California News

California OES and FEMA Are Trying To Get Out Of PG&E’s $13.5B Settlement With Victims


The Federal Emergency Management Agency and the California Governor’s Office of Emergency Services say they are taking steps to separate their claims against Pacific Gas and Electric, Corp. from the $13.5 billion pot of money set aside for wildfire victims.

Under the current plan proposed by PG&E and lawyers, victims would have to compete with the governmental agencies during the allocation of the $13.5 billion, expected later this summer. But the governmental agencies say they did not agree to that deal and are trying to get a separate settlement. It’s unclear if the strategy will be successful.

Several government agencies are asking PG&E to cover some of the costs associated with wildfires it sparked with faulty equipment. Most notably, FEMA is asking for $3.9 billion under a federal law that requires it to seek recovery from entities that cause a disaster. If it does not get money from PG&E, it may have to ask victims themselves to pay it back for some of the expenses, like emergency rentals, that were covered several times over.

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