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By: @Anthony Tannehill

CSDA is advocating to protect special districts’ ability to fully recover for wildfire damage from investor-owned utilities as the Governor has proposed that such liability be limited.

CSDA’s advocates have been speaking to the administration, legislators, key legislative staff and working closely with aligned stakeholders. Additionally, CSDA has issued a public statement, and reinforced its message of rejecting privatizing profits while socializing costs in venues such as interviews with Sacramento radio station KFBK.

While the proposal may contain some provisions that are advantageous to special districts and the people they serve, there are serious concerns that other proposed provisions may harm the ability of local agencies to serve their constituents and recover from a wildfire.

Specifically, CSDA’s is advocating that any proposal:

• Does not contain any provision that would limit public entity claims against investor-owned electric utilities following a wildfire to diminution in value for public infrastructure and rather seek full replacement value of any lost or damaged infrastructure.
• Does not contain any provision that would limit cost-recovery claims against investor-owned electric utilities following a wildfire for emergency response and mutual aid.
• Does not contain any provision that would limit insurance subrogation for cost-recovery from investor-owned utilities.
• Does not contain any provision that would limit cost-recovery claims against investor-owned electric utilities following a wildfire of lost local property tax funding.

To see CSDA’s letter to the Legislature, please click here.

At the time of this writing, exact language is not yet publicly available. CSDA understands that the legislature and the Governor’s Administration are working expeditiously to release one or more related proposals. The Legislature has until Friday August 28, to introduce any related measures and until August 31, to vote on them.

CSDA will continue to advocate for full cost-recovery from investor-owned utilities in wildfire-related proposals this year and will keep its members informed as it develops.