evaluated coastal processes, lagoon behavior, sand movement, public access, parking, and circulation. These studies provide preliminary insight into how restoration may influence surfing and skimboarding conditions, beach access, and visitor use patterns.
Technical studies completed to date also identify constraints that require further analysis during the CEQA process. These include utility infrastructure owned by SCWD and the SOCWA, creek hydrology and flood conveyance, erosion patterns, and obligations to maintain safe and reliable public access. Additional technical work is underway, including, coastal process analysis, refinement of hydrodynamic modeling, and development of utility protection measures.
During the EIR process, Rincon will conduct a peer review of all technical studies to confirm that methodologies, assumptions, and conclusions meet professional standards and comply with CEQA requirements. Peer review provides an independent assessment that strengthens the accuracy and credibility
INITIATION OF CEQA REVIEW AND APPROVAL OF CONSULTANT AGREEMENT FOR
THE PROPOSED ALISO ESTUARY RESTORATION PROJECT
December 9, 2025
of the studies, reduces the risk of analytical error, and ensures that the public and decision makers can rely on the technical foundation of the EIR.
Interagency Coordination and Infrastructure Considerations The proposed restoration project requires close coordination with agencies that own property, operate utilities, or regulate coastal and environmental resources. These include SCWD, the County of Orange, the California Coastal Commission, the California State Lands Commission, and regional water quality and wildlife agencies.
SCWD officials have stated that significant District infrastructure is located within the potential project area, including recycled water pipelines, wastewater pipelines, and a recycled water pump station. They have indicated that these facilities must either be avoided entirely or relocated, with any relocation funded by the project.
The EIR will identify required permits, property rights constraints, and infrastructure protection needs. The City will return to the City Council with a detailed description of partner agency positions and required agreements once the EIR is completed.
Scope of Services for RFP
The City issued a Request for Proposals on its online bidding platform, and sent a notice to its on call professional services list seeking a qualified CEQA consultant to perform the following tasks:
• Technical Peer Review: Review CEQA documentation prepared by the applicant’s consultant to ensure accuracy, adequacy, and objectivity under CEQA Guidelines. • EIR Coordination: Work alongside City staff, legal counsel, and the Restoration Team (Laguna Ocean Foundation) to ensure the EIR reflects the City’s independent judgment. • Technical Studies Review: Evaluate technical reports such as coastal process analysis, hydrodynamic modeling, water quality, biological resources, geotechnical analysis, flood modeling, and trip generation assessment.
• Public Meetings: Attend up to ten coordination meetings, two scoping sessions, two Planning Commission meetings, and up to two City Council meetings throughout the CEQA process.
The City received five proposals and selected Rincon as the most qualified bidder due to cost, ability to perform the task, and a track record of successfully performing previous CEQA support services for the City. Staff is recommending that the City Council authorize the City Manager to execute a service agreement with Rincon to perform the scope of services.
EIR Schedule (Simplified for Public Reference)
Milestone Date (Estimated)
City Council Consider Awarding Contract for CEQA Consultant December 9, 2025 Initiate CEQA December 2025
Publication of Notice of Preparation (NOP) and 30-day public scoping January - February 2026 Public Scoping Meetings Mid-January 2026
Preparation of Administrative Draft EIR January–March 2026 Release of Public Draft EIR (45-day review) April–June 2026
INITIATION OF CEQA REVIEW AND APPROVAL OF CONSULTANT AGREEMENT FOR
THE PROPOSED ALISO ESTUARY RESTORATION PROJECT
December 9, 2025
Planning Commission Hearing (receive comments) May 2026 Preparation of Final EIR and Mitigation Monitoring Plan June–July 2026 Planning Commission Design Review & EIR Certification August 2026 This timeline is subject to modification depending on the completeness of technical studies and public comment volume.
The CEQA process will evaluate the most extensive restoration plan under consideration, including its full range of environmental effects, technical requirements, and operational implications. By studying the broadest and most complex version of the proposed project, the EIR will also provide the analytical foundation to understand reduced scale or less intensive restoration alternatives. This approach ensures that the City and the public can compare the benefits, impacts, feasibility considerations, and tradeoffs between varying levels of restoration, and select a path that best aligns with environmental objectives, regulatory requirements, infrastructure constraints, and community priorities.
Clarification of What the Recommended Action Does and Does Not Do The recommended action authorizes initiation of CEQA review and consultant retention. It does not approve the restoration, authorize construction, or commit the City to proceeding with the proposed restoration project. Any decision to proceed with the restoration, adopt a final design, execute a MOU, or apply for construction funding will require separate City Council action.
FINANCIAL ANALYSIS
Environmental Impact Report Preparation
The City Council appropriated $100,000 for the proposed restoration project during midyear review on February 25, 2020. These funds support the preparation of the EIR. Rincon’s proposal totals $117,882. LOF has indicated that its grant funding can cover the amount above $100,000. No additional appropriation is required.
Construction Cost and Final Design
The estimated construction cost of $20,000,000 reflects current assumptions regarding grading, habitat restoration, public access improvements, utility protection, and environmental mitigation. The estimate includes contingencies and may change as design advances. The potential project will not proceed to construction unless outside funds cover the full cost. LOF has met with California Coastal Conservancy and USFWS, both of which remain supportive and indicate that the proposed Aliso Estuary restoration project would be competitive for future funding.
ENVIRONMENTAL IMPACT
The recommended action is not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15378, as it does not constitute a “project” under CEQA. Specifically, the action authorizes the initiation of environmental review and the retention of a consultant to prepare CEQA documentation. It does not approve any physical development or commit the City to a course of action that would result in a direct or reasonably foreseeable indirect physical change in the environment.
As the CEQA lead agency, the City will oversee the preparation of an EIR to evaluate the potential environmental effects of the proposed Aliso Estuary restoration project, identify project alternatives, and
INITIATION OF CEQA REVIEW AND APPROVAL OF CONSULTANT AGREEMENT FOR
THE PROPOSED ALISO ESTUARY RESTORATION PROJECT
December 9, 2025
determine appropriate mitigation measures. Future discretionary actions, including any design approvals or construction authorizations, will require additional environmental review and public hearings before the City Council.
ATTACHMENTS
1. Service Agreement with Rincon (Pgs. 7-37)
2. Rincon Proposal (Pgs. 38-120)
Submitted By:
.
Approved: Dave Kiff
Dave Kiff, City Manager
Report Prepared By: Coordinated With:
Jeremy Frimond, Assistant City Manager Shaveta Sharma, Senior Planner