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Company says water district owes it $95,000

Construction firm claims Crescenta Valley utility didn’t pay for extra work on water main.

September 11, 2009|By Veronica Rocha

LA CRESCENTA — A San Dimas-based construction company is seeking nearly $100,000 from the Crescenta Valley Water District for work on a 12-inch water main along three blocks of Foothill Boulevard, according to a lawsuit filed in Glendale Superior Court.

MNR Construction Inc. claims it’s owed $95,903 in unpaid interest and work bills for installing a water main on the 2700, 2800 and 2900 blocks of Foothill Boulevard, but water district representatives argue the project amendments that caused the snafu were negotiated in good faith.

In September 2007, MNR Construction entered into a $517,619 contract with the water district to install the water main.

But the water line could not be installed as initially designed because “there were a lot more underground utilities than the water district was aware of that didn’t allow this 12-inch water main to go as it was originally planned,” said the company’s attorney, Randall Pitre.

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“The water district had a choice on how they were going to modify it, and they chose to modify it by going deeper in the ground,” he said.

“Obviously, when you are putting a line in deeper there is more labor involved, and it costs more money, and that is the fundamental issue.”

The water district paid off the original contract amount, but the company’s owner, Robert Vasilj, claims that it failed to pay off the debt for the additional work.

The additional water main work cost $177,802, of which the district paid $81,899, according to the lawsuit.

The construction company also claims the district was late in paying $58,391 in retention money, resulting in a loss of interest.

The construction company claims work on the water main was completed in April 2008, but the district claims the job wasn’t finished until September 2008.

Retention money is supposed to be paid 60 days after work is completed.

MNR Construction is seeking $95,903 for unpaid time and materials on additional work as well as lost interest since April 2008.

Vasilj said he met with water district officials five times to settle the payment issue, but no resolution was reached.

In court documents responding to MNS Construction, attorneys representing the Crescenta Valley Water District argued the company’s complaint lacked sufficient information and denied the claim.

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