SAN FRANCISCO -- Pacific Gas & Electric will plead guilty to 84 counts of involuntary manslaughter for a swath of death and destruction left behind after its fraying electrical grid ignited a 2018 wildfire that decimated three Northern California towns and drove the nation's largest utility into bankruptcy.
The plea agreement announced Monday resolves the charges facing Pacific Gas & Electric as part of a previously sealed indictment in Butte County. It marks the second time this decade that the company's neglect has culminated in it being deemed a criminal. Pacific Gas & Electric already is serving a five-year criminal probation imposed after it was convicted of six felony counts for falsifying records and other safety violations underlying a natural gas explosion that blew up a neighborhood and killed eight people in San Bruno, Calif.
As with its previous criminal conviction, no one from Pacific Gas & Electric will go to prison for the company's felony crimes. Instead, its plea agreement with the Butte County District Attorney's office calls for Pacific Gas & Electric to pay a $4 million fine, the maximum allowed. It will also help pay for efforts to restore access to water for residents affected by the loss of a canal destroyed by what became known as the Camp Fire.
"We cannot replace all that the fire destroyed, but our hope is that this plea agreement, along with our rebuilding efforts, will help the community move forward from this tragic incident," Pacific Gas & Electric CEO Bill Johnson said.
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In a statement, District Attorney Mike Ramsey said he hopes the plea agreement will bring "a bit of a sense of justice done" for the fire.
Butte County officials have pegged the 2018 wildfire's death toll at 85 people, but Ramsey disclosed Monday that further evidence cast doubt on whether one of the deaths was directly caused by the blaze.
One of those who died was the brother of Jay Downer -- in his wheelchair with his dog by his side. Jay Downer said he was dismayed by the price that Pacific Gas & Electric will pay for its lethal negligence. "If I fell asleep at the wheel of a car and killed one person, I would be charged with manslaughter and I would be spending time in jail," Downer said.
Pacific Gas & Electric is scheduled to enter its plea and face sentencing at a court hearing scheduled for April 24.
The Nov. 8, 2018, fire was fanned by strong winds, forcing thousands of people to flee in their cars as flames ripped through the narrow canyon communities. Survivors described caravans of vehicles engulfed by the fire.
A series of 2017 blazes tore through Northern California and killed 44 people. Although state investigators didn't find Pacific Gas & Electric culpable for those fires, the company is accepting responsibility for them in its bankruptcy case as part of a $13.5 billion settlement that will pay the victims of the 2017 and 2018 fires.
Less than three months after the Butte County fires, Pacific Gas & Electric filed for bankruptcy in early 2019 to help shield the utility from more than $50 billion in claimed losses stemming from a badly outdated electrical grid. Pacific Gas & Electric has settled those claims for $25.5 billion, including the fund set up for the wildfire victims.
Johnson hailed the plea agreement as a sign that Pacific Gas & Electric is "working to create a better future for all concerned. We want wildfire victims, our customers, our regulators and leaders to know that the lessons we learned from the Camp Fire remain a driving force for us to transform this company."
Johnson has previously acknowledged that it will take many years to pull that off while Pacific Gas & Electric pours an estimated $40 billion into badly needed upgrades.
In the meantime, Pacific Gas & Electric plans to periodically turn off the power during extremely windy and dry conditions to minimize fire risks in parts of a sprawling service territory that provides electricity to 16 million people. By its own admission, Pacific Gas & Electric bungled the deliberate blackouts it imposed last autumn to the exasperation of customers and community leaders who complained about not being told about the blackouts.
California Gov. Gavin Newsom had previously expressed doubts about whether the company has made enough changes to reform its ways, and he had been threatening to block Pacific Gas & Electric's plan to get out of bankruptcy this summer. Pacific Gas & Electric's chief regulator, the California Public Utilities Commission, still must approve the company's bankruptcy plan, a decision that's expected within the next few weeks.
A Section on 03/24/2020