Specialist
Attorney at Andrews, Lagasse, Branch & Bell LLP
Agenda
- Damages to utilities caused by the 2018 California wildfires, highlighting the most severely affected players and legal and regulatory ramifications
- PG&E bankruptcy implications highlighting pushback from investors, the potential to be state-owned, California Public Utilities Commission involvement, relevant liabilities and claim differentiation
Questions
1.
Can you share an update on key developments around the PG&E bankruptcy filings and your outlook on how the process is going to play out?
2.
On the value of the property you mentioned when discussing Camp Fire claims, does it matter whether this is coming from private property and, if so, how much?
3.
What timeline you foresee for the process? Can any similarities or differences from the 2001 filing be derived?
4.
What are the legal arguments regarding whether anything could prevent unsecured claims and wildfire claims being treated in the same class as unsecured creditors, unless another fire occurs in 2019?
5.
How could these wildfire claims be brought down in value?
6.
Is negligence-related cost covered anywhere beyond Senate Bill 901?
7.
How do you think this scenario might impact California’s rules around safety? Could the bankruptcy force California to change its liabilities rules to allow utility recovery cost?
8.
Can you share any insights on how the bankruptcy could be impacting the renewable PPA contract?
9.
Do you think it would be possible to remove the majority of PCG assets outside the regulatory arm of the PUC and move them to FERC to bypass inverse condemnation?
10.
Is there anything or any way in which you could see the constitutionality of the inverse condemnation being challenged with the bankruptcy? How do you think the informal complaint will play out with the bankruptcy?
11.
You mentioned that PG&E’s gas division may be under the FERC. What kind of asset split do you foresee in terms of what is going to be regulated by California’s PUC and what could be fully regulated by the FERC?
12.
How would you assess the involvement of PUC in its restructuring process as it has a lot of jurisdiction over the company?
13.
What stakeholders are involved in the bankruptcy process that is unfolding? Who might be benefitting and who might be hurt by this process?
14.
How could the related insurance subrogation claims be handled and what is the typical value of settlement?
15.
Is there anything that we have not covered that you think is significant to mention? Do you have any further insight into the causation-determining process or stress tests and how those could impact the bankruptcy?
16.
What is your outlook for the next 12-18 months? Is there anything to keep an eye out for?
