Fire Victim Trust Payments Starting To Trickle In — Up to $25K

Californians who suffered wildfire damage have reportedly started to receive preliminary payments from the Fire Victim Trust, though there are thousands of claimants still waiting.

Fire Victim Trust first announced that payments would commence on Nov. 2, saying that consumers who filed claims may be eligible for initial payments of up to $25,000.

“While we are working diligently to ensure everyone is compensated as soon as possible, we realize that implementing a plan to distribute a portion of funds in advance can make a real difference in families’ day-to-day lives,” Trustee of the FVT Justice John K. Trotter said in a statement. “This is something we have to do.”

More recently, the trust’s administrator revealed that the program has distributed $3.5 million in preliminary payments to over 250 fire victims. More payments are expected to be distributed to claimants by the end of the year. These payments act as the first part of payments to claimants with more compensation to be distributed later.

Although this a great start, this is only a meager fraction of the estimated 80,000 victims who could be eligible for compensation.

According to Cathy Yanni, the FVT administrator, part of the problem can be traced to the relatively low number of claimants eligible for preliminary payments. Although 23,000 victims have taken the first steps to seek compensation from the Fire Victims Trust, Yanni told The Sacramento Bee that only 5,000 claimants have completed all the necessary steps to receive preliminary payments.

The slow trickle of funds from the FVT has caused frustration for waiting victims. Richard L., a Santa Rosa bookkeeper, told The Sacramento Bee that neither he or anyone he knows has received money from the trust.

“We lost everything we ever owned,” Richard revealed. Richard’s home reportedly burned down during the October 2017 Tubbs Fire – leading him to estimate his total claim at around $250,000. Although Richard and his wife have rebuilt their home in Santa Rosa, the couple is reportedly waiting on their payment from the trust.

Unfortunately, it could be years before Richard and other claimants receive their full claim payment. $13.5 million in funds have been made available to the trust, but this money will be distributed in phases. The recent preliminary payments represent the first phase of payments from the FVT, though the last phase of payments is scheduled to be distributed in early 2022.

Fire Victims Trust: Overview

The $13.5 billion Fire Victims Trust was established following Pacific Gas and Electric’s Chapter 11 bankruptcy filing in 2019. PG&E filed for bankruptcy after their equipment was linked to wildfires in Northern California from 2015 to 2018. The trust aims to compensate victims of these fires for property damage or destruction, living expenses, lost wages, business losses, personal injuries, medical expenses, emotional distress, and any resulting deaths.

Under the Fire Victims Trust, consumers can make a claim for the following fires:

• 2015 Butte Fire
• 2017 North Bay Wildfires (including the following fires: 37; Adobe; Atlas; Blue; Cascade; Cherokee; Honey; LaPorte; Lobo; Maacama/Youngs; McCourtney; Norrbom; Nuns; Partrick; Pocket; Point; Pressley; Pythian/Oakmont; Redwood/Potter Valley; Sullivan; Sulphur; and Tubbs)
• 2018 Camp Fire

Individuals who were affected by these fires can file a claims questionnaire and supporting documents on the FVT portal. This platform was reportedly made available during the summer of 2020.

Although a lawyer is not required to file a claim and receive compensation from the Fire Victims Trust, consumers may wish to retain an attorney to help them with the claims process. These experienced legal professionals can help Californians compile documentation, complete forms, and meet deadlines to ensure that they receive the money they are owed.