California wildfire victims say cleanup crews added to woes - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Meet our Editorial Staff
    • Advertise
    • Contact
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
October 8, 2018 Newswires
Share
Share
Post
Email

California wildfire victims say cleanup crews added to woes

Associated Press

SANTA ROSA, Calif. (AP) — One year after a devastating series of wildfires ripped through Northern California wine country, destroying thousands of homes, the U.S. Army Corps of Engineers' first experience cleaning up after a wildfire has turned into an expensive bureaucratic mess and California's top emergency official suspects fraud played a role.

In October 2017, state and local officials lacked the resources to quickly clear still-smoldering and toxic debris from 4,500 homes destroyed by a wildfire in and near Santa Rosa. So the Army was called in.

The Army was in charge of awarding $1.3 billion in cleanup contracts to three contractors, which hired dozens of smaller companies to haul away the debris and dispose of it in landfills. The hauling companies were paid by the ton. The more they hauled, the more they earned.

The first complaints started almost as soon as the first dump truck was loaded in November. Homeowners said workers were digging too deep and taking too much dirt from their lots. They also said perfectly fine driveways, retaining walls, sidewalks and the like were damaged or removed.

By the summer, nearly 1,000 homeowners had flooded the Army, state and local officials with complaints. After its contractors hauled away 2 million tons (1.8 million metric tons) of debris, the U.S. Army Corps declared mission accomplished and left without responding to homeowners' complaints, Sonoma County Supervisor Shirlee Zane said.

"These folks were traumatized by the fire and then traumatized again by the cleanup," said Zane, who represents Santa Rosa's hardest-hit neighborhoods. "Someone needed to help us."

In August, Zane and a contingent of Sonoma County officials trekked to the state capital in Sacramento and persuaded the California Office of Emergency Services to fix what the Army wouldn't.

Director Mark Ghilarducci said the Office of Emergency Services has spent millions repairing the damage, and more work remains. In a letter sent last month, Ghilarducci demanded that the Army reimburse the state and return to California to fix the lots still in need of repair.

Ghilarducci said it's "probable" that unscrupulous contractors committed fraud, citing "egregious oversight" by federal officials.

"Given these subcontractors were paid per ton of soil removed, it is probable this over-excavation was an intentional effort to capitalize on this tragedy by defrauding the government," Ghilarducci wrote to the U.S. Army Corps last month.

Corps spokesman Mike Petersen said no evidence of fraud has been reported. He said the Federal Emergency Management Agency was preparing a response to Ghilarducci's letter.

Ghilarducci also argued the U.S. Army Corps failed to properly monitor the cleanup and its subcontractors' performance.

"Due to this egregious oversight," Ghilarducci wrote, "contractors caused substantial damage to many survivors' properties resulting in revictimization of the affected wildfire survivors."

Several of them were cited by the Contractors State License Board for operating without a license.

In addition, the California Occupational Safety and Health Administration fined Chico-based Randy Hill Construction $11,700 after one of its workers was fatally struck by a truck while dumping debris. The agency found the truck's safety system was improperly disconnected and was the reason it accidentally started and ran over 60-year-old Ezekiel Sumner in December.

Hill Construction did not return phone calls.

Petersen said conditions varied widely at the 4,563 properties U.S. Army contractors cleared in four counties, and some sites required extensive digging to remove contaminated soil.

He said the Corps was satisfied with the work of the three main contractors, and "the great majority of subcontractors on the program operated with high professional standards." The U.S. Army Corps of Engineers is a major Army command, composed of about 37,000 civilian and military personnel.

Petersen said it was one of the biggest cleanup jobs after a natural disaster for the Corps, which is routinely called in after hurricanes and earthquakes but lacks experience with wildfires.

"This caused issues in the debris removal process," the U.S. Government Accountability Office concluded in a report released last month.

The GAO report made no recommendations but noted the cleanup effort was California's biggest since the 1906 San Francisco earthquake.

Most complaints about the cleanup come from Santa Rosa residents and other Sonoma County residents where the wildfire struck an urban center. But at least 100 homeowners in rural Mendocino County have lodge complaints of "over excavation."

Karen Erickson said the U.S. contractors added at least $200,000 to the cost of rebuilding her destroyed Santa Rosa home. She said contractors needlessly removed an undamaged driveway and dug so deep on her lot that they damaged her water pipes.

Because the contractors showed up after an insurance adjuster inspected her property, Erickson said the damage done to her property by the cleanup wasn't factored into her insurance reimbursement.

"Paying those guys by the ton was stupid," she said. "Who wouldn't load their trucks with as much as they could?"

Newer

Digital Health Market – Revolutionary Applications 2025

Advisor News

  • The overlooked retirement security risk that must be addressed
  • What advisors should know about hedge funds in retirement planning
  • Retirement control is top success measure for middle class, ACLI says
  • Industry groups applaud House passage of Financial Exploitation Prevention Act
  • Younger workers more likely to be eligible for a retirement plan after changing jobs
More Advisor News

Annuity News

  • Malibu Life Holdings Completes Acquisition of TruSpire, Establishing Malibu USA and Accelerating Entry into the U.S. Retail Annuity Market
  • Why job boards are failing insurance agencies
  • MassMutual Ranks No. 100 on the 2026 Fortune 500® List
  • What’s fueling record annuity growth?
  • Jackson Named InvestmentNews 2026 Annuities Provider of the Year
More Annuity News

Health/Employee Benefits News

  • West Virginia's youngest children are losing health care coverage
  • Long-term care insurance launches
  • Nation’s first state-run long-term care insurance program launches in WA
  • Wa Cares Fund launches first state long-term care benefits
  • How health insurers get a free pass to deny coverage from a 52-year-old law meant to protect worker pensions
More Health/Employee Benefits News

Life Insurance News

  • NAIFA praises House committee approval of Clarity for Compensation Act
  • PHL Variable liquidation pushed out to 2027, Connecticut regulators say
  • ‘Recession-Proof’ Insurance Is Trending. Safety Net or Scam?
  • Winged Keel Group Expands National Presence and PPLI Leadership, Welcomes SBSI, Inc. (dba NFP Insurance Solutions)
  • MassMutual Ranks No. 100 on the 2026 Fortune 500® List
More Life Insurance News

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Life moves fast. Your BGA should, too.
Stay ahead with Modern Life's AI-powered tech and expert support.

A MYGA for Clients Hesitant to Commit to One Long-Term Rate
First-year certainty. Annual rate updates. Get the CurrentRate® MYGA Sales Kit.

Elite Networking & Insights Await at the Event of the Year
The industry's premier conference for leaders driving what’s next in financial services.

Press Releases

  • Prosperity Life GroupSM Launches Prosperity PathWaySM Series, Bringing Greater Choice and Flexibility to Retirement Income Planning
  • Senior Market Sales® Fortifies Annuity Reach With Acquisition of Retirement Planning Firm Stratton & Company
  • RFP #T01625
  • Rockwood Programs Appoints Kerry Ladouceur as Vice President, Financial Lines
  • JP Insurance Group Launches Commercial Property & Casualty Division; Appoints Joe Webster as Managing Director
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Meet our Editorial Staff
  • Advertise
  • Contact
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet