AGENDA CAPTION:
Title
Consider approval of Resolution 2025-235R, accepting a petition to amend the boundaries and increase the estimated cost of the public improvements for the River Bridge Ranch Public Improvement District; calling a public hearing on the proposed amendments to be held January 20, 2026; and declaring an effective date.
Body
Meeting date: December 2, 2025
Department: Planning and Development Services, Economic Development, and Finance
Amount & Source of Funding
Funds Required: N/A
Account Number: N/A
Funds Available: N/A
Account Name: N/A
Fiscal Note:
Prior Council Action: October 29, 2020, City Council approved Resolution 2020-232R, that authorized the creation of the River Bridge Ranch Public Improvement District (PID) as part of a settlement agreement between The Mayan at San Marcos River, LLC, the City of Martindale, and the City of San Marcos. October 29, 2020, following a public hearing, City Council approved Resolution 2020-233R, that created the River Bridge Ranch PID. November 6, 2024, City Council appointed a three-member committee to review and make a recommendation on the River Bridge Ranch PID amendments submitted by Lennar Homes of Texas.
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Background Information:
On April 18, 2008, the San Marcos City Council adopted Ordinance 2008-16 to annex a 563.797-acre property known as The Mayan Tract, along with a 13.069-acre connecting tract. The annexation was initiated at the request of the property owners, who sought out-of-city sanitary sewer service. Prior to annexation, the City of Martindale released a portion of the tract from its extraterritorial jurisdiction to allow full annexation by San Marcos.
In 2014, The Mayan at San Marcos River, LLC acquired the property and later filed a lawsuit in 2018 challenging the validity of the annexation. Martindale joined the suit, also seeking to invalidate the annexation and recover attorney’s fees. The trial court dismissed the annexation challenge but left some service plan claims pending. The dismissal was appealed, and proceedings were paused for settlement talks.
On October 29, 2020, City Council approved Resolution 2020-232R agreeing to the terms of the settlement. Under the terms of the settlement, the appeal was dismissed, the annexation validated, and all remaining claims, including attorney’s fees, dropped. Part of the settlement agreement required the creation of the River Bridge Ranch PID, which was created on October 29, 2020, pursuant to Resolution 2020-233R. The resolution authorized regional sewer and buffer public improvements at a cost not to exceed $10 million to be funded by PID bonds.
On December 30, 2021, Lennar Homes of Texas purchased the land within the PID from The Mayan at San Marcos River, LLC, prior to any development occurring. Lennar Homes has submitted a petition requesting the following amendments to the PID:
Boundary Adjustment:
Reduce the PID area from 563.797 acres to 328.85 acres, removing land retained by the original owner and land north of FM110.
Increase in Authorized Public Improvements:
Increase the authorized public improvements to be funded by the PID from $10 million to $60 million. The increase accounts for inflation since creation of the PID in 2020 and an expanded scope of work, which now includes street improvements, drainage infrastructure, and water and wastewater systems.
On November 6, 2024, City Council appointed a three-member committee to review Lennar Homes’ petition to amend the River Bridge Ranch PID and provide a recommendation. As part of this review, the committee and Lennar Homes agreed to the following community benefits:
1. Fire station support: dedication of an approximate 2-acre parcel of land on FM 110 for a future fire station. In addition, cost participation in the construction of the fire station and a fire apparatus.
2. Lennar Homes agrees to voluntarily comply with the following sections of the Development Code approved on January 21, 2025, pursuant to Ordinance 2025-01:
a. 7.2.3.2(B)(1)
b. 7.2.3.2(C)
c. 7.2.4.1(E)(1)
d. 7.2.4.1(J)(2) and (3)
e. 7.2.4.2(A), (B), and (C)
3. Transit stop shelter: installation of a shelter at Transit Stop #2, near the intersection of Staples Road (FM 621) and FM 110. The shelter will connect to a future multi-use trail provided by Lennar.
4. Public amenity center: construction of an approximately 2,000 sq. ft. enclosed, climate-controlled amenity center. The center will be managed by the Homeowners Association (HOA) and made available to the public through an agreement between the City and the HOA.
5. Enhanced landscaping: installation of larger trees than required around the amenity center entryways.
Any PID bonds issued to fund public improvements will be repaid solely through assessments on property owners within the PID. The City of San Marcos bears no financial obligation for the repayment of these bonds.
This resolution does not approve Lennar Homes’ requested amendments. It only accepts the petition and schedules a public hearing for January 20, 2026. Following the public hearing, City Council may consider approving the amendments within a six-month window. If approved, the previously negotiated community benefits will be formally tied to that approval.
Council Committee, Board/Commission Action:
N/A
Alternatives:
N/A
Recommendation:
City Council approve the resolution accepting the amended petition and calling for a public hearing on the amendments to the River Bridge Ranch Public Improvement District to be held January 20, 2026.