Oregon Senate Passes Bill to Protect Consumers from Paying for Utility-Caused Wildfire Damages

An Oregon Senate bill preventing utility companies from pushing part of the financial burden of wildfire-related damages onto consumers when a court finds the company liable for causing the fire passed the senate on Thursday with a vote of 22-6.

Tidings Data Snapshot
SB 926 – Key Ratepayer Protections
25,000+
Customer threshold for covered electric companies
Blocked
Judgments or settlements tied to utility-caused wildfires
Blocked
Fines or penalties linked to alleged negligence or misconduct
Jan 1, 2020
Retroactive wildfire coverage start date in the bill

Sources: Oregon Legislature SB 926 staff measure summary and bill coverage
Dailytidings.com

 

Oregon Senate Bill 926 Prevents Utility Companies From Recovering Certain Wildfire Costs

Oregon Senate Bill 926 was introduced in the Senate on January 21, and- after the Judiciary Committee voted to pass the bill out of committee on April 8, the bill was amended in the Senate on April 18 and passed earlier this week.

Tidings Data Snapshot
SB 926 Senate Vote
Yes – 22
No – 6

Not voting – 2

Based on a 30-member Senate

Sources: Oregon Legislature staff summary and Oregon Senate membership count
Dailytidings.com

SB 926 explicitly targets power companies found to be negligent or complicit in causing a wildfire. It prevents private investor-owned utilities from recovering wildfire lawsuit costs from ratepayers if the court finds that the company caused the fire through negligence or recklessness.

Cost TypeWhat SB 926 Would Do
Fines or penaltiesBars recovery tied to alleged negligence or misconduct that caused a wildfire
Judgments or settlementsPrevents shifting court-ordered wildfire liability costs to customers
Related wildfire liability expensesExpands limits on what utilities may recover from ratepayers
Covered companiesApplies to non-consumer-owned electric companies serving 25,000+ Oregon customers

 

These companies could not recoup costs related to the judgment, legal fees, settlements, or repairs by increasing consumers’ electricity rates.

Under the bill, any utility owing unpaid damages from a wildfire-related court ruling is also banned from issuing dividends, repurchasing stock, or distributing profits to investors.

Companies must consider the victims of wildfires for which they are found responsible before addressing shareholder profits.

SB 926 applies to electric companies serving over 25,000 customers in Oregon, and supporters say it protects ratepayers and may incentivize better wildfire mitigation efforts by utilities.

SB 926 applies to past and current wildfires. It provides for wildfires retrospectively that ignited on or after January 1, 2020, as well as court judgments issued between 2020 and 2025. It sets an annual interest rate of 9% on court-ordered wildfire damages, which will run from the date the fire started.

Utilities must also pay any taxes owed by those suing the electric company if the judgment is still unpaid by January 1, 2026.

Senators who voted against the bill raised concerns about unintended consequences for Oregon ratepayers and the state’s clean energy and energy system stability goals before a vote of 22-6 passed the bill. It now moves to the Oregon House of Representatives for further discussion.

Tidings Timeline
  • Jan 21, 2025 – SB 926 introduced.
  • Apr 8, 2025 – Judiciary advances the bill.
  • Apr 18, 2025 – Senate amendments adopted.
  • Late Apr 2025 – Senate passes 22-6.
  • Next – Heads to the House.
Morning Brief Newsletter
Sign up today for our daily newsletter, a quick overview of top local stories and Oregon breaking news delivered straight to your inbox.
You can unsubscribe at any time. We do not sell or share your information with third parties, and we will only send our daily newsletter.
Leave A Reply

Your email address will not be published.