Utility wildfire safety plans establishment

A bill for an act

relating to energy; establishing utility wildfire safety plans; authorizing certain

cost recovery; proposing coding for new law in Minnesota Statutes, chapters 216B;

604.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

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[216B.1697] COST RECOVERY FOR WILDFIRE MITIGATION PLAN

IMPLEMENTATION.

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The commission must approve recovery of all prudently incurred investments and

expenditures made by a public utility to implement an approved wildfire mitigation plan in

a rate change proceeding initiated under section 216B.16.

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Sec. 2.

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[216B.791] QUALIFIED UTILITY WILDFIRE MITIGATION PLAN.

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Subdivision 1.

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Definitions.

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(a) For purposes of this section, the following terms have

the meanings given.

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(b) "Hazardous vegetation" means plants that (1) are dry, diseased, or dead, (2) are in

close proximity to power lines, and (3) could come into contact with power lines in dry and

windy conditions and lead to electrical faults or wildfires.

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(c) "Qualified utility" means:

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(1) an electric public utility;

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(2) a generation and transmission cooperative electric association;

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(3) a municipal power agency;

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(4) a power district;

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(5) a cooperative electric association;

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(6) a municipal electric utility; or

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(7) an electric transmission provider.

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(d) "Wildfire mitigation plan" means a plan submitted to the commission or the qualified

utility's governing authority under this section.

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Subd. 2.

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Wildfire mitigation plan.

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(a) A qualified utility may prepare a wildfire

mitigation plan under this section.

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(b) A wildfire mitigation plan must include, at a minimum, a description of:

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(1) the qualified utility's service territory and the areas within and adjacent to the service

territory or rights-of-way that may be subject to a heightened risk of wildfire;

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(2) the procedures, standards, and schedules that the qualified utility uses to inspect and

operate the qualified utility's transmission and distribution infrastructure, if any;

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(3) the procedures, standards, and time frames the qualified utility will use to safely and

reliably operate and inspect its infrastructure affected by hazardous vegetation;

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(4) the procedures, standards, and schedules the qualified utility uses to perform

vegetation management;

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(5) how the qualified utility coordinates with other qualified utilities regarding any shared

facilities;

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(6) the modifications, replacements, and upgrades to facilities and preventative programs

the qualified utility implements to reduce the risk of the qualified utility's electric facilities

initiating a wildfire;

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(7) if the utility plans to implement a public safety power shutoff to mitigate potential

wildfires, procedures to disable reclosers and de-energize power lines that consider:

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(i) the qualified utility's ability to reasonably access the recloser to disable or the power

line to de-energize;

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(ii) the wildfire risk based on modeling that analyzes wildfire risk factors, including but

not limited to weather, topography, and vegetation, to assess the likelihood for a fire and

whether the fire may spread;

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(iii) the need for continued supply of electricity to a community;

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(iv) the potential impact that disabling reclosers or de-energizing power lines may have

on the resilience of the remainder of the qualified utility's transmission and distribution

facilities, if any;

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(v) the need to provide notice to customers and the public before or as soon as practicable

after de-energization;

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(vi) the need to communicate and coordinate with other qualified utilities that may be

impacted by disabling reclosers or de-energizing power lines, and plans to accomplish

communications, including communications with transmission operators, reliability

coordinators, and cooperative member systems; and

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(vii) the potential impact to public health and safety, first responders, and communication

infrastructure; and

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(8) potential participation or coordination with state or local wildfire protection or

mitigation plans.

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(c) An electric public utility must include the following in the electric public utility's

wildfire mitigation plan:

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(1) procedures the qualified utility intends to use to restore the qualified utility's electrical

system in the event of a wildfire;

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(2) estimated costs to implement the plan, including system improvements and upgrades;

and

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(3) community outreach and public awareness efforts before and during wildfire season,

particularly in areas impacted by wildfires or de-energizations.

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Subd. 3.

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Electric public utilities and electric transmission provider submission

requirements.

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(a) An electric public utility or electric transmission provider may submit a

wildfire mitigation plan to the commission for approval.

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(b) Within 90 days, the commission must approve, modify, or reject a wildfire mitigation

plan submitted under this section if the plan is reasonable and in the public interest.

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(c) A wildfire mitigation plan approved by the commission preempts a local land use

plan or ordinance that, in whole or in part, impedes or precludes an electric public utility

or electric transmission provider from implementing the wildfire mitigation plan.

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(d) An electric public utility or electric transmission provider must publish on the utility's

or provider's website a wildfire mitigation plan within 30 days after the date the commission

approves the plan.

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(e) An electric public utility or electric transmission provider with a wildfire mitigation

plan approved by the commission under this subdivision must update and resubmit the plan

to the commission for approval every four years. If an electric public utility or electric

transmission provider submits an annual report under subdivision 4, the electric public

utility or electric transmission provider must publish the report on the utility's or provider's

website.

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Subd. 4.

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Additional submission requirements.

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(a) A generation and transmission

cooperative electric association, a municipal power agency, a power district, a cooperative

electric association, or a municipal utility may submit a wildfire mitigation plan to the

governing authority.

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(b) The governing authority of a generation and transmission cooperative electric

association, a municipal power agency, a power district, a cooperative electric association,

or a municipal utility shall approve a wildfire mitigation plan if the plan:

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(1) is reasonable and in the interest of the electric cooperative members; and

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(2) appropriately balances the costs to implement the plan with the potential wildfire

risk.

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(c) A generation and transmission cooperative electric association, a municipal power

agency, a power district, a cooperative electric association, or a municipal utility must:

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(1) publish an approved wildfire mitigation plan on the entity's website within 30 days

after the date the governing authority approves the plan;

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(2) file an approved wildfire mitigation plan with the commission;

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(3) file an annual report with the governing authority detailing the entity's compliance

with the wildfire mitigation plan no later than December 31 each year the plan is effective;

and

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(4) file a copy of the compliance report required under clause (3) with the commission.

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(d) A generation and transmission cooperative electric association, a municipal power

agency, a power district, a cooperative electric association, or a municipal utility with a

wildfire mitigation plan approved by the governing authority must update and resubmit the

plan to the governing authority for approval every two years.

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Sec. 3.

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[604.195] CIVIL LIABILITY FOR WILDFIRES CAUSED BY UTILITY

FACILITIES.

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Subdivision 1.

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Definitions.

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(a) For purposes of this section, the following terms have

the meanings given.

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(b) "Qualified utility" has the meaning given in section 216B.791, subdivision 1.

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(c) "Wildfire" means an unplanned, unwanted fire burning that (1) may damage or cause

harm to natural resources, agricultural resources, and property, or (2) threatens lives and

safety.

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(d) "Wildfire mitigation plan" has the meaning given in section 216B.791, subdivision

1.

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Subd. 2.

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Strict liability prohibited.

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Notwithstanding any law to the contrary, a qualified

utility must not be held strictly liable in a cause of action alleging the qualified utility caused

wildfire-related damages.

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Subd. 3.

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Liability; civil action.

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(a) Except as provided in subdivision 4, a person who

negligently, recklessly, or intentionally causes or spreads a wildfire is liable for the cost to

suppress the wildfire, regardless of whether the fire begins on private land, land owned by

the state, federal land, or Tribal land.

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(b) A person who incurs costs to suppress a wildfire may bring an action under this

section to recover the costs.

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(c) A property owner who suffers damages resulting from a wildfire may bring an action

under this section to recover the damages.

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Subd. 4.

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Liability limitation; substantial compliance.

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(a) In an action to recover

damages resulting from a wildfire or to recover the cost of fire suppression resulting from

a wildfire, a qualified utility has not negligently caused a wildfire if:

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(1) the qualified utility substantially complied with the wildfire mitigation plan, including

inspection, maintenance, and repair activities; modifications or upgrades to facilities or

construction of new facilities; vegetation management work; and preventative programs;

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(2) the qualified utility is denied or delayed access to a right-of-way on land owned by

the state, a federal agency, or a Tribal government after the qualified utility requests access

to the right-of-way to perform vegetation management or fire mitigation work under an

approved wildfire mitigation plan; and

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(3) the wildfire mitigation plan identifies and addresses the cause of the wildfire for fire

mitigation purposes.

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(b) A qualified utility substantially complies with the wildfire mitigation plan if the

qualified utility attempted in good faith to comply with the plan but was denied or

unreasonably delayed access to a right-of-way after the qualified utility requested access

to the right-of-way to perform vegetation management or fire mitigation work under the

plan and the denial or delay was a proximate cause of the plaintiff's damages.

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Subd. 5.

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Award of damages.

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An award for damages to real property resulting from a

wildfire, including the loss of vegetation, must be the lesser of:

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(1) the cost to restore the real property to the real property's prewildfire condition; or

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(2) the difference between the real property's fair market value before the wildfire and

the real property's fair market value after the wildfire.

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EFFECTIVE DATE.

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This section is effective August 1, 2026, and applies to causes

of action accruing on or after that date.

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