Sep 30, 2009 5:39 pm US/Pacific
Construction Firms Ordered To Pay Firefight Costs
LOS ANGELES (AP) ―
In the largest jury award ever in a firefighting cost-recovery case, a federal jury today ordered two construction companies to pay nearly $36.5 million to reimburse the government for costs associated with a massive 2002 wildfire near Santa Clarita.
Following a weeklong trial in U.S. District Court in Los Angeles, the jury deliberated for about a day before ordering Texas-based CB&I Constructors and now-defunct Merco Construction Engineers to pay the cost of fighting the Copper fire that scorched 18,000 acres of the Angeles National Forest.
The majority of the award -- $28.8 million -- was ordered to compensate the government for environmental damage.
Along with extensive damage to the forest, the blaze caused "irreparable harm" to the habitat of the threatened red-legged frog and the historic Hazel Dell Mining Camp, said Acting U.S. Attorney George S. Cardona.
The jury award is the largest ever in such a case and also marks the first time damages for environmental harm have been ordered, according to the U.S. Attorney's Office.
According to a lawsuit filed last year by the U.S. Attorney's Office against CB&I and Merco, an employee of CB&I, which had been subcontracted by Merco, started the fire when hot metal sparks and slag thrown from an electric grinder landed in nearby grass and brush. The fire then spread to the Angeles National Forest about a half-mile away.
Prosecutors also alleged that Merco's negligence allowed the fire to be set because an employee who was supposed to water down the construction site failed to complete the job.
"The jury clearly appreciated the value of the Angeles National Forest and understood the severe damage caused by the fire," Cardona said in a statement.
"As a result of the fire, both the wildlife and its human users are faced with issues that include increased erosion, increased risk of future fires and the loss of the use of the forest by the public," he said.
(© 2008 CBS Broadcasting Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. Wire services contributed to this report.)
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