Texas River Barges, Appellant/Appellee v. City of San Antonio, Appellee/Appellant

CourtCourt of Appeals of Texas
DecidedJanuary 12, 2000
Docket04-98-00837-CV
StatusPublished

This text of Texas River Barges, Appellant/Appellee v. City of San Antonio, Appellee/Appellant (Texas River Barges, Appellant/Appellee v. City of San Antonio, Appellee/Appellant) 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
Texas River Barges, Appellant/Appellee v. City of San Antonio, Appellee/Appellant, (Tex. Ct. App. 2000).

Opinion

No. 04-98-00837-CV
TEXAS RIVER BARGES,
Appellant/Appellee
v.
THE CITY OF SAN ANTONIO,
Appellee/Appellant
From the 224th Judicial District Court, Bexar County, Texas
Trial Court No. 96-CI-13733
Honorable Andy Mireles, Judge Presiding

Opinion by: Tom Rickhoff, Justice

Sitting: Phil Hardberger, Chief Justice

Tom Rickhoff, Justice

Alma L. López, Justice

Delivered and Filed: January 12, 2000

AFFIRMED AS MODIFIED

In this appeal, we must decide whether the City of San Antonio (the City) has authority to regulate navigation on the San Antonio River (the River) and whether the City may be held liable in tort for interfering with a private entity's operation of a commercial barge service on the River. We conclude that the River is a navigable stream that may be used and enjoyed by the public, but that the City may regulate navigation on the River to prevent endangering the public and jeopardizing the River's distinctive and sedate character. We also conclude that the City is immune from the tort claims asserted in this suit.

Factual and Procedural Background

In 1995, the City and Yanaguana Cruises, Inc., entered into a contract that granted Yanaguana the exclusive right to operate dinner, tour, and taxi barges on an approximately 2.25 mile stretch of the River in downtown San Antonio. This stretch of the River varies in width from 15 to 70 feet, is bisected at points by bridge support columns, and at its narrowest points does not permit side-by-side passage of two barges. It is undisputed that the City owns the bed and banks of this stretch of the River. See Heard v. Town of Refugio, 129 Tex. 349, 360, 103 S.W.2d 728, 734 (1937); Anderson v. Polk, 117 Tex. 73, 297 S.W. 219 (1927). In exchange for the exclusive franchise, Yanaguana pays the City 49% of gross yearly receipts or a minimum of $1,000,000 each year. The contract recognized that the River "is defined as a navigable stream [and that] privately owned watercraft cannot be lawfully prohibited from traversing the waters," but provided that the City would attempt to prevent watercraft traffic conflicts in the interest of public safety.

In 1996, Texas River Barges (TRB) notified the City that it intended to operate a passenger barge service in the area of the River encompassed by the exclusive franchise contract. The City informed TRB that it would not be allowed to provide any service on the River that competed with the service provided by Yanaguana. Undaunted, TRB began operating a barge on the River. City officials arrived on the scene, boarded the barge, and moored the barge at a City marina. The City later asked TRB to remove the barge from the marina. When TRB failed to do so, the City removed the barge by crane and impounded it. TRB eventually reclaimed the barge.

Soon after its barge was impounded, TRB instituted this suit. While the suit was pending, the City enacted an ordinance providing that no boat or barge may be operated for commercial purposes on the River between certain points within the City without the City Council's approval. See San Antonio, Tx., Code § 22-143 (1997) (hereafter "the Ordinance").

TRB's live pleading sought a declaratory judgment that the River is navigable under federal and state law, that TRB has a right to operate on the River, that section 22-143 of the City Code is void, and that the City's contract with Yanaguana violates the Texas Constitution's ban on monopolies. TRB also sought damages for tortious interference with prospective business relations and conversion. The City answered and counterclaimed for attorney's fees and costs pursuant to the Declaratory Judgment Act.

The City removed the suit to federal court and obtained a summary judgment that the River is not navigable under federal law. The federal court remanded the other claims back to state court.

In state court, TRB moved for a partial summary judgment declaring that the River is either navigable in fact or rendered navigable by statute. The City sought summary judgment on the following grounds: the River is not navigable; regardless of whether the River is navigable, the City is empowered to regulate traffic on it; section 22-143 of the City Code is valid; the Yanaguana contract does not create an unconstitutional monopoly; the City is immune from liability for the intentional torts of conversion and interference with prospective business relations; and there was no evidence to support essential elements of TRB's claims.

The trial court granted TRB's motion for partial summary judgment, concluding that the River is rendered navigable by statute. But the court denied all other relief requested by TRB and granted the City's motion for summary judgment. The court denied both parties' requests for attorney's fees and costs.

Standard of Review

We review a summary judgment de novo. See Sasser v. Dantex Oil & Gas , Inc., 906 S.W.2d 599, 602 (Tex. App.--San Antonio 1995, writ denied). Under Rule 166a(c), summary judgment is proper when the summary judgment record establishes that there is no genuine issue of material fact and that the movant is entitled to judgment as a matter of law on a ground set forth in the motion. See Tex. R. Civ. P. 166a(c); Nixon v. Mr. Property Management Co., 690 S.W.2d 546, 548-49 (Tex. 1985). The evidence must be viewed in the light most favorable to the nonmoving party and all contrary evidence and inferences must be disregarded. See Nixon, 690 S.W.2d at 548-49.

Navigability

As noted above, the City's contract with Yanaguana expressly recognizes that the River "is defined as a navigable stream [and] that privately owned watercraft cannot be lawfully prohibited from traversing" it. Nevertheless, the City argued in the trial court that the River is not navigable. Navigable streams are held in trust for the public to use for navigation, fishing, and other lawful purposes. See Carrithers v. Terramar Beach Community Improvement Ass'n, 645 S.W.2d 772, 774 (Tex. 1983); Diversion Lake Club v. Heath, 126 Tex. 129, 138, 86 S.W.2d 441, 445 (1935). The public has a right to use navigable streams for commercial as well as recreational purposes. See, e.g., Orange Lumber Co. v. Thompson, 59 Tex. Civ. App. 562, 126 S.W. 604 (1910, no writ). By statute, "a stream which retains an average width of 30 feet from the mouth up" is a navigable stream. Tex. Nat. Res. Code Ann. § 21.001(3) (Vernon 1978). The effect of this statute is to render all streams navigable in law that have an average width of 30 feet, regardless of the ownership of the beds of the streams and regardless of whether they are actually navigable. See Diversion Lake Club, 126 Tex. at 137, 139, 86 S.W.2d at 444, 446.

It is undisputed that the River retains an average width of at least 30 feet.

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