Assemblymember Harabedian’s Wildfire Recovery Package Clears Assembly, Heads to Senate
(SACRAMENTO, CA) – Today, the California State Assembly passed three critical wildfire recovery bills authored by Assemblymember John Harabedian (D–Pasadena), bringing the total number of Assemblymember Harabedian’s wildfire focused bills now in the Senate to six.
“Our communities have shown incredible resilience in the face of recent wildfires, including those in Altadena and the Palisades,” said Assemblymember Harabedian (D–Pasadena), who grew up in nearby Sierra Madre. “This legislative package reflects the state stepping up to do its part– providing critical financial relief, protecting homeowners, and coordinating recovery efforts to support our communities as they rebuild. Together, we can ensure that every affected family has the resources and support needed to recover stronger and safer.”
AB 239, AB 797, and AB 1032 passed off the Assembly Floor with strong support and will now join AB 238, AB 493, and AB 597 in the Senate for further consideration. The six-bill wildfire recovery package includes:
- AB 238 – The Mortgage Forbearance Act
Provides wildfire-impacted homeowners up to 12 months of mortgage payment forbearance, starting with an initial 90-day period. It includes protections against foreclosure, late fees, and credit damage to ease financial burdens during recovery.
- AB 239 – State-Led Disaster Housing Task Force
Establishes a task force led by the California Department of Housing and Community Development (HCD) and the Office of Emergency Services (OES) to coordinate local, state, and federal housing recovery efforts. The task force will streamline and align resources for effective rebuilding in disaster-impacted areas.
- AB 493 – Disaster Interest Accrual Act
Ensures homeowners receive the interest earned on post-loss insurance funds held in escrow, prohibiting fees that reduce interest below 2%. This protects wildfire survivors by allowing them to retain more of their insurance payouts for rebuilding.
- AB 597 – Insurance Payment Protection Act
Caps public adjuster fees at 15% of insurance payments made after contract execution and bans retroactive fees or fees on unclaimed coverages. The bill also requires transparent contracts, expands cancellation rights, and prohibits solicitation during emergencies to prevent price gouging.
- AB 797 – The Community Stabilization Act
Uses Community Reinvestment Act funds to help nonprofits purchase and manage homes in disaster-affected areas, stabilizing property values and protecting residents from predatory investors. This program supports community recovery by keeping housing affordable and preventing further financial hardship after wildfires.
- AB 1032 – Wildfire Trauma Recovery and Resiliency Act
Addresses the behavioral health needs of individuals affected by wildfires by requiring health plans and insurers to cover up to 12 additional visits per year with licensed behavioral health providers, in or out of network. Coverage applies to residents of counties under wildfire emergency declarations and extends until one year after the emergency is lifted, ensuring critical support for recovery and resilience.
Together, these six bills provide a clear and proactive path for wildfire recovery in California- focusing on housing, insurance, permitting, data coordination, and strengthening community stability. The bills will be heard in Senate policy committees during the summer.
#####
Assemblymember John Harabedian represents the 41st District composed of the cities of La Cañada Flintridge, Pasadena, Altadena, Sierra Madre, Monrovia, Bradbury, San Dimas, La Verne, Claremont, Upland, Rancho Cucamonga, Oak Hills, Piñon Hills and Phelan.
