Informing the Legislature that on July 1, 2025, the Governor signed the following bill into law: SB897 SD3 HD2 CD1 (ACT 258).

This law (SB 897, Act 258) allows Hawaii's electric cooperatives to recover wildfire mitigation, repair, and restoration costs through automatic rate adjustments. It requires the Public Utilities Commission to establish maximum liability limits for claims arising from "covered catastrophic wildfires," considering factors like credit ratings, customer rates, clean energy goals, and wildfire safety plans. The law directly affects electric cooperatives (defined as public utilities meeting specific criteria), the Public Utilities Commission (which must create binding rules), and ratepayers (whose electricity costs may be influenced by these provisions). Key mechanisms include cost recovery via rate adjustments and the Commission’s authority to set liability caps to balance utility financial stability with public interest protections.