Tannos Developement Group, LLC and Lone Star Wilderness Trails Estates, LLC v. Galveston County Consolidated Drainage District

CourtCourt of Appeals of Texas
DecidedJune 5, 2025
Docket01-25-00020-CV
StatusPublished

This text of Tannos Developement Group, LLC and Lone Star Wilderness Trails Estates, LLC v. Galveston County Consolidated Drainage District (Tannos Developement Group, LLC and Lone Star Wilderness Trails Estates, LLC v. Galveston County Consolidated Drainage District) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tannos Developement Group, LLC and Lone Star Wilderness Trails Estates, LLC v. Galveston County Consolidated Drainage District, (Tex. Ct. App. 2025).

Opinion

Opinion issued June 5, 2025

In The

Court of Appeals For The

First District of Texas ———————————— NO. 01-25-00020-CV ——————————— TANNOS DEVELOPMENT GROUP, LLC AND LONE STAR WILDERNESS TRAILS ESTATES, LLC, Appellants V. GALVESTON COUNTY CONSOLIDATED DRAINAGE DISTRICT, Appellee

On Appeal from the 122nd District Court Galveston County, Texas Trial Court Case No. 24-CV-2406

MEMORANDUM OPINION

This case involves one drainage district, a few thousand loads of dirt, and a

civil procedure rule that puts strict requirements onto temporary injunction orders.

When the district discovered large amounts of dirt being deposited on a local tract of land, it concluded that it was seeing “construction” activity, which requires

preclearance under its published regulatory manual. Because the developer had not

obtained such preclearance, the district fined the developer $3.4 million for past

violations and sought an injunction to prevent more dirt from piling up in the future.

After a hearing, the trial court ruled that the dirt work counts as construction.

It signed an order saying so and granting the temporary injunction. The order bars

the developer from several activities, including “work on the property in furtherance

of anything covered by” some plans in an email “admitted as Plaintiff’s Exhibit 11.”

The developer now assails the order on numerous grounds:

1. Piling up dirt is not “construction” and requires no permission. 2. An interlocal agreement outsourced oversight from the district to the City of Friendswood, which gave the work a green light. 3. The equities do not favor injunctive relief. 4. The district failed to show irreparable harm. 5. The order fails to satisfy Texas Rule of Civil Procedure 683.

The $3.4 million fine is not before us. We face only the injunction.

We dissolve the trial court’s temporary injunction.

Background

In flat areas near the coast, the issues of drainage and flooding constitute

serious business. They can implicate important policy issues and spark strong

2 feelings among neighbors. A man’s castle may become his island, if not his swamp,

when neighboring castles go too far in altering local drainage patterns.

Galveston County, home to waterways like Clear Creek and Chigger Creek,

is also home to the Galveston County Consolidated Drainage District, created under

Texas Water Code Chapter 56. By law, the district has the power to adopt a master

drainage plan, as well as rules relating to adequate drainage or flood control. See

TEX. WATER CODE § 49.211(c). It has exercised that power by publishing a Drainage

Criteria Manual, which lays out a scheme for seeking and obtaining approval before

engaging in certain kinds of projects.

The district’s jurisdiction includes the Galveston County part of the City of

Friendswood. As is common in cases of overlap between local governmental units,

the district and the city have entered into an interlocal agreement. Their agreement

sets forth “City Responsibilities” and “District Responsibilities” for purposes of

regulating drainage and flood control.

The developer, Tannos Development Group, says that it is one of the largest

real estate developers in the county. To move ahead with a 106-acre mixed-use

project called Friendswood City Center, the developer decided to transport some of

the dirt being excavated in that part of Friendswood to Wilderness Trails,1 a Tannos

1 Wilderness Trails is a proposed subdivision development located on a 40-acre tract of land. Lone Star Wilderness Trails Estates, LLC currently owns the property. 3 project in a different part of Friendswood. The developer views this dirt relocation

as a way to stockpile dirt economically, reducing costs and the amount of public

bond revenues needed, thus saving money for city taxpayers.

That sunny view, however, is not shared by the district. The district sees the

matter as construction work within the meaning of the manual, and hence an activity

that requires district approval. According to the district, the developer had

approached it earlier with drainage plans for Wilderness Trails but was denied

permission and simply blazed ahead in open violation of roughly a dozen sections

of the manual every day. With each daily violation subject to a fine of up to $1,000,

the district calculated the fines due as $3.4 million.

The dispute quickly went to court. The district sought a declaration about the

applicability of the manual to the work. It also sought a temporary injunction. At

the injunction hearing, the district portrayed the case as a simple one of a duly

created drainage district and its duly elected board members being brazenly ignored

by a developer.

The developer countered that there is no construction going on at Wilderness

Trails—just the temporary stockpiling of some dirt. The developer felt that the

manual says nothing about stockpiling dirt, that the interlocal agreement relegates

this particular issue to the City of Friendswood (which duly approved the work), and

that the board’s decisions appear suspect because of a personal conflict of interest.

4 The trial court held an evidentiary hearing on the district’s request for a

temporary injunction. The district called its engineer and then promptly rested. The

developer called the city engineer, the city manager (who is an engineer), an outside

engineer, and Louis Tannos. At the end of the hearing, the court granted the

injunction. Several of the order’s sections warrant quotation because the developer

challenges the order’s form as inconsistent with Rule 683:

2. The Property is located near other residential areas and drains into Chigger Creek. 3. Fill is being trucked by dump trucks to the Property. One or more of the Defendants testified that they are placing fill on the Property that they are relocating from another site in Harris County pursuant to a permit that was issued by the City of Friendswood but was not submitted to, nor was it approved by, GCCDD. .... 6. GCCDD has a published manual called the GCCDD District Drainage Criteria Manual (the “Manual”). No party claimed that any of the rules or procedures in the Manual were unreasonable with respect to construction activities on the Property. The GCCDD engineer testified that the installation of the fill does not comply with the Manual. By November 18, 2024, GCCDD gave notice to Defendants that it believed the Defendants were in violation of District rules. Defendants kept on delivering fill to the Property thereafter. 7. The parties disputed whether placing fill was a construction activity. The Court finds that placing fill material on the Property is a construction activity even though it is not the erection of a building or the creation of a structure. Construction activities reasonably include modifications to a property by the addition of fill even if at some later date it may be modified, altered and/or removed. As Defendants proved they intend this fill to remain on the Property. 8. While the parties disputed the drainage impact of the fill it is possible that a pile of dirt that the Defendants proved may eventually be 10’ tall

5 could impact drainage in a material way. The Court is generally aware that water drains downhill. It was not unreasonabl[e] for GCCDD to believe that this amount of fill could impact drainage. 9. GCCDD has jurisdiction over this Property and irreparable harm would occur if GCCDD were not entitled to review, comment and potentially approve the Project under the procedures outlined in the Manual.

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Tannos Developement Group, LLC and Lone Star Wilderness Trails Estates, LLC v. Galveston County Consolidated Drainage District, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tannos-developement-group-llc-and-lone-star-wilderness-trails-estates-llc-texapp-2025.