UNR will sue California developer of shuttered fire science academy

Saturday, Jan. 27, 2001 | 9:51 a.m.

The university broke off talks because the Sacramento-based owner, All Star Investments, refused to provide financial information that the two sides earlier agreed would be provided, UNR President Stephen McFarlane said.

"I am disappointed by the breakdown in mediation," McFarlane said in a statement.

"We have complied in all aspects of the mediation until this point, but cannot be expected to negotiate in the dark," he said.

There was no one immediately available to comment Friday at All Star Investments, a spokeswoman said from Sacramento.

UNR closed the 18-month-old Fire Science Academy last year after tests showed gasoline additives and components were seeping into the soil at the site.

The school ceased sending $250,000 monthly rent checks to the owner and filed a lawsuit in U.S. District Court claiming the owner needed to make millions in environmental repairs.

All Star Investments said it was not completely at fault and filed a countersuit.

The $27 million complex on 426 acres along Interstate 80 west of Elko had attracted hundreds of firefighters and rescue squads from around the nation in its first 18 months of operation. It was expected to attract $150 million to the rural county in northeastern Nevada during the next 15 years.

"We had hoped mediation would address all issues, including financial information from the developer in addition to the correction of construction and design defects so that we could reopen the academy as soon as possible," McFarlane said Friday.

"These construction and design flaws not only became a health and environmental hazard, but also presented us from providing our clients with the high-quality training they expect to receive and we expect to deliver," he said.

McFarlane said the school's only recourse would be to pursue its claims in court. The lawsuit seeks repair of the facility, a detailed accounting of the cost of developing the academy and recovery of losses resulting from its closure, he said.