Stadium: A plan by Cal State Northridge to build an $8 million football stadium to replace its outdated facility on campus (above) is drawing strong opposition from neighbors. The United Northridge Homeowners, a group opposed to the noise and traffic that a new stadium might generate, recently sent a letter to business leaders, warning that the group is ready to fight the project in court if necessary. The letter also warns that the group is ready to identify in its newsletter those businesses that have been financially supporting the stadium project. Richard Hardman, executive director of the Northridge Chamber of Commerce, called the group’s methods divisive. Trades Hurt Developer Kaufman & Broad Home Corp. said it will take a fiscal third-quarter charge of $11.7 million to cover losses created by unauthorized trading in its mortgage loan operation, almost erasing expected earnings growth for the quarter. The Los Angeles homebuilder dismissed a full-time trader in its Kaufman & Broad Mortgage Co. unit after discovering the activity that had occurred during the past three months. The trader, whose name was not released, was allegedly responsible for arranging futures contracts on mortgages earmarked for sale to investors in the secondary mortgage market. The company declined to say whether criminal or regulatory authorities are looking into the case, or whether the firm will take legal action against the trader. The activity, while embarrassing for Kaufman & Broad, did not inflict severe financial damage, analysts said. Despite the losses, the company expects to report record earnings for the year. News of the problem caused only a slight drop in the company’s stock price. Developers Look Toward Palmdale Newhall Land & Farming Co. has formed a joint venture with a subsidiary of Kaufman & Broad Home Corp. to develop City Ranch, an already approved master-planned community in Palmdale. As part of the transaction, Newhall Land acquired a 50.1 percent interest in the parcel owned by Kaufman & Broad, and Newhall Land will act as master developer with day-to-day responsibility for the community and its development. Located two miles west of the Antelope Valley (14) Freeway and about 26 miles east of Valencia, the City Ranch project site will eventually contain 5,000 homes, neighborhood commercial centers, schools, a lake, parks, riding and hiking trails, a public golf course, and other public amenities. The first lots are expected to be available to homebuilders in late 2000 and, if current market trends continue, the project is expected to be sold out in approximately eight years. Transit Bill Revived Republican lawmakers in Sacramento managed to block a bill that would make it harder to create an independently run bus system in the San Fernando Valley, but Democrats were able to revive the legislation. The bill, which is supported by organized labor, would protect the contracts of union bus workers if a new transit zone was spun off from the Metropolitan Transportation Authority to serve the Valley. Business leaders oppose the legislation, saying it would burden the new Valley transit zone with high-cost union contracts. The measure was derailed Aug. 26 when Assemblyman Tom McClintock, R-Northridge, refused to vote to send the bill to the Appropriations Committee. But Democrats amended another bill before the committee to keep the legislation alive. As of late last week, the amended bill was headed to the Assembly floor for a vote. Fernando Finalists Named Five civic activists have been named finalists for the 41st annual Fernando Award, which honors volunteerism in the Valley. This year’s finalists are Lee Kanon Alpert, an Encino attorney; Rose Goldwater, a Woodland Hills community activist; Ruth Richter, a motorcycle shop owner; Bob Scott, a Woodland Hills attorney; and Robert D. Voit, a Woodland Hills developer. The name of the winner is expected to be announced Nov. 5 at a dinner at the Warner Center Marriott. The winner’s name will be engraved on an obelisk at Warner Center Park and on the Fernando statue at the Van Nuys government center. Residents Fight Water Deal A group of Santa Clarita residents, including a city councilwoman, have filed suit to block the Castaic Lake Water Agency’s effort to buy the area’s largest water company. In their lawsuit, Councilwoman Jill Klajic and other plaintiffs argue that the purchase of Santa Clarita Water Co. would give Castaic monopoly control over local groundwater supplies, resulting in higher rates to consumers. The lawsuit, filed in Los Angeles Superior Court, claims that Castaic, the sole wholesale provider of imported water to the Santa Clarita Valley, is precluded by state law from buying and operating the retailer, a private company that sells a mix of groundwater and imported water directly to consumers. Castaic Lake officials say the agency is within its right to buy the water company and denied that it would result in a monopoly. Litton Reports Loss Woodland Hills-based Litton Industries Inc. reported a net loss of $21.5 million (48 cents a share) for the fourth quarter ended July 31, compared with net income of $50.4 million ($1.07) in the year-earlier period. The company attributed the loss to a $77.4 million ($1.67 a share) after-tax charge related to the closing of its computer outsourcing and professional services units. The charge also includes an $18.5 million fine under a plea agreement regarding charges that Litton concealed payments made to foreign consultants to win $190 million in military contracts. The company’s fourth-quarter revenue fell to $1.23 billion from $1.24 billion for the year-earlier period. Company officials said, excluding the special charges, Litton’s fourth-quarter earnings would have been in line with analysts’ consensus projection of $1.20 a share. Tarses Quits ABC Jamie Tarses stepped down from her post as ABC Entertainment president, a move she attributed to sweeping changes at the network and throughout the entertainment industry. Tarses had spent three years in the post before resigning amid increased turmoil at the Walt Disney Co. unit. Much of that turmoil is resulting from Disney’s decision in July to merge ABC with Disney’s TV production studio. That merger essentially demoted Tarses from the second-in-command to the third-ranking executive at the network. It also set up a rivalry between Tarses and former Disney studio chief Lloyd Braun. Almost since her arrival at ABC in 1996, Tarses has been at the center of controversy. She came to the network as one of the hottest executives in television after helping to develop a popular slate of comedies at NBC. She joined ABC as the youngest person and only woman in a top network job.