S 268 WILDFIRE RECOVERY ACT

Sen Michael Padilla

Actions: [5] STBTC/SJC/SFC-STBTC [8] DP-SJC

Scheduled: Not Scheduled

 Senate Bill 268 (SB 268) enacts the Wildfire Recovery Act. It establishes recovery for damage caused by wildfires and provides economic recovery for property damage caused by
wildfires and noneconomic recovery for emotional distress caused by wildfires. SB 268 provides wildfire litigation and tax relief and definitions. 

 

 Senate Bill 268 (SB 268) enacts the Wildfire Recovery Act. It establishes and provides economic recovery for real property damage caused by wildfires at the higher amount of the actual cost to replace to pre-fire condition or diminution in value. It allows for the cost of the replacement value of all structures, trees and vegetation, including the full commercial
value of lost timber or other natural resources. It includes replacement or restoration costs for personal property; evacuation displacement costs; lost use of damaged real property, business loss and personal income loss. SB 268 provides for noneconomic recovery for emotional distress for those who evacuated; those who owned property; those who suffered personal injury; and for the heirs of a person who is killed by the wildfire (specifically includes economic and noneconomic recovery for the latter two categories). 
SB 268 exempts a person from paying state income tax on any portion of the recovery received from a wildfire claim and entitles a person who makes a claim for damages caused by a wildfire to reasonable costs of contracted attorney fees and expenses.
It defines wildfire and person broadly.
SB 268 would be retroactively effective from or after 1 January 2022.
 

 SB 268 relates to SB 21, SB 176 and SJR 9.