Brad Kuhn Discusses Impact of AB 1554 On California’s $21 Billion Wildfire Fund

Brad Kuhn, chair of Nossaman’s Eminent Domain & Inverse Condemnation Group, was featured on the front page of the Daily Journal for his commentary in the article “Lawmaker signals possible overhaul of California’s $21B Wildfire Fund.” The article provides an overview of how “AB 1554 would pave the way for sweeping changes to how wildfire losses are paid, based on a state report due this spring.”

Daily Journal notes AB 1554 states the California Legislature plans to enact subsequent legislation from a report coming in April 2026 from the Wildfire Fund Administrator. This creates the possibility for the Fund—which offsets wildfire damages caused by utilities—to undergo major changes that would impact homeowners, utilities and insurers.

Discussing the issue, Brad said the bill may be part of the larger fight over wildfire insurance in the coming year. He continued, “It may be premature to speculate as to specific recommendations included in the report, but we expect the report to propose a robust and comprehensive overhaul of the way that California addresses wildfire risks. Based on the directive from SB 254, we would expect to see recommendations addressing all aspects of wildfire matters—from compensation to homeowners, wildfire mitigation, public utility regulation, insurance and more. AB 1554 lays the legislative groundwork for the state to turn those recommendations into reality in a very short timeframe in 2026.”