PG&E funds Fire Victim Trust with $5.4 billion in cash and common stock representing 22.19% ownership stake in PG&E Corporation
PG&E remains focused on commitments to transform PG&E for the long term
Governor signs bill giving state protection ensuring PG&E will be a safer utility
SAN FRANCISCO, Calif. — PG&E Corporation (the “Corporation”) and Pacific Gas and Electric Company (the “Utility,” together “PG&E”) announced Wednesday, July 1, 2020, that PG&E has emerged from Chapter 11, successfully completing its restructuring process and implementing PG&E’s Plan of Reorganization (“Plan”) that was confirmed by the United States Bankruptcy Court on June 20, 2020.
“Today’s announcement is significant for PG&E and for the many wildfire victims who are now one step closer to getting paid. Compensating these victims fairly and quickly has been our primary goal throughout these proceedings, and I am glad to say that today we funded the Fire Victim Trust for their benefit,” said Interim Chief Executive Officer, PG&E Corporation, Bill Smith. “This is an important milestone, but our work is far from over. Our emergence from Chapter 11 marks just the beginning of PG&E’s next era—as a fundamentally improved company and the safe, reliable utility that our customers, communities and California deserve.”
PG&E’s emergence from Chapter 11 is an important milestone on several fronts:
- PG&E has implemented the settlement and resolution of all wildfire claims pursuant to the Plan;
- PG&E has elected to participate in the State’s go-forward wildfire fund;
- PG&E Corporation has seated its new Board of Directors;
- PG&E is moving forward with commitments regarding its governance, operations, and financial structure to further prioritize safety; and
- As a result of the Chapter 11 proceedings, PG&E has retired expensive, high-coupon debt and replaced it with lower-cost debt, yielding significant annual savings for customers over the duration of the debt, estimated to be approximately $250 million annually.
Payment of Wildfire Settlements
Pursuant to the Plan—which was confirmed by the Bankruptcy Court, approved by the California Public Utilities Commission, and accepted by more than 85% of fire victims who cast votes on it—all negotiated settlements of wildfire claims have been implemented as provided in the Plan.
In accordance with the Plan, PG&E has now funded the Fire Victim Trust established to satisfy the claims of individual wildfire victims and others. The Fire Victim Trust funding schedule is as follows: $5.4 billion in cash on the Plan effective date, which was July 1, 2020; an additional $1.35 billion in cash in two installments in 2021 and 2022; PG&E Corporation common stock on the Plan effective date representing 22.19% of the outstanding common stock as of such date (subject to potential adjustments); plus certain other rights. A $700 million payment scheduled for 2022 will be accelerated if the CPUC approves the rate-neutral securitization application PG&E filed on April 30, 2020.
The Fire Victim Trust will be administered by the Fire Victim Trustee and Claims Administrator, both of whom have been approved by the Bankruptcy Court. Neither the Trustee, the Hon. John K. Trotter (Ret.), nor the Claims Administrator, Cathy Yanni, is associated with PG&E Corporation or the Utility. The Fire Victim Trust is solely responsible for administering, reviewing and satisfying all Fire Victim Claims. The Fire Victim Trust has adopted claims resolution procedures for the administration and resolution of Fire Victim Claims. Neither PG&E Corporation nor the Utility will have any role or responsibility in the administration of the Fire Victim Trust. The Fire Victim Trust’s website, which is maintained by the Claims Administrator, can be found at www.firevictimtrust.com.
In addition to funding the Fire Victim Trust, PG&E has also now funded two additional wildfire settlements, paying approximately $1 billion to satisfy the wildfire claims of certain cities, counties, and other public entities, and paying an $11 billion settlement to insurance companies and other entities that paid claims by individuals and businesses related to wildfires in recent years.
Participation in State Wildfire Fund
Today’s announcement also confirms PG&E’s participation in California’s go-forward wildfire fund established by AB 1054. PG&E today deposited approximately $5 billion in the Wildfire Fund, representing PG&E’s initial and first annual contributions.
New Board of Directors
As announced last month, PG&E Corporation’s newly appointed Board of Directors is now officially in place along with the Corporation’s new Interim CEO, Bill Smith, who officially took over from outgoing CEO, Bill Johnson, effective July 1, 2020. The new Board consists of 14 members, 11 of whom are new. The Board members bring substantial expertise in key areas including utility operations and management, safety and environment, risk management, customer engagement, innovation and technology, regulatory affairs (state and federal), audit and finance, corporate governance, nuclear operations and decommissioning, and human capital and executive compensation. In addition, six of the 11 new directors are from California and have made their careers in the state, gaining extensive knowledge of the communities PG&E serves and the political, social, and physical environment in which PG&E operates.
“We know that actions speak louder than words. As new Interim CEO and on behalf of PG&E’s newly appointed Board, I can assure you we are fully committed to continuing to implement comprehensive and meaningful changes to position PG&E for the long term,” said Smith.
Implementation of Plan Commitments to Further Enhance Safety and Improve PG&E’s Ability to Serve its Customers and Communities for the Long Term
As part of its Plan, PG&E made a series of commitments, some of which are already underway, regarding its governance, operations, and financial structure, all designed to further prioritize safety. PG&E made these commitments working with the Governor’s Office and incorporating guidance from CPUC President Batjer, which was included in the full Commission’s approval of the Plan.
The commitments include:
- Supported the CPUC’s enactment of measures to strengthen PG&E’s governance and operations, including enhanced regulatory oversight and enforcement that provides course-correction tools as well as stronger enforcement if it becomes necessary;
- Began hosting a state-appointed observer to provide the state with insight into PG&E’s progress on safety goals;
- Appointing an independent safety monitor when the term of the court-appointed Federal Monitor expires;
- Establishing newly expanded roles of Chief Risk Officer and Chief Safety Officer, with both reporting directly to the PG&E Corporation CEO;
- Formed an Independent Safety Oversight Committee to provide independent review of operations, including compliance, safety leadership, and operational performance;
- Assumed all collective bargaining agreements with labor unions, pension obligations, and other employee obligations, and all power purchase agreements and Community Choice Aggregation servicing agreements;
- Reformed executive compensation to further tie it to safety performance and customer experience;
- A commitment that PG&E Corporation will not reinstate a common stock dividend until it has recognized $6.2 billion in non-GAAP core earnings;
- Filed a proposal with the CPUC requesting a rate-neutral $7.5 billion securitization transaction after PG&E emerges from Chapter 11 in order to finance costs in an efficient manner that benefits customers and accelerates payment to wildfire victims; and
- Committing not to seek recovery in customer rates of any portion of the amounts that will be paid to victims of the 2015, 2017, and 2018 wildfires under the Plan when PG&E emerges from Chapter 11 (except through the rate-neutral securitization transaction).
Also on July 1, 2020, PG&E implemented the Noteholder Restructuring Support Agreement including implementation of the debt exchange, the reinstatement and collateralization of certain debt, and payment of accrued interest under the Plan. The exchange and reinstatement of debt and distributions of accrued interest to noteholders will be completed as soon as practicable. Questions can be directed to PG&E’s administrative agent, Prime Clerk LLC, by emailing pgeballots@primeclerk.com. More information can also be found at https://restructuring.primeclerk.com/pge/.
Forward-Looking Statements
This news release includes forward-looking statements that are not historical facts, including statements about the beliefs, expectations, estimates, future plans and strategies of PG&E Corporation and Pacific Gas and Electric Company, including but not limited to, statements about the Fire Victim Trust, implementation of commitments made in connection with the Plan, including governance, operational and financial commitments, estimated annual cost savings to customers resulting from emergence funding, and commitments and expectations, including timing, related to the payment of any dividends. These statements are based on current expectations and assumptions, which management believes are reasonable, and on information currently available to management, but are necessarily subject to various risks and uncertainties. In addition to the risk that these assumptions prove to be inaccurate, factors that could cause actual results to differ materially from those contemplated by the forward-looking statements include factors disclosed in PG&E Corporation and Pacific Gas and Electric Company’s joint annual report on Form 10-K for the year ended December 31, 2019, their joint quarterly report on Form 10-Q for the quarter ended March 31, 2020, and their subsequent reports filed with the Securities and Exchange Commission (the “SEC”), which are available on PG&E Corporation’s website at www.pgecorp.com and on the SEC website at www.sec.gov. Additional factors include, but are not limited to, those associated with the Chapter 11 cases of PG&E Corporation and Pacific Gas and Electric Company that commenced on January 29, 2019. PG&E Corporation and Pacific Gas and Electric Company undertake no obligation to publicly update or revise any forward-looking statements, whether due to new information, future events or otherwise, except to the extent required by law.
Governor signs bill giving state protection ensuring PG&E will be a safer utility
Following 18 months of unprecedented state intervention to transform PG&E and put safety, reliability and its customers at the center of its business model, on Tuesday, Governor Gavin Newsom signed SB 350, which protects California by giving the state the authority to hold PG&E accountable if the company fails to adhere to public safety policies, and to put safety, reliability and its customers at the center of its business model.
SB 350 builds on the framework set up by AB 1054, which was signed in July 2019, as well as on requirements set in motion by the California Public Utilities Commission (CPUC), the bankruptcy court and most importantly, by the Governor’s push for fundamental changes to transform PG&E into a utility that is reliable and accountable to its customers and to all Californians.
“No more business as usual for PG&E,” said Governor Newsom. “As we head into wildfire season amid a pandemic, Californians need to have confidence that their utility is focused on customer safety – preventing wildfire sparks and making critical safety upgrades. SB 350 marks a critical step in the transformation of PG&E into a utility that is accountable to those it serves – the people of California. I would like to recognize and thank the Legislature for taking action on this important legislation.”
SB 350, by Senator Jerry Hill (D-San Mateo), is being signed one day before PG&E is expected to conclude the bankruptcy case it filed in January 2019. The state won key victories in the company’s reorganization plan as a result of its intervention. These included sweeping governance and operational reforms, including a newly constituted board of directors, and billions of additional benefits to ratepayers, victims and the people of California. The state’s involvement also ensured that the company emerged from bankruptcy in a position to make massive upgrades necessary to deliver safe, reliable, clean electricity, and to swiftly compensate victims.
The California Public Utilities Commission approved PG&E’s bankruptcy plan on May 28 in a decision that placed enforceable requirements on PG&E to meet the mandates of AB 1054.
About PG&E Corporation
PG&E Corporation (NYSE: PCG) is a holding company headquartered in San Francisco. It is the parent company of Pacific Gas and Electric Company, an energy company that serves 16 million Californians across a 70,000-square-mile service area in Northern and Central California. Each of PG&E Corporation and the Utility is a separate entity, with distinct creditors and claimants, and is subject to separate laws, rules and regulations. For more information, visit pgecorp.com.
Read More“the more we come together in groups, the more COVID-19 spreads in the community.” – Dr. Chris Farnitano
By Allen Payton
In a rather ironic announcement Thursday, with reports of COVID-19 spreading rapidly in many Bay Area neighborhoods, members of the Association of Bay Area Health Officers (ABAHO) representing thirteen jurisdictions, urge residents to protect themselves and the community by celebrating Independence Day while remaining at home, under what amounts to house arrest, during the July 4th holiday weekend.
The Fourth of July, the day on which we as a nation celebrate the declaration of our independence from the tyrannical rule of England’s King George III, with his oppressive regulations and taxation, is traditionally a time to celebrate with firework shows, parades and cookouts. But this year the COVID-19 pandemic has resulted in many community leaders cancelling public events. Gatherings with others from outside your household, such as members of the extended family, are also considered potentially risky, according to the Association of Bay Area Health Officials (ABAHO).
Health officers from across the greater Bay Area say staying home this year is a healthy choice.
“Nobody wants to be cooped up, or to miss out on the holiday,” said Dr. Chris Farnitano, Contra Costa County Health Officer, a member of ABAHO. “But the more we come together in groups, the more COVID-19 spreads in the community. And the more it spreads, the more it endangers older adults and others at high risk of serious illness.”
So, instead of merely requiring those older adults and others at high risk to stay home, he wants all of us to.
“You can spread COVID-19 even if you don’t feel that sick,” the ABAHO explained in a their press release announcement. “You can pass the disease to someone else before you have symptoms, and even if you never develop any symptoms at all. When infected people come in contact with others who are high-risk, there can be deadly consequences.”
Those deadly consequences have so far amounted to 78 deaths out of 1,115,000 residents in Contra Costa County, or one death in every 14,300 people. Currently there are a total of 41 patients with the virus in our hospitals and not all of them are from our county. At the same time, some county residents who have tested positive are in hospitals in Alameda County. In addition, according to the Contra Costa Health Services Coronavirus Dashboard, as of today at 11:30 a.m. a total of 76,139 people have been tested in our county and 3,326 have contracted the virus. The good news is, to date, 2,311 who have tested positive in Contra Costa have recovered, which means there are currently 896 residents in our county who have the virus and should be staying home under self-quarantine.
Yet because of the risks they have outlined, Bay Area health officers recommend people who are not members of the same household remain physically distant. Unless you choose to follow the county’s guidelines for sexual activity, which can be found, here and recommend that “If you do have sex with others, have as few partners as possible.”
According to the ABAHO, the best ways to protect yourself and slow the spread of COVID-19 include:
- Continuing to stay home as much as possible
- Practicing physical distancing outside the home
- Wearing face coverings or masks when outside your home
- Avoiding gatherings with people outside your immediate household – (even though Contra Costa allows gathering in groups of 12 people, and as many as 100 if you’re attending an outdoor or indoor worship service or protest. So, be sure if you’re number 101 or more, to please leave and either worship or protest on your own.
- Washing your hands thoroughly and frequently
- Staying home from work, school or daycare if you feel sick
Bay Area residents who have symptoms are also encouraged to get tested for COVID-19, and to do so immediately. Check with your local health department for more information about testing and about efforts in your community to fight the COVID-19 pandemic. For more information, please visit cchealth.org/coronavirus.
ABOUT THE ABAHO
The Association of Bay Area Health Officials (ABAHO) represents health officers and other public health professionals from thirteen jurisdictions. ABAHO coordinates and communicates regional messages to save lives, promote and protect health, prevent injury and illness, and improve wellness in the region’s diverse communities. According to an article on CaliforniaHealthLine.org “The alliance, formally called the Association of Bay Area Health Officials, was born in 1985 in the early days of the AIDS epidemic.” That article, entitled “The Inside Story Of How The Bay Area Got Ahead Of The COVID-19 Crisis”, is dated April 21, 2020 a week after Contra Costa experienced it’s peak, so far, of 44 Coronavirus patients in county hospitals on April 14.
The members of the ABAHO and other government leaders have returned us to the days before 1776 with even more oppressive regulations than those of King George, III – who still allowed the colonists to freely worship, go to work, operate their businesses (unless they were seditious newspaper publishers), earn a living, and go about their daily lives – while instilling fear into the populace about the virus, as well as by releasing inmates from federal and state prisons, and county jails, and increasing the national debt in order to keep providing unemployment payments, grants and loans (with interest, further burdening business owners) to most, but not all those who qualify and have been approved, yet who are still waiting to receive even a penny from either the state or federal government, while at the same time allowing the homeless, protesters, looters, vandals, Antifa members, and CHOP and CHAZ residents to enjoy maximum freedom, in effect guaranteeing only to them the full exercise of the freedoms enumerated in the Bill of Rights, while restricting most of the rest of us from enjoying them.
Enjoy celebrating your freedom on Saturday!
Read MoreThis afternoon at approximately 12:28pm, Contra Costa CHP was advised of a two-vehicle, head-on collision on HWY-4 westbound, just west of Discovery Bay Blvd in Discovery Bay. Upon emergency personnel and CHP arrival, the solo male driver (unidentified adult male at this time) of a 2006 Pontiac sedan was pronounced deceased at the scene by emergency personnel. The solo adult male driver of the other vehicle involved, a Jeep, thankfully only suffered minor injuries and was not transported. The Contra Costa County Sheriff’s Coroner’s Office will be handling the release of identity of the deceased male.
In our initial investigation, it appears the male driver of the Pontiac was traveling westbound on HWY-4, just west of Discovery Bay Blvd. According to witnesses, the driver of the Pontiac began driving within the right shoulder of westbound HWY-4 at excessive speeds reported at approximately 100 mph. Witnesses related the Pontiac lost control along the right shoulder dirt area and then veered across the westbound lanes of traffic and into the oncoming eastbound lane where the Jeep driver was traveling. Subsequently the driver of the Pontiac collided head-on into the Jeep, resulting in the death of the Pontiac driver. Thankfully, the male driver of the Jeep only suffered very minor injuries and was not transported. Avoid the area if possible and seek alternate routes as traffic is heavy due to intermittent traffic lanes blocked for this investigation.
At this time, it is unknown if alcohol or drugs were a factor in this collision, but this incident is still under investigation. If anyone witnessed this collision or the events leading up to it, please contact Contra Costa CHP in Martinez at (925) 646-4980.
Read MoreBy Jimmy Lee, Director of Public Affairs, Contra Costa County, Office of the Sheriff
The Contra Costa County Office of the Sheriff has identified 30-year-old Angelo Ramirez of San Pablo as the suspect in a fatal shooting in Rodeo, California. (See related article).
On April 24, 2020, at about 7:52 PM, Bay Station Deputy Sheriffs were dispatched to a report that someone was shot at the 1000 block of Mariposa Avenue. Deputies arrived finding a man on the street suffering from a gunshot wound. The fire department and an ambulance responded. The man was later pronounced deceased at the scene. The victim was identified as 24-year-old Olajawon Walker of San Pablo.
Detectives investigating the case later identified Ramirez as the suspect. The case was presented to the Contra Costa County District Attorney’s Office which charged him with murder. A warrant was issued for Ramirez’s arrest.
It is believed that Ramirez fled the area after the murder. He is currently being sought by the Sheriff’s Office and the U.S. Marshals Service. It is believed Ramirez may be receiving assistance in avoiding apprehension. Anyone associated with harboring Ramirez may be arrested for being an accessory to murder after the fact.
Ramirez should be considered armed and dangerous and should not be approached by the public. If he is seen, please call 911 immediately. Anyone with any information on this case is asked to contact Sheriff’s Office Dispatch at (925) 646-2441 or the Investigation Division at (925) 313-2600. For any tips, email: tips@so.cccounty.us or call (866) 846-3592 to leave an anonymous voice message.
Read MoreSACRAMENTO — On Tuesday, June 30, 2020 California Governor Gavin Newsom issued an executive order extending authorization for local governments to halt evictions for renters impacted by the COVID-19 pandemic, through September 30. Currently Contra Costa County’s urgency ordinance preventing evictions and rent increases expires on July 15.
The order also addresses a variety of issues in response to the pandemic, by extending provisions in earlier orders which allow adults to obtain marriage licenses via videoconferencing rather than in-person during the pandemic; waive eligibility re-determinations for Californians who participate in Medi-Cal, to ensure they maintain their health coverage; suspend face-to-face visits for eligibility for foster care; and permit In-Home Supportive Services (IHSS) program caseworkers to continue caring for older adults and individuals with disabilities through video-conferencing assessments.
The order also extends waivers temporarily broadening the capability of counties to enroll persons into the California Work Opportunity and Responsibility to Kids (CalWORKs) program, allowing for self-attestation of pregnancy and conditions of eligibility, and waiving in-person identification requirements.
In addition, the order extends provisions allowing for mail-in renewals of driver’s licenses and identification cards, to limit in-person transactions at the Department of Motor Vehicles, and extends timeframes related to the payment of real estate license application and renewal fees and continuing education requirements for licensees.
The text of the Governor’s executive order can be found here and a copy can be found here.
Read MoreOAKLAND – Daniel Joseph Feliciano was sentenced today to 25 years in prison for producing child pornography, announced United States Attorney David L. Anderson and Homeland Security Investigations (HSI) Special Agent in Charge Tatum King. The sentence was handed down by the Honorable Jeffrey S. White, U.S. District Judge.
Feliciano, 30, of Pleasant Hill, pleaded guilty to the charge on March 3, 2020. According to his plea agreement, Feliciano admitted that he recorded a video of a 9-year-old minor in a sexually explicit act and produced an image of a 5-year-old seated on a bed with the minor’s genitalia visible. Feliciano knew the two victims were minors and he created the images using his cellular phone.
In addition, Feliciano admitted that he possessed approximately 205 images or videos of minors engaged in sexually explicit conduct. The government filed additional papers arguing that Feliciano possessed more than 21,000 images of child pornography, including images of sexual abuse of a toddler-aged child and other children younger than 7 years old. (Please see related article)
A federal grand jury indicted Feliciano on December 19, 2019, charging him with two counts of producing and possessing child pornography, in violation of 18 U.S.C. § 2251(a) and 18 U.S.C. § 2252(a)(4)(B). Feliciano pleaded guilty to both counts.
In addition to the prison term, Judge White also sentenced the defendant to a 10-year period of supervised release and scheduled a hearing for September 22, 2020, at 1:00 p.m. to resolve issues concerning restitution. The defendant will begin serving the sentence immediately.
This prosecution arose from a Cybertip on October 4, 2019, to the National Center for Missing and Exploited Children (NCMEC) related to the discovery of potential exploitation material being stored in a cloud storage account later traced to Feliciano.
Assistant U.S. Attorney Jonathan U. Lee is prosecuting the case with the assistance of Jessica Rodriguez Gonzalez, Kay Konopaske, and Kathleen Turner. The prosecution is the result of an investigation by HSI, the Silicon Valley Internet Crimes Against Children Task Force, and the Pleasant Hill Police Department.
Read More
- State and counties will spend upwards of $1 billion to purchase hotels, motels, vacant apartment buildings and tiny homes and provide services to the homeless
- State effort has served an estimated 14,200 individuals in three months
- 15,679 hotel and motel rooms and 1,345 trailers for extremely vulnerable individuals experiencing homelessness to help flatten the curve & preserve hospital capacity
PITTSBURG (June 30, 2020) – Today, Governor Gavin Newsom visited a Project Roomkey motel in Pittsburg, Contra Costa County to highlight progress that the state and counties have made in providing safe isolation capacity to protect people experiencing homelessness from COVID-19 and to launch Homekey, the next phase in the state’s effort to protect vulnerable homeless Californians from the pandemic.
Homekey, backed by $1.3 billion in newly available and eligible funding through the budget the Governor signed yesterday, will allow for the largest expansion of housing for people experiencing homelessness in recent history, while addressing the continuing health and social service needs of this vulnerable population.
Under the Homekey program, counties will partner with the state to acquire and rehabilitate a variety of housing types: hotels, motels, vacant apartment buildings, residential care facilities, and other tiny homes. All these new placements will serve people experiencing homelessness.
Counties and cities across the state will identify which buildings they intend to purchase and apply to the state for $550 million in grant funding dedicated to this purpose. Once acquired, the local governments will plan for the long-term social services and subsidy needs of the Homekey buildings, with access to $50 million in dedicated Homekey support and an additional $300 million in general local homelessness support which can be used for Homekey, among other priorities.
In addition to these fund sources, counties and cities can access billions more in additional federal stimulus funding which, while available for a variety of purposes, is eligible to be used to provide safe shelter for homeless individuals during the pandemic.
The Governor also announced $45 million in philanthropic support – $25 million from Kaiser Permanente and $20 million from Blue Shield of California – for a new services subsidy fund directed at counties that are implementing Homekey. These contributions, originally announced in January as part of the Governor’s proposed Access to Housing Fund, were redirected by the companies to support the Homekey effort.
Acquisitions and conversions undertaken as part of Homekey will benefit from new legislation that the Governor signed yesterday, providing a CEQA exemption and automatic zoning compliance to new homeless housing utilizing newly available state and federal funding.
“We’ve long dreamed about scooping up thousands of motel rooms and converting them into housing for our homeless neighbors,” said Governor Gavin Newsom. “The terrible pandemic we’re facing has given us a once-in-a-lifetime opportunity to buy all these vacant properties, and we’re using federal stimulus money to do it. Hand in hand with our county partners, we are on the precipice of the most meaningful expansion of homeless housing in decades.”
The Homekey initiative builds upon the state’s current COVID-19 response effort, Project Roomkey, which has directly led to 15,678 hotel and motel rooms statewide being made available for this extremely vulnerable group of Californians. Over 14,200 people have been served by Project Roomkey motels since the epidemic began, according to estimates from the California Department of Social Services.
These Project Roomkey placements are spread across 52 counties and 293 hotels. The counties are responsible for identifying which individuals need a Project Roomkey placement, and then moving those individuals into the rooms.
See below for video of the governor’s press conference, today. It begins at approximately the 4:00 minute mark.
Governor Gavin Newsom provides an update on the state’s initiative to secure hotel & motel rooms to protect homeless individuals from #COVID19.
Posted by California Governor on Tuesday, June 30, 2020
In April, Governor Newsom announced a reimbursement partnership with FEMA, whereby local, state, and tribal governments are eligible to 75 percent cost-share for Project Roomkey activities, including hotel and motel rooms and wraparound supports such as meals, security, and custodial services.
These emergency protective measures are protecting public health by isolating the medically-vulnerable, thinning out the shelter population for social distancing, slowing the rate of spread of COVID-19 and, in turn, flattening the curve.
Homeless policy leaders and local elected officials have long called for hotel/motel conversion as a strategy to bring housing for the homeless online quickly and cost effectively.
Nan Roman, President & CEO, National Alliance to End Homelessness: “The National Alliance to End Homelessness commends Governor Newsom and the State for their innovative and unwavering commitment to reduce homelessness via Homekey. Homekey is the logical and much-needed next step to Project Roomkey, California’s smart strategy to protect people experiencing homelessness in the COVID-19 pandemic. Homekey recognizes that homelessness is a public health AND a housing crisis and seizes the opportunity of the moment to increase the state’s affordable housing stock and target new units to those most in need.”
Philip Mangano, former Director of the U.S. Interagency Council on Homelessness for Presidents Obama and Bush: “Today Governor Newsom backs up his priority on homelessness with a $600 million investment to move homeless people off the streets and beyond shelters to starter homes. In his focus on housing through hotel/motel conversions the Governor is building on an initiative that reduced exposure to the virus and now offers a statewide strategic approach to produce more units faster and cheaper. That’s good for the taxpayer and good for homeless people.”
San Jose Mayor Sam Liccardo, Chair of the Big City Mayors Coalition: “California’s big cities feel the crisis of homelessness most acutely. On behalf of my dozen colleagues in the Big City Mayors Coalition, I express deep appreciation to Governor Gavin Newsom and Legislative leadership for creating the Homekey program, demonstrating their commitment to partner with our cities to confront the urgent needs of our unhoused residents. In unprecedented and uncertain times, we are grateful for the strong commitment of our state elected leaders to supporting cities on the front line working to end homelessness and human suffering.”
Heidi Marston, Executive Director of the Los Angeles Homeless Services Authority (LAHSA): “We’re grateful to Governor Newsom for his leadership and support of Project Roomkey. As a result of his quick and decisive actions, we were able to shelter more than 4,000 people most vulnerable to contracting COVID-19, providing not only a roof over their heads but a safe space to isolate. Through this endeavor, we’ve proven we can bring people indoors quickly through strong partnerships between government, business, and community leaders. We have built momentum that we will hope will help us move folks from Project Roomkey into permanent housing.”
Tomiquia Moss, Founder & Chief Executive, All Home California: “California’s homelessness crisis preceded the COVID-19 pandemic. The State was creative in its response with the Project Roomkey initiative ensuring a safe housing response during this public health crisis. Recognizing the opportunity to purchase hotels and motels and provide housing options for people experiencing homelessness, California continues to demonstrate leadership in responding to this crisis. This approach will secure thousands of units statewide working in partnership with cities and counties and community based organizations. It will take strategies like these during this economic and public health crisis to ensure our most vulnerable residents aren’t left behind.”
PITTSBURG (June 30, 2020) – Today, Governor Gavin Newsom visited a Project Roomkey motel in Pittsburg, Contra Costa County to highlight progress that the state and counties have made in providing safe isolation capacity to protect people experiencing homelessness from COVID-19 and to launch Homekey, the next phase in the state’s effort to protect vulnerable homeless Californians from the pandemic.
Homekey, backed by $1.3 billion in newly available and eligible funding through the budget the Governor signed yesterday, will allow for the largest expansion of housing for people experiencing homelessness in recent history, while addressing the continuing health and social service needs of this vulnerable population.
Under the Homekey program, counties will partner with the state to acquire and rehabilitate a variety of housing types: hotels, motels, vacant apartment buildings, residential care facilities, and other tiny homes. All these new placements will serve people experiencing homelessness.
Counties and cities across the state will identify which buildings they intend to purchase and apply to the state for $550 million in grant funding dedicated to this purpose. Once acquired, the local governments will plan for the long-term social services and subsidy needs of the Homekey buildings, with access to $50 million in dedicated Homekey support and an additional $300 million in general local homelessness support which can be used for Homekey, among other priorities.
In addition to these fund sources, counties and cities can access billions more in additional federal stimulus funding which, while available for a variety of purposes, is eligible to be used to provide safe shelter for homeless individuals during the pandemic.
The Governor also announced $45 million in philanthropic support – $25 million from Kaiser Permanente and $20 million from Blue Shield of California – for a new services subsidy fund directed at counties that are implementing Homekey. These contributions, originally announced in January as part of the Governor’s proposed Access to Housing Fund, were redirected by the companies to support the Homekey effort.
Acquisitions and conversions undertaken as part of Homekey will benefit from new legislation that the Governor signed yesterday, providing a CEQA exemption and automatic zoning compliance to new homeless housing utilizing newly available state and federal funding.
“We’ve long dreamed about scooping up thousands of motel rooms and converting them into housing for our homeless neighbors,” said Governor Gavin Newsom. “The terrible pandemic we’re facing has given us a once-in-a-lifetime opportunity to buy all these vacant properties, and we’re using federal stimulus money to do it. Hand in hand with our county partners, we are on the precipice of the most meaningful expansion of homeless housing in decades.”
The Homekey initiative builds upon the state’s current COVID-19 response effort, Project Roomkey, which has directly led to 15,678 hotel and motel rooms statewide being made available for this extremely vulnerable group of Californians. Over 14,200 people have been served by Project Roomkey motels since the epidemic began, according to estimates from the California Department of Social Services.
These Project Roomkey placements are spread across 52 counties and 293 hotels. The counties are responsible for identifying which individuals need a Project Roomkey placement, and then moving those individuals into the rooms.
In April, Governor Newsom announced a reimbursement partnership with FEMA, whereby local, state, and tribal governments are eligible to 75 percent cost-share for Project Roomkey activities, including hotel and motel rooms and wraparound supports such as meals, security, and custodial services.
These emergency protective measures are protecting public health by isolating the medically-vulnerable, thinning out the shelter population for social distancing, slowing the rate of spread of COVID-19 and, in turn, flattening the curve.
Homeless policy leaders and local elected officials have long called for hotel/motel conversion as a strategy to bring housing for the homeless online quickly and cost effectively.
Nan Roman, President & CEO, National Alliance to End Homelessness: “The National Alliance to End Homelessness commends Governor Newsom and the State for their innovative and unwavering commitment to reduce homelessness via Homekey. Homekey is the logical and much-needed next step to Project Roomkey, California’s smart strategy to protect people experiencing homelessness in the COVID-19 pandemic. Homekey recognizes that homelessness is a public health AND a housing crisis and seizes the opportunity of the moment to increase the state’s affordable housing stock and target new units to those most in need.”
Philip Mangano, former Director of the U.S. Interagency Council on Homelessness for Presidents Obama and Bush: “Today Governor Newsom backs up his priority on homelessness with a $600 million investment to move homeless people off the streets and beyond shelters to starter homes. In his focus on housing through hotel/motel conversions the Governor is building on an initiative that reduced exposure to the virus and now offers a statewide strategic approach to produce more units faster and cheaper. That’s good for the taxpayer and good for homeless people.”
San Jose Mayor Sam Liccardo, Chair of the Big City Mayors Coalition: “California’s big cities feel the crisis of homelessness most acutely. On behalf of my dozen colleagues in the Big City Mayors Coalition, I express deep appreciation to Governor Gavin Newsom and Legislative leadership for creating the Homekey program, demonstrating their commitment to partner with our cities to confront the urgent needs of our unhoused residents. In unprecedented and uncertain times, we are grateful for the strong commitment of our state elected leaders to supporting cities on the front line working to end homelessness and human suffering.”
Heidi Marston, Executive Director of the Los Angeles Homeless Services Authority (LAHSA): “We’re grateful to Governor Newsom for his leadership and support of Project Roomkey. As a result of his quick and decisive actions, we were able to shelter more than 4,000 people most vulnerable to contracting COVID-19, providing not only a roof over their heads but a safe space to isolate. Through this endeavor, we’ve proven we can bring people indoors quickly through strong partnerships between government, business, and community leaders. We have built momentum that we will hope will help us move folks from Project Roomkey into permanent housing.”
Tomiquia Moss, Founder & Chief Executive, All Home California: “California’s homelessness crisis preceded the COVID-19 pandemic. The State was creative in its response with the Project Roomkey initiative ensuring a safe housing response during this public health crisis. Recognizing the opportunity to purchase hotels and motels and provide housing options for people experiencing homelessness, California continues to demonstrate leadership in responding to this crisis. This approach will secure thousands of units statewide working in partnership with cities and counties and community based organizations. It will take strategies like these during this economic and public health crisis to ensure our most vulnerable residents aren’t left behind.”
Read MoreFour crimes in Contra Costa County; avoids death penalty, to be sentenced to life without possibility of parole
SACRAMENTO, CA – Joseph James DeAngelo Jr., 74, pleaded guilty today to 13 felony counts of first-degree murder and 13 felony counts of kidnapping to commit robbery during a 13-year multicounty crime spree that terrorized much of California during the 1970s and 1980s. DeAngelo was identified through Investigative Genetic Genealogy (IGG) in 2018, more than three decades after he raped and murdered his last victim in 1986. (Watch DeAngelo plead guilty and confess to his crimes).
Known as the Golden State Killer and East Area Rapist, DeAngelo also admitted to 161 uncharged crimes related to 61 uncharged victims, including attempted murder, kidnapping to commit robbery, rape, robbery, first-degree burglary, false imprisonment and criminal threats. The uncharged crimes occurred in Alameda, Sacramento, San Joaquin, Santa Clara, Stanislaus, Tulare and Yolo counties.
Monday’s hearing was relocated to the Sacramento State Ballroom to accommodate the large number of victims and their family members in attendance and to ensure social distancing in light of the current COVID-19 pandemic.
DeAngelo is being jointly prosecuted by the district attorneys of Contra Costa, Orange, Sacramento, Santa Barbara, Tulare and Ventura counties.
“He committed multiple heinous acts in Contra Costa County. Four of those cases we were able to charge,” Contra Costa County District Attorney Diana Becton stated. “While we were not able to file the other cases, we are very fortunate that today DeAngelo pled to all of the cases, both those that were charged and uncharged.”
The decision by prosecutors to accept DeAngelo’s offer to plead guilty to the 26 charged crimes and admit the uncharged crimes was made in consultation with the victims and their family members. The totality of the circumstances, including the age of the victims, the age of witnesses and the death of other key witnesses, and the age of the defendant, were taken into consideration.
The massive scope of this case, which involved more than 1.3 million pages of discovery, would have unduly burdened the victims with a lengthy prosecution that was anticipated to take as many as ten years. The plea provided the victims and their families who were terrorized by DeAngelo the opportunity to hear him admit his crimes and they will have an opportunity to provide victim impact statements beginning August 17, 2020.
This six-county joint prosecution resulted in a guilty plea of:
- 13 counts of first-degree murder with special circumstances allegations of multiple murders and murder during the commission of rape, robbery, and burglary.
- 13 felony counts of kidnapping to commit robbery with sentencing enhancements for personal use of a firearm and personal use of a knife during the commission of the offenses.
- DeAngelo admitted murdering:
o Claude Snelling – September 11, 1975 – Tulare County
o Katie and Brian Maggiore – February 2, 1978 – Sacramento County
o Debra Alexandria Manning – December 30, 1979 – Santa Barbara County
o Robert Offerman – December 30, 1979 – Santa Barbara County
o Cheri Domingo – July 27, 1981 – Santa Barbara County
o Greg Sanchez – July 27, 1981 – Santa Barbara County
o Charlene and Lyman Smith – on or about March 13, 1980– Ventura County
o Keith and Patrice Harrington – August 21, 1980 – Orange County
o Manuela Witthuhn – February 6, 1981 – Orange County
o Janelle Cruz – May 5, 1986 – Orange County
DeAngelo also admitted to the uncharged crimes of:
- Attempted murder, kidnapping to commit robbery, rape, robbery, first-degree burglary, false imprisonment and criminal threats.
(Read the details of the charges).
DeAngelo’s crime spree began in 1975 when he was working as a police officer with the Exeter Police Department. The crimes, which continued long after he was fired from the Auburn Police Department in 1979, escalated from peeping through windows to stalking to rape and serial murder.
His crimes earned him the nicknames of the Visalia Ransacker, the East Area Rapist, the Original Night Stalker, and the Golden State Killer. It was not until April 2018 that Sacramento authorities announced that Investigative Genetic Genealogy had identified DeAngelo as the person responsible.
Joseph DeAngelo will be sentenced to life in state prison without the possibility of parole. The sentence will run consecutive and concurrent to his sentence for the first-degree murders to which he has pled. His sentencing hearing will commence on August 17, 2020. Victims will be given the opportunity to deliver victim impact statements prior to DeAngelo’s sentencing on August 21, 2020. The sentencing hearing location will be announced at a later date.
The identification, arrest, and prosecution of DeAngelo is the result of decades of work by law enforcement agencies across California.
“Today’s court proceeding brings us one step closer to ending the horrific saga of Joseph DeAngelo and his decades long crime spree,” said Contra Costa DA Becton. “The crimes he committed in Contra Costa County, and throughout the state of California, have left a lifetime of scars and pain for our victims and their families. In this case justice did not move swiftly, it was a long time coming. However, our victims remained steadfast and brave throughout this entire process. Today is about remembering all of the victims in this case and finally holding DeAngelo responsible for these crimes.”
See video of District Attorneys’ press conference following the hearing. Hear from one of his victims in Contra Costa County in a KTVU FOX2 news report.
“I am an ardent supporter of the death penalty when appropriate. There are crimes that are so heinous and so depraved that death is the only appropriate punishment. This is one of those cases, and that is why all six District Attorneys prosecuting this case decided unanimously to seek the death penalty,” said Orange County District Attorney Todd Spitzer. “The ability of victims to confront the person who terrorized them and robbed them of a lifetime of memories with their loved ones is an unequivocal right. I carefully consulted with all of the families of the Orange County victims and had the former district attorney who filed the charges fully briefed on the defendant’s offer to plead guilty. Given the totality of the circumstances including the advanced age of the victims, the advanced age and deaths of key witnesses, and the lengthy capital case process ahead, the decision in Orange County to accept the defendant’s offer was unanimous. Today’s plea will never bring the loved ones back or restore the sense of security that was shattered, but today, after 40 years of uncertainty, dozens of victims and a nation heard the person responsible for this reign of terror finally admit that he – and only he – is responsible.”
“The investigation, identification and prosecution of the East Area Rapist/Golden State Killer has been a long journey for justice – a journey marked by passion, persistence and sheer determination,” said Sacramento County District Attorney Anne Marie Schubert. “Through the revolutionary tool of Investigative Genetic Genealogy, this serial rapist and murderer was not only identified and brought to justice but will spend the rest of his life in prison. It is my sincere hope that today brings healing to victims, their families and communities harmed by the atrocious crimes committed by Joseph DeAngelo.”
“Today, in the eyes of the victims, and the loved ones of those murdered by this vicious defendant, I saw the exception to the rule: justice delayed is justice denied,” said Santa Barbara County District Attorney Joyce Dudley. “Today I saw justice and it was brought to all of us by the tenacity of Sacramento DA Anne Marie Schubert and her extraordinary team.”
“The crimes committed by the defendant in Tulare County were never eligible for the death penalty based on the law in 1975. It is important to note that he will be sentenced to the maximum for those crimes,” said Tulare County District Attorney Tim Ward. “It would be incorrect to describe today’s events as ‘closure.’ The countless victims in this case will still feel the pain of tragic loss – loss of family, loss of innocence, loss of ever feeling safe again – because of the terror inflicted by the defendant. I am proud to stand with these victims, whether they are from Tulare County or elsewhere, to see justice move forward.”
“Today’s hearing marks a tremendous moment in the lives of dozens, if not hundreds, of California citizens who were direct or collateral victims of this defendant’s crimes. This resolution, brought about by the work of six District Attorneys’ offices, demonstrates the work of law enforcement at its finest,” said Ventura County District Attorney Greg Totten. “In 1980, Ventura County was rocked by the brutal murders of Lyman and Charlene Smith. Initially, evidence was thin and leads proved fruitless. However, for over forty years, law enforcement never gave up. Using the best technology and legal tools available, teams of investigators linked the Smiths’ murders to other murders and rapes around the state, and we put together a rock-solid case against this defendant. This case, to us, is not just the 26 counts we could charge, but also the myriad other crimes this defendant committed where the statute of limitations had run. We left no lead uninvestigated, and we left no victim forgotten. We wish we could have found him sooner. But we are pleased to be able to say today to our Ventura County community and to Joseph DeAngelo’s victims, you no longer have to wonder who did these horrible crimes. He has not just been arrested and charged; he has now admitted he is guilty. His plea today ensures he will spend the rest of his life in prison, and he will die a convicted rapist and murderer.”
Additional background information about People v. Joseph James DeAngelo, including the factual basis for each plea, can be found at www.peopleversusjosephdeangelopressmaterials.com.
Read MoreBy Luke Johnson
East County rapper Young Curt has died at 27 years old. According to the Contra Costa County Coroner’s office and the Eastern Contra Costa Fire Protection District he was killed in a solo-car crash on Byron Highway, early Monday morning. ‘
When California Highway Patrol arrived to the scene at Clifton Court Road in Byron a little after 2:39 a.m., officers said they found Curtis Denton’s (Young Curt) body on the side of the road and his 2019 Dodge Charger flipped upside down.
According to CHP, Denton was speeding southbound when “he drove off the roadway and collided into the dirt shoulder causing the vehicle to roll over several times.” Officers believe Denton wasn’t wearing a seat belt and was subsequently ejected through the sunroof of his car.
“He suffered major injuries and was transported by ambulance to Kaiser Medical center in Antioch but was unfortunately pronounced deceased at the hospital by emergency personnel,” the CHP reported.
Denton was from Antioch and Pittsburg. He rose to fame with his song “It’s the Mobb” — which was released in 2008 while he was attending Deer Valley High School.
His single “No B****” from 2009 regained traction earlier this year on viral video-sharing app Tik Tok.
Many musicians and entertainers — such as Tyga, Kehlani and Iamsu! — took to social media to pay tribute to the fallen rapper.
“The era of music birthed from Curt, and the industry at that moment, created a pinnacle in not only the 925, but the entire Bay Area music scene,” said rapper Pok’Chop. “Curt played an integral part in my career. I recorded my first song in Curt’s studio back in 2006. We challenged each other to the point of success — it was healthy competition.”
The CHP report said it is unknown if drugs or alcohol were a factor in the crash, but it is being investigated. On Denton’s Instagram page Sunday night, he posted on his story of what appeared to be a video of himself holding a bottle of prescription cough syrup.
If anyone witnessed this collision or the events leading up to it, they are asked to contact Contra Costa CHP in Martinez at (925) 646-4980.
Read MoreFormerly of Livermore; Sheriff’s investigation continues
By Contra Costa County Office of the Sheriff
On Sunday morning, June 28, 2020 at about 9:48 am, the Contra Costa County Office of the Sheriff Dive Team responded to Indian Slough, west of Lido Bay to assist patrol deputies with a report of a deceased body found in the water. The Dive Team recovered the decedent who was turned over to the Coroner’s Division for identification and determination of cause of death.
On Monday, June 29, 2020 the Contra Costa County Sheriff-Coroner’s Division identified the decedent as 29-year-old Joseph Thomas Cairel of Marina, CA near Monterey. He was the boater reported missing on Friday, June 26, 2020. (See related article)
According to his Facebook page, Cairel was a professional soccer player and former resident of Livermore. His team, the Ontario Fury, in Southern California announced his passing on their Facebook page on Monday writing, “It is with the heaviest of hearts that we report the sad news that Fury Midfielder Joseph Cairel passed away this past weekend. He will be greatly missed by us all. We extend the deepest condolences and sympathy to all of his family and friends. All of our thoughts and prayers are with you all during this time.”
The Fury, part of the Major Arena Soccer League had just posted on Friday, a “Happy Birthday” message to Cairel on their Facebook page. See below a video from 2016 of Cairel posted on the Facebook page of the Tacoma Stars for whom he used to play.
You may have seen a blur of long, flowing hair and legs shooting across the turf at the ShoWare Center this season. Well, that blur was Joseph Cairel, and LEVYfilms was able to get him to sit still long enough for us to get to know him a little better. #Enjoy
Posted by Tacoma Stars on Wednesday, February 24, 2016
The investigation into the cause of Cairel’s death is continuing. Anyone with any information on this incident is asked to contact the Office of the Sheriff at (925) 646-2441.
Allen Payton contributed to this report.
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