Wildfire Victims Caught in Crosshairs of Speaker Controversy on Capitol Hill

Northern California wildfire victims were collateral damage in the Congressional infighting that led to the ouster of House Speaker Kevin McCarthy. The halt to the House of Representative’s work this week marked the latest setback to legislation that would have provided federal tax exemptions on settlement payments for victims who lost lives, homes and businesses in blazes sparked by PG&E. Victims have advocated for a bill to ensure the IRS doesn’t treat significant portions of their damage compensation as income. The first attempt at the bill was rejected by Senate Republican leadership at the end of 2022, and this year’s versions remain in limbo.