State struggles to recover more than $24 million from people responsible for wildfires • Oregon Capital Chronicle

Each year, the Oregon Department of Forestry responds to about 1,000 wildfires across the 16 million acres of land it protects. It investigates the cause of every fire, and if a person or group is found to have been negligent or malicious in starting or spreading a significant fire, the agency pursues reimbursement for its firefighting costs. 

The agency has not been very successful in recouping those costs, according to a report discussed at a March meeting of the four-member Emergency Fire Cost Committee. 

The account offered a rare glimpse into the scale of the costs and the efforts to recover them. But it only represented a snapshot of the problem, excluding a full list of all the fires the state is investigating or pursuing for reimbursement, Jessica Neujahr, a forestry spokesperson, said in an email. 

“That larger list is not one we can share,” she said, due to ongoing litigation and privacy concerns.

The report showed the forestry department spent at least $24 million to respond to 36 significant fires caused or spread negligently or maliciously by people or groups since 2004, and that in pursuing reimbursement, it has collected just $86,000 from “responsible parties.” 

Few people who have started significant wildfires have millions of dollars to reimburse the department and sometimes investigating who is responsible, or trying to collect the money, can become too costly, according to Tim Holschbach, chief of policy and planning with the department’s fire protection division.

In those cases, the department moves on.

“We don’t want the effort to exceed the payback,” Holschbach said. “It wouldn’t make sense for us to spend taxpayer money to pursue recovery from someone who can’t pay.”

With climate change, wildfire seasons are becoming longer and often more destructive, affecting communities, infrastructure and land needed for grazing and farming. This year’s season, which is expected to end this month, scorched nearly 2 million acres across the state, setting a new record. Some of the fires were quickly put out, but others burned for weeks. The primary cause of wildfires this year was lightning strikes.

The agency considers a “significant” fire to be one that costs over $5,000 to fight, with the agency pursuing those it considers to have started or contributed to the blaze either willfully or through negligence, Neujahr said. 

The agency listed 36 fires since 2004 that were willfully or negligently set in its report to the committee. It has accepted $86,000 in settlements and restitution for 17 of the oldest fires and is actively trying to recoup at least $15 million for 19 that started since 2011. It is also investigating 21 significant fires that occurred between 2020 and 2023 in an attempt to recover at least some of the $88.5 million spent to snuff them out. Agency officials don’t yet know whether they’ll identify a culprit to pursue for reimbursement in each case, Neujahr said

The Legislature recently voted to send the forestry department $47.5 million in emergency funding to help pay bills from fighting the current fire season, which has already cost the state $250 million.

Deciphering the cause

In investigating fires, state forestry officials first identify the point of origin, according to Holschbach. If they discover a tree slashed with a big black scar, they know the cause was probably lightning, or if a burn barrel used to burn trash is nearby, they know humans were likely involved. But other investigations are more difficult.

If they determine that someone is responsible and identify the party, officials send them a letter outlining the costs and demanding payment. That person has 90 days to respond to the letter before interest on the bill starts to accrue. If the culprit refuses to pay, the forestry department notifies the Oregon Department of Justice to determine other methods of collecting, Neujahr said.

Investigations can take years depending on how many people and federal agencies are involved, or how complex the case is, Holschbach said. The agency’s investigation also has to be able to stand up in court. 

“We treat every investigation as if we’re preparing for litigation,” Holschbach said, adding that people have become increasingly litigious. 

“We have to be more careful in our documentation, and more complete than we ever have been, and doing that really slows things down. Not that we were reckless before, or didn’t have complete reports, but it’s just more complex,” he said.

Working with federal agencies can slow things down, too. 

The agency is still waiting for the U.S. Forest Service to complete its investigation of the Two Four Two Fire in 2020 near the Williamson River Campground in Klamath Falls, which burned more than 2,000 acres. The state agency is also still waiting on the forest service to finish its part of the investigation on the 2020 Holiday Farm Fire near Eugene that burned more than 173,000 acres and was one of the largest wildfires in Oregon history.

Firefighting costs

Every two years, the state sets the forestry department’s firefighting budget. The agency also collects fees from owners of the private land it protects, about three-quarters of the total 16 million acres. Those fees go into the Oregon Forest Land Protection Fund to help defer wildfire costs. It also helps to fight fires on federal land, and pays those costs upfront, but is reimbursed by the federal government.

Emergency fire costs that go beyond the biennial firefighting budget are paid by revenue from two sources, depending on the amount. Up to $20 million of emergency fire costs are split between the protection fund and Oregon’s general fund, which is used for a wide range of expenses and mostly comes from Oregon income taxes. Costs beyond $20 million are paid entirely by the general fund, Holschbach said. 

When the department collects reimbursements, most of the money goes back to the general fund.

“The point of cost recovery is to take the burden off the taxpayer – off of Oregonians,” said Neujahr, the forestry department spokesperson. “If we can get that money back to the state, that’s the goal.”

But very little has been reimbursed. Agency officials said they drop investigations that become too complex and costly to pursue or when there’s little hope of recovering the money. 

One example is the Sweet Creek Milepost 2 fire that started in Lane County in 2020 and cost more than $4 million to fight. In the end, the arsonist who was charged was only able to pay $154 to the forestry department.

In another fire – that was not included in the March report – the department recovered $200,000 after spending $37 million putting it out. The 2015 Stouts Creek Fire in Douglas County, which spread across 26,000 acres, was started by a guy mowing his lawn during a restricted period of hot and dry conditions. The department only recovered $200,000 because that was the limit on his homeowners insurance policy.

Many fires, like this one, could have been avoided with better judgment, Holschbach said.

“About 70% to 80% of fires are human caused, but most of those are not willful, malicious or negligent,” Holschbach said. 

But they’re often expensive to put out – for the department and those found responsible.

Holschbach said those high costs are part of the reason the agency has launched campaigns to make the public more aware of mowing and debris burning restrictions. 

“Don’t cause a fire. Don’t go there. Because you may end up paying for it,” he said.