Jim Desmond, Supervisor of the County of San Diego Board, has expressed concerns over SB 254, stating that it shields utilities from wildfire liabilities and shifts disaster costs to ratepayers, which could intensify affordability issues. This statement was made on the social media platform X.
“One of the most infuriating things happening in California: utility companies spark wildfires — then make us pay for it,” said Desmond. “Governor Gavin Newsom just quietly signed California Senate Bill 254, shielding utilities like Southern California Edison from billions in wildfire liabilities. Now, costs from disasters can be passed straight to ratepayers and victims. Families lose everything — and utilities get a bailout.”
SB 254, signed into law in California in 2025, aims to reform how wildfire risks and associated costs are managed by utilities. According to Utility Dive, the legislation expands the existing state Wildfire Fund by approximately $18 billion. It introduces a non-bypassable charge on utility bills and empowers regulators to more rigorously oversee mitigation plans. The bill also mandates large electrical corporations to submit detailed multi-year wildfire mitigation plans starting in 2026 and prohibits them from including certain capital expenditures in their equity rate base. While supporters argue these changes are necessary to protect both ratepayers and utilities, critics warn that households may still bear a disproportionate burden.
A report from the Pacific Northwest National Laboratory (PNNL) indicates that California utilities recovered about $27 billion in wildfire-related costs between 2019 and 2023. These costs accounted for approximately 7%–13% of an average residential monthly electricity bill in 2023, illustrating how wildfire liability and mitigation efforts translate into higher recurring charges for ratepayers across the state.
California’s liability framework is unique among Western states because utilities can be held strictly liable for wildfires under “inverse condemnation.” According to Legal Planet’s primer on wildfire liability, this significantly affects cost-recovery practices and rate impacts. In contrast, many western states rely on negligence standards or cap recovery of costs from ratepayers.
Desmond serves as a Supervisor for San Diego County’s 5th District, beginning his term in January 2019 after serving as Mayor of San Marcos from 2006 to 2018. A U.S. Navy veteran and retired Delta Airlines pilot with a career spanning 33 years, he has focused on regional issues including public safety, infrastructure, and local government policy.
The San Diego County Board of Supervisors is a five-member governing board overseeing policies, budget, and operations for San Diego County—a jurisdiction covering over 4,200 square miles with more than three million residents. According to the official county site, the Board sets countywide strategy, directs departments responsible for services such as public health, safety, infrastructure, and land use, and appoints members to regional and state-level bodies.
