SHEA HOMES LITIGATION UPDATE

    

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copy of the civil compromise
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The Attorney General of California is pursuing criminal, misdemeanor charges against Shea Homes for violating Section 5650(a)(6) of the California Fish and Game Code.  The state alleges that Shea Homes allowed substances deleterious to fish, plants and birds to pass into the waters of Las Virgenes Creek by failing to control storm water flows from its construction site on Las Virgenes Road.  The state is seeking civil penalties and other relief to mitigate harm to Las Virgenes Creek and other environmental resources alleged to be caused by Shea Homes.  Per the Deputy Attorney General handling the action for the state, the parties are actively engaged in settlement negotiations that will require Shea to pay substantial sums to mitigate the environmental harm Shea allegedly caused. 

Shea Homes submitted a report dated October 27, 2008 to the Department of Fish & Game. This report detailed its plans to clean-up Las Virgenes Creek. Shea Homes has completed the work contemplated by the report, and, on January 8, 2009, the Department of Fish & Game certified that the work was performed and completed.  

The parties have entered into a civil compromise. According to the Attorney General, Shea Homes has now fulfilled all of the conditions of that civil compromise, including, the payment of restitution. The court has approved this civil compromise and dismissed the criminal case against Shea Homes.

Calabasas homeowners affected by the flooding from the Shea Homes site should know that the Attorney General matter does not address damages or losses incurred by individual residents.  Residents seeking to recover losses from the flood should check with their insurance carriers or consult an attorney.

The City of Calabasas was vigilant in pursuing rapid clean-up to public streets and rights of way by Shea Homes.  Prior to construction of the development, the City required Shea Homes to post security bonds and advance deposits to pay for any costs incurred by the City related to the project.  When the containment broke, Shea Homes was directed to rapidly clean-up and mitigate any damage caused by the break.  Shea cleaned the streets, performed erosion control, and provided traffic control in the affected areas.  Since Shea Homes paid directly for these measures, the City did not assess their bonds.  Therefore the City is not party to seeking any further damages from Shea Homes.

The City will update this information as events unfold.  This information is current as of June  2009.  For more information, please contact Public Works Director/City Engineer Robert Yalda at (818) 224-1600.

City of Calabasas 2014