I have seen this before for dam break models. It seems to happen more easily for steep streams. My understanding is that the leading edge of the dam break has such a rapid change that the numerical solution goes crazy.
It sounds counter intuitive, but try going to the other extreme. Spread your cross sections farther apart and increase the time step. This spreads the leading edge out in time and space and may keep it from jumping. The longer time steps lose a bit of accuracy. If this approach works, try to get the cross sections back as close together and the time step as short as possible without the extreme jump.
As another possibility, I have found that the 2D solution is sometimes more stable than the 1D for dambreaks.