PRESENTER: Presenter
Valeria M. Acevedo, City Attorney
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SUBJECT: Title
Approval of a settlement agreement among the City of New Braunfels, Texas and Y.C. Partners, Ltd. d/b/a Yantis Company, C3 Environmental Specialties, L.P. and Halff Associates, Inc., and authorizing the City Manager to execute the agreement.
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DEPARTMENT: City Attorney’s Office
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COUNCIL DISTRICTS IMPACTED: City wide
BACKGROUND INFORMATION:
This litigation concerns the North Tributary Project alleged construction failures by the contractor, Yantis Company, alleged engineering design errors by Halff Engineering, and alleged failure of the interlocking blocks to function as installed by a Yantis Company subcontractor, C-3 Environmental. Yantis Company, the contractor, commenced the litigation against the City, then the City counterclaimed against Yantis Company. The City sued Halff Associates, Inc., the engineering firm as an additional third party, and later Yantis Company sued its subcontractor, C-3 Environmental Specialties, L.P.
The current case was placed on a hold status for a number of years because of a parallel litigation concerning the viability of the City’s construction contract with the Yantis Company, which was ultimately resolved in the City’s favor. The current case is for jury trial on April 27th, 2026. On January 6th, all the parties participated in a mediation which resulted in the proposed settlement agreement with all parties for all pending claims.
ISSUE:
A settlement agreement has been reached by the party representatives, pending approval of the City Council, as set forth in the agreement.
FISCAL IMPACT:
The City will receive $1,100,000.00 from the parties.
Recommendation
RECOMMENDATION:
Staff recommends approval.