San Diego Business Journal

City, SDG&E Settle 2007 Fire Case

By Brad Graves Wednesday, June 13, 2012

San Diego Gas & Electric Co. will pay the city of San Diego $27 million to settle a lawsuit over the October 2007 wildfires, the city and the utility said in a joint statement June 12.

SDG&E did not admit fault or liability, the statement said.

“The city and SDG&E agree the settlement fairly resolves the litigation between them and that it is in the best interests of both parties and the public,” said the joint statement.

The city’s losses in the Witch and the Guejito fires included emergency response costs, loss of revenue, damage to city structures including a city reservoir, as well as ecological and habitat damage, according to the City Attorney’s Office. The fires began Oct. 21 and Oct. 22.

“This is a fair settlement of the city’s claims and avoids years of additional litigation, including a trial and appeals,” City Attorney Jan Goldsmith said in a statement.

The $27 million settlement does not apply to other claims against SDG&E.