TexasHB 14589th Legislature Regular SessionHouseWALLET

Relating to risk mitigation planning and associated liability for providers of electric service; providing an administrative penalty.

Sponsored By: Ken King, Charles Schwertner (Republican)

Signed by Governor

City Government--UtilitiesCivil Remedies & LiabilitiesCommunications & PressDisaster Preparedness & ReliefInsurance--GeneralInsurance--Property & CasualtyUtilities--ElectricFIRE SAFETY & PREVENTIONEMERGENCY MANAGEMENT, TEXAS DIVISION OFPUBLIC UTILITY COMMISSION

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 2 benefits, 1 costs, 0 mixed.

Wildfire victims face utility liability limits

Electric providers can use approved wildfire plans as evidence in damage lawsuits involving fires their facilities started or spread. That evidence alone does not decide the case. For claims arising on or after the law's effective date, providers avoid liability only after submitting, gaining approval for, and implementing a plan. A judge or jury must find compliance with relevant plan measures for equipment that started or spread the fire. It must also find that the provider did not cause the wildfire intentionally, recklessly, or negligently. Liability limits remain subject to applicable utility tariff terms; missing or rejected plans receive neither protection. The law preserves specified express contract rights involving communications facilities, shared electric facilities, and pole attachments.

Utility self-insurance must share customer savings

Texas electric providers can seek approval to cover certain losses themselves instead of buying insurance, including wildfire injury and property claims. Texas regulators must approve plans that serve the public interest, meet an insurance test, and give customers any savings. Counting all costs, self-insurance must cost less, commercial coverage must be insufficient, or reasonable premiums must be unavailable. Reviews must prioritize wildfire losses and consider historical data, actuarial studies, and exposure to multiple disaster types. Coverage excludes wildfire damage the provider caused intentionally, recklessly, or through gross negligence. The law sets no household savings amount.

Electric providers must plan for wildfires

Texas utilities, city-owned utilities, and electric cooperatives with transmission or distribution facilities in wildfire-risk areas must file prevention plans. State emergency officials or covered providers identify those areas. Plans must address inspections, vegetation, fire prevention and response, restoration, emergency coordination, public outreach, and power shutoffs. They also require an independent fire-risk expert's review, operating standards, compliance monitoring, and any required infrastructure or pole-maintenance plans. Regulators must approve plans serving the public interest, change them, or reject them within 180 days of filing. Providers that fail to implement approved plans face administrative penalties. Regulators must adopt wildfire-planning and self-insurance rules within 180 days after the law takes effect.

Sponsors & Cosponsors

Sponsors

  • Ken King

    House

  • Charles Schwertner

    Republican • Senate

Cosponsors

  • Janie Lopez

    House

Roll Call Votes

All Roll Calls

Yes: 525 • No: 46

Senate vote • 6/1/2025

Record vote

Yes: 0 • No: 0

House vote • 5/31/2025

Record vote

Yes: 103 • No: 21

Senate vote • 5/26/2025

Record vote

Yes: 0 • No: 0

Senate vote • 5/26/2025

Record vote

Yes: 0 • No: 0

House vote • 4/25/2025

Record vote

Yes: 131 • No: 8

House vote • 4/24/2025

Record vote

Yes: 132 • No: 10

House vote • 4/24/2025

Record vote

Yes: 139 • No: 7

Senate vote • Unknown

Committee vote: Business & Commerce

Yes: 8 • No: 0

House vote • Unknown

Committee vote: State Affairs

Yes: 12 • No: 0

Actions Timeline

  1. Effective immediately

    6/20/2025House
  2. Signed by the Governor

    6/20/2025House
  3. Sent to the Governor

    6/2/2025House
  4. Signed in the Senate

    6/2/2025Senate
  5. Signed in the House

    6/2/2025House
  6. Reported enrolled

    6/2/2025House
  7. Senate adopts conf. comm. report-reported

    6/1/2025House
  8. Record vote

    6/1/2025Senate
  9. Senate adopts conference committee report

    6/1/2025Senate
  10. House adopts conf. comm. report-reported

    5/31/2025Senate
  11. Statement(s) of vote recorded in Journal

    5/31/2025House
  12. Record vote (RV#4120)

    5/31/2025House
  13. House adopts conference committee report

    5/31/2025House
  14. Conference committee report filed

    5/31/2025Senate
  15. Conf. Comm. Report distributed

    5/30/2025House
  16. Senate appoints conferees-reported

    5/29/2025House
  17. Senate grants request for conf comm-reported

    5/29/2025House
  18. Senate appoints conferees

    5/29/2025Senate
  19. Senate grants request for conference comm.

    5/29/2025Senate
  20. House appoints conferees-reported

    5/28/2025Senate
  21. House requests conference committee-reported

    5/28/2025Senate
  22. House refuses to concur-reported

    5/28/2025Senate
  23. House appoints conferees

    5/28/2025House
  24. House requests conference committee

    5/28/2025House
  25. House refuses to concur in Senate amendments

    5/28/2025House

Bill Text

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