California Lawmakers Kill Wildfire Bill, Sparking Utility Stock Rebound and Newsom’s Threat of Special Session
California lawmakers abandoned Senate Bill 492 on the final day of the legislative session, causing a sharp rebound in utility stocks after a week of steep declines. The bill, which lacked liability protections for utilities and a long-term funding plan for the state’s wildfire fund, failed to pass despite a compromise reached with Governor Gavin Newsom. Newsom has not ruled out calling a special session to address the issue, while utility CEOs warned of economic fallout from the legislative impasse.