Pacificorp agrees to $575 million wildfire settlement with US government

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Scott E. Bradford, U.S. Attorney for the District of Oregon | Official website

Pacificorp agrees to $575 million wildfire settlement with US government

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PacifiCorp has agreed to pay $575 million to resolve claims by the United States for damages from six wildfires that occurred in Oregon and California. The agreement addresses allegations that PacifiCorp’s electrical lines negligently started the fires, though the company continues to deny liability and there has been no determination of responsibility.

The four Oregon fires included in the settlement are: the 242 Fire near Chiloquin, which began on September 7, 2020, and burned 8,916 acres of federal land; the Archie Creek Fire near French Creek in the Umpqua National Forest, which began on September 8, 2020, burning 67,000 acres; the Echo Mountain Complex Fire near Otis, starting on September 7, 2020 and burning about 2,500 acres including federal land; and the South Obenchain Fire east of Eagle Point on September 8, 2020 that burned 14,780 acres of federal land.

In California, the Slater Fire began on September 8, 2020 within Klamath National Forest lands and affected a total of 157,229 acres across multiple national forests. The McKinney Fire started July 29, 2022 next to Klamath National Forest and burned about 39,000 acres of federal land.

Settlement funds will help reimburse firefighting costs incurred by federal agencies such as the U.S. Forest Service—which now spends more than half its annual budget on wildfire suppression—and support restoration efforts for roughly 290,000 acres of public land impacted by these events.

“These recoveries are among the largest federal wildfire recoveries to date,” according to officials involved in negotiating the settlement.

Principal Deputy Assistant Attorney General Adam Gustafson of the Department of Justice’s Environment and Natural Resources Division stated: “The United States and PacifiCorp have reached a settlement that ensures fair compensation to the American taxpayer for fire-related damages. This agreement strikes a balance by addressing the government’s significant fire-suppression costs and loss of natural resources without preventing PacifiCorp from offering electricity at fair prices.”

U.S. Attorney for the District of Oregon Scott E. Bradford commented: “Wildfires remain a recurring threat to our natural resources, the safety of our communities, and their economic well-being. The costs of land losses and fire responses are substantial. Recouping the costs associated with these wildfires is a priority for our office, and this settlement achieves that.” Bradford has previously served as Chief of the White Collar Unit and Acting Chief of Counterintelligence and Export Control Section (official website).

U.S. Attorney Eric Grant from California added: “This settlement served the Department’s longstanding policy of holding individuals and corporations responsible for damages caused by wildfires. Every fire impacting federal lands, no matter the size, is a priority.”

The case was handled through collaboration between U.S. Attorney’s Offices in Oregon—whose staff includes over one hundred employees (official website)—and California alongside agencies like U.S. Forest Service and Department of Interior.

The U.S. Attorney for Oregon operates offices in Portland, Eugene and Medford (official website), participates in community outreach across Oregon (official website), seeks justice through both civil/criminal representation while fostering trust in federal courts (official website), employs more than one hundred staff members (official website), functions under DOJ oversight as one out ninety-three such offices nationwide (official website).

Assistant U.S. Attorneys Alexis Lien (Oregon) along with Tara Amin and Kelli L. Taylor (California) managed legal proceedings related to this matter.

The claims resolved are allegations only; PacifiCorp denies liability.

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