Nearly seven months after reaching a huge settlement with PG&E, the City Council has called a special meeting tonight to discuss the formation of the nonprofit agency that will handle the distribution of the funds.
In March, the city reached an agreement with the utility to pay $70 million in restitution to support the city’s recovery efforts following the tragic 2010 pipeline explosion.
Since then, the city has used $1.25 million to purchase five vacant lots in the Crestmoor neighborhood, with the rest—$68.75 million—being invested in U.S. Treasury bonds through an account at Wells Fargo and generating a small amount of interest.
To this day, the city hasn't specified how the funds would be spent, only saying that it would take nine months to a year to set up the nonprofit organization.
Previously, Mayor Jim Ruane said that the restitution from PG&E would be used for "a greater good for all the citizens of our city and to help us, as a community, move forward.”
Today's study session will take place at 6:30 p.m. at City Hall in Conference Room 115.