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Belmont Developer Accuses District of Contract Default

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TIMES EDUCATION WRITER

The developer of the Belmont Learning Complex announced Tuesday that it has filed a demand for mediation to settle payment disputes totaling more than $5 million on the troubled high school project.

In a searing letter, the firm accused the Los Angeles Unified School District of defaulting on the contract and trying to cover it up by defaming the developer.

“Despite mismanagement and confusion inside the Los Angeles Unified School District, we have fully and faithfully met all of our contractual obligations,” said Kenneth J. Reizes, project executive for Temple Beaudry Partners.

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“The district, on the other hand, has repeatedly defaulted on its obligations--and now wants to cloak its own failures by making false accusations about the performance of the development team and its subcontractors,” Reizes said in a prepared statement.

Construction of the $200-million project has been suspended pending a decision on whether to abandon it or take steps to mitigate environmental problems at the site.

The Board of Education fired Temple Beaudry Partners earlier this month after the firm failed to seal up all windows and walls on the uncompleted structures to protect them from the elements.

In a report released last week, district auditor Don Mullinax accused several subcontractors of overbilling.

The developer’s letter, sent by mail Friday, called those allegations ridiculous and included them in a list of nine actions by the district constituting default on the contract.

Among the others were failing to pay more than $5 million for work performed since July, making false accusations and failing to sign change orders totaling $18 million that had been agreed upon by the district and the developer.

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A. Victor Antola, attorney for Temple Beaudry Partners, declined to elaborate on the allegations.

A spokesman for the developer said the contract allows for 30 days to cure the alleged defaults, then calls for a 60-day informal mediation followed by binding arbitration.

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