PRESENTER: Presenter
Valeria M. Acevedo, City Attorney
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SUBJECT: Title
Approval of a settlement agreement between River Ranch RV Park and Resort (“River Ranch”) and the City in Cause No. C2022-0386D, City of New Braunfels, TX, Plaintiff, v. In Rem 420 BUS 35N, New Braunfels, TX, Jimon Inc. D/B/A River Ranch RV Park Resort, Defendants; and authorizing the City Manager to execute related documents.
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DEPARTMENT: City Attorney’s Office
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COUNCIL DISTRICTS IMPACTED: City wide
BACKGROUND INFORMATION:
The River Ranch RV Resort, located at 420 S. Business Interstate Hwy 35, New Braunfels, Texas, on the banks of the Guadalupe River has been a RV park business by different names for several decades. The city’s current ordinances prohibit the placement of recreational vehicles (“RVs”) within the city’s floodway. The city’s floodway, which is designated by FEMA, encompasses close to ninety percent (90%) of the entirety of the River Ranch property. On October 14, 2021, a flood occurred which required evacuation of that location involving police, fire, EMS, and swift water rescue units, and even resulted in an RV being swept down the Guadalupe River. The Fire Department rescued several people trapped in an RV as it floated into the river. The New Braunfels Police Department had to go “RV to RV” to get people out. There was a proven safety concern by allowing the RVs to be placed in that location which posed a health and safety hazard and risk. At the time, the city operated with a yearly inspection of the property authorizing certain continued uses as an RV park. The inspections were performed annually by the Fire Department.
The City initiated litigation to enforce their ordinances and after a hearing in 2022, the district judge granted in part and denied in part the City’s request for a temporary injunction to shut down the business. The order included a list of safety measures (new and improved siren, a locking gate, posted evacuation procedures, emergency numbers for city staff, sheriff, and GBRA, restricting use of RV spaces closest to the Guadalupe River (spaces 13-18) and other emergency requirements) which the defendants needed to implement as well as deposit $13,000 cash into the registry of the court in the City’s name in the event a future flood occurs. The bond should cover the City’s estimated emergency response costs.
In 2023, TXDOT revealed its plans to construct a flyover road that will require land acquisition of this RV park and other properties in the path of the project. Earlier in the litigation, the parties considered the City’s purchase of the property, however, it was cost prohibitive. With TXDOT involved, the City would save millions of dollars in land acquisition costs. As a result of TXDOT’s plans to acquire this land, the recommendation is to temporarily allow the RV park to remain in business subject to increased safety measures set forth above plus additional ones with consequences for non-compliance, and other terms. The settlement agreement terms would be incorporated into a final judgment of the case and signed by the judge. The safety measures would be restrictions that would run with the land. The final judgment would resolve all the pending claims between the Parties.
ISSUE:
A tentative agreement has been reached by the party representatives, pending approval of the City Council.
FISCAL IMPACT:
The city will pay $55,000 towards attorney’s fees, which will come from non-departmental contingencies allocated in the FY 2024 Adopted Budget.
Recommendation
RECOMMENDATION:
Staff recommends approval.