The California Earthquake Authority (CEA) has been named the Interim Administrator of the California Wildfire Fund.*
California Wildfire Fund
About the California Wildfire Fund
On Friday, July 12, 2019, Governor Newsom signed into law AB 1054 (Holden, Burke & Mayes) and AB 111 (Committee on Budget), known as the “2019 Wildfire Legislation”. The 2019 Wildfire Legislation enacts a broad set of reforms and programs related to utility-caused wildfires in California.
The 2019 Wildfire Legislation, which took immediate effect upon the Governor’s signature, establishes the California Wildfire Fund. The purpose of the Wildfire Fund is to provide a source of money to pay or reimburse eligible claims arising from a covered wildfire caused by a utility company which participates in the Wildfire Fund by assisting in capitalizing the Fund, and undertaking certain other obligations specified in the law.
Wildfire Fund Governance
The newly created California Catastrophe Response Council will be responsible for governance of the California Wildfire Fund. The Council will have nine members, consisting of the following:
Secretary of Natural Resources
Two members appointed by the Senate and the Assembly
Three members of the public, appointed by the Governor
The Council will be charged with appointing an “Administrator” for the Wildfire Fund. Until the Council is activated (when a quorum of appointed members has been reached), and the Administrator is appointed, the legislation provides for the California Earthquake Authority (CEA) to act as the Interim Administrator*, and for CEA's Governing Board to have all the powers granted to the Council related to the Wildfire Fund.
*The California Earthquake Authority Fund and the California Wildfire Fund assets are segregated and separately managed and maintained.