DENVER, Colo. — Xcel Energy, along with two telecommunications companies, has agreed to settle a lawsuit involving "virtually all" of the thousands of people and companies impacted by the devastating Marshall Fire in 2021, the company said.
The energy provider — along with telecommunications companies Qwest Corporation and Teleport Communications America, LLC — reached agreements in principle, Xcel Energy announced in a press release on Wednesday.
Once the settlement is finalized, it will resolve all claims. The company said it expects to pay about $640 million related to these settlements.
One of the many attorneys representing plaintiffs in this case also confirmed this settlement to Scripps News Denver, but did not provide any further comment.
Another attorney representing some of the plaintiffs told Scripps News Denver a number of them have "definitely have not settled," however he added he is not at liberty to discuss further.
Jury selection for a civil trial was expected to start this week.
The fast-moving fire in Boulder County was reported around 11 a.m. on Thursday, Dec. 30, 2021 amid exceptionally dry conditions.
The blaze, fueled by hurricane-force winds and dry fuels, ran east for 6,000-plus acres, destroying more than 1,000 homes and businesses in Superior, Louisville and unincorporated Boulder County.
More than 35,000 people were evacuated. Two people — Edna Nadine Turnbull, 91, and Robert Sharpe, 69 — died. An estimated 1,000 pets also perished.
The Marshall Fire quickly became the most destructive fire in Colorado history, with about $2 billion in losses.
An investigation by the Boulder County Sheriff's Office found that the devastating fire began as two separate blazes — the first was likely sparked by a resident's buried fire from about a week prior and the second likely began as a result of a disconnected Xcel Energy power line.
After examining Xcel Energy power lines after the fire, investigators found that the line had disconnected from a cross arm and was hanging low enough to touch a support brace. After the line broke, smoke and flames were seen near the base of that power pole, the sheriff's office said.
The Boulder County District Attorney said based on the extensive investigation, no criminal charges were appropriate.
Xcel Energy has denied any responsibility for the fire. The settlement does not mean they are admitting any fault or wrongdoing in connection with the fire.
"More recent court filings confirm the theory put out in sheriff’s report was abandoned by all plaintiffs, including Boulder County," a spokesperson for Xcel told Scripps News Denver Chief Investigator Tony Kovaleski.
In September 2023, a judge agreed to consolidate several lawsuits against Xcel Energy, representing hundreds of survivors, into one case.
“Despite our conviction that PSCo (Public Service Company of Colorado) equipment did not cause the Marshall Fire or plaintiffs’ damages, we have always been open to a resolution that properly accounts for the strong defenses we have to these claims," said Bob Frenzel, chairman, president and CEO of Xcel Energy on Wednesday. "In resolving all liability from the claims, this settlement reinforces our longstanding commitment to supporting the communities we serve. We recognize that the fire and its aftermath have been difficult and painful for many, and we hope that our and the telecom defendants’ contributions in today’s settlement can bring some closure for the community.”
In the wake of the fire, Xcel Energy has shared multiple wildfire prevention measures, including 21 AI-powered fire detection cameras, burying power lines in targeted areas, and enhanced power line safety.
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