Following passage of AB 1054, Gov. Newsom’s Wildfire Stability and Resilience Plan, the California Legislature must take the next step in making wildfire victims whole.
The solution: support legislation that allows for Wildfire Victim Recovery Bonds (WVRBs).
The State has no obligation to pay WVRBs. Corporate shareholders will pay the entire cost. Customers will see no increase in their monthly bills because of WVRBs. Neither the State nor ratepayers are on the hook for paying wildfire victims and survivors - regardless of what happens to PG&E in the future.
To establish WVRBs, the Legislature must pass a bill that allows PG&E to utilize tax-exempt bonds. WRVBs are tax-free and represent the most efficient way to maximize funds available to wildfire victims. These bonds will be paid 100% by shareholder profits, not customers. Because the bonds can be sold at low interest rates, they enable PG&E to raise more money quickly to pay wildfire victims and survivors.
The legislation will be available to all investor-owned utilities that have claims from past fires. It will allow utilities to issue WVRBs to help achieve Gov. Newsom’s goal to maintain safe, reliable, clean and affordable energy, while ensuring that wildfire victims receive fair compensation as quickly as possible.
It’s essential that the California Legislature take the next step to make wildfire victims whole by creating legislation that allows for Wildfire Victim Recovery Bonds.