As of December 13, 2019, California Governor Gavin Newsom drafted and issued a letter to PG&E CEO William D. Johnson regarding an amended plan for the post-bankruptcy reorganization of the utility corporation. Previously, Newsom found that PG&E’s reorganization plan “falls woefully short on the requirements of AB 1054” (NPR). In the letter, Newsom states that “Californians must have access to safe, reliable, and affordable service,” and that their reorganization plan must “comply with AB1054*” (Governor Gavin Newsom). Moreover, to comply with AB1054 and access the state’s wildfire relief fund (a $21 billion insurance fund created to pay for California fire damages), PG&E must:
- Resolve all insolvency proceedings by June 30, 2020
- Allow the bankruptcy court to determine whether their reorganization plan satisfies pre-petition wildfire claims
- Comply with the CPUC’s ruling on whether the plan is consistent with the state’s climate goals. They also may not pass any expenses down to ratepayers
For more information, you can read the letter, in full, here. Furthermore, if you’d like help with your PG&E claim or lawsuit, then please do not hesitate to contact our team of professional attorneys. We’re always standing by to help!
*Assembly Bill 1054 – Holden. Public utilities: wildfires and employee protection. The bill describes the necessary conditions that must be met to gain access to California’s wildfire relief fund.