California Chamber of Commerce-supported legislation to replenish and fortify California’s Wildfire Fund was signed last week by Gov. Gavin Newsom.
Senate Bill 254 (Becker; D-Menlo Park) took effect immediately when the Governor signed it on September 19.
“The state Wildfire Fund bolsters California’s preparedness for the devastating fires we know are coming. This year, Governor Newsom and the Legislature took decisive action for wildfire survivors by providing the essential resources needed to recover and rebuild,” said CalChamber President and CEO Jennifer Barrera. “This legislation ensures families and communities can access the support they need while also protecting customers from higher electricity costs.”
CalChamber was part of Sustainable Wildfire Fund CA, a diverse coalition of first responders, businesses, labor unions, local chambers of commerce and community organizations supporting SB 254.
Critical Updates
Authored by Senators Josh Becker (D-Menlo Park) and Aisha Wahab (D-Hayward), and Assemblymember Cottie Petrie-Norris (D-Irvine), SB 254 builds on the framework of the 2019 legislation that created the Wildfire Fund (AB 1054), and introduces updates to ensure the Fund remains stable and sufficiently capitalized to meet the increasing demands of today’s wildfire threats.
SB 254 will address two critical priorities:
- Strengthen the State Wildfire Fund to ensure there are adequate resources available to help families and communities recover and rebuild after future wildfires.
- Address electricity affordability to reduce costs for customers.
Utilities Investment
California’s three investor-owned utilities (IOUs) have committed $9 billion in new shareholder contributions to strengthen the Fund. Importantly, SB 254 does not raise utility customer rates.
In addition, the legislation commits the IOUs to funding $6 billion for wildfire prevention investments without earnings — including undergrounding power lines — to improve electricity affordability and safety this year.
