palisades fire

Imagine losing your home and belongings to a wildfire, then losing your best friend when he was killed by a suspected driver under the influence, all happening within months of each other.

Max Meier, a star defensive tackle for Loyola High who has committed to Stanford, dealt with that kind of awful adversity this year, losing his family home in the Palisades fire, then losing classmate Braun Levi in May when he was hit by a car while walking on a Manhattan Beach street.

To hear Meier’s response and wisdom while dealing with two tragedies offers hope for the future.

“I think in this life, everyone has demons in the closet,” Meier said. “Everyone has bad things that happen But we realize in these moments, as horrible as they are, losing your things in a fire, they’re replaceable, but losing someone who was like an older brother, can’t replace that. He’s somebody I’ll be be chasing to live like he did. As a teenager it was tough, but you learn about life and how every day you have to give it your all. I’ve actually started to live my life more fully and started to live every day the best I can.”

As a football player, at 6 feet 5 and 250 pounds, Meier is enjoying his best season as a senior with 9 1/2 sacks, and it couldn’t have come at a better time. Loyola lost close to a dozen players who abandoned the program one by one in the offseason. They gave up, thinking the Cubs were not going to be good or leaving because they disliked something. Those who stayed had to place their trust in themselves.

“There’s no better motivator knowing every single person left and you’re the ones left,” he said. “This summer, we’re like, ‘There’s 10 games left and you’re either going to give up or let’s show everyone what we got and why they wrote us off.’ We have some problems. Every team does. We’re really motivated to show what we can do.”

Playing at SoFi Stadium on Oct 19 and coming away with a 13-10 upset victory over Gardena Serra was a moment Meier and his teammates will cherish. The Cubs lost to Bishop Amat 30-14 on Friday night and are 4-4 and 1-2 in the Mission League.

“Warming up under all those seats is just ridiculous,” he said. “I thought it was the most awesome thing. That turf was super fast. You could hear things super loud and it gave you an idea what a college stadium might feel like, I thought it was the best experience all time. It was a thing on my bucket list. Getting a sack at SoFi never thought of something I want to do, but I did it. It was cool.”

Since Meier lost his home, he was eligible to switch schools this year and play immediately. His two sisters graduated from Palisades. He has friends at Palisades. But he was never leaving Loyola.

Everyone, from parents to classmates to alumni, banded together to help those affected by the fire. They provided food, clothing and emotional support.

“After the fires, I realized how special it is,” he said. “All that’s left in my closet is from Loyola. They’re the most amazing people to me.”

So understand what you’re getting each time you face Loyola this season — a team dedicated to each other and having each other’s backs. And in Meier, the Cubs have someone who’s going to represent Loyola values for years to come.

“Breathing on this earth is a humble thing,” Meier said.

As local and state leaders celebrate the fastest wildfire debris removal in modern American history, the Pacific Palisades Bowl Mobile Home Estates — a rent-controlled, 170-unit enclave off Pacific Coast Highway — remains largely untouched since it burned down in January.

Weeds grow through cracks in the broken pavement. A community pool is filled with a murky, green liquid. There’s row after row of mangled, rusting metal remains of former homes.

Yet just across a nearly 1,500-foot-long shared property line, the Tahitian Terrace mobile home park — like thousands of fire-destroyed properties cleared by the U.S. Army Corps of Engineers over the last nine months — is now a field of cleaned, empty lots.

The difference in treatment is based on standards used by the Federal Emergency Management Agency, which directed the corps’ cleanup efforts. FEMA, which focused on providing assistance to local residents — and not properties owned by real estate companies — argued in letters to state officials that since it could rely on the Tahitian’s owners to rebuild the heart of Pacific Palisades’ affordable housing, it would make an exception and include the property. However, it said it could not trust the owners of the Palisades Bowl to do the same.

The Pacific Palisades Bowl Mobile Home Estates, right, and the Tahitian Terrace mobile home park, left, where fire debris has been removed.

(Eric Thayer/For The Times)

Both mobile home parks requested federal cleanup services, records obtained from the corps show. And both Los Angeles County and the city of Los Angeles lobbied the agency to include the properties in its mission.

In a May letter approving the corps’ cleanup of the Tahitian, FEMA noted that the property, riddled with asbestos and perched above the busy Pacific Coast Highway, was a public health hazard and that the owners, with limited insurance money, probably would struggle to pay for the cleanup. FEMA Regional Administrator Robert Fenton also wrote to the state Office of Emergency Services, saying that he was “confident” including Tahitian “will accelerate the reopening of the park for its displaced tenants and ensure the community retains this affordable residential enclave in an otherwise affluent area.”

When it came to the Bowl, FEMA took a different tone. The agency said in a July letter to the state agency that with flatter terrain, the Bowl did not pose the same health hazard as the Tahitian Terrace did, and with $1.2 million in insurance money already disbursed to the property owners, it had “no indication the owner lacks the financial means to remove the debris independently.”

FEMA’s letter also noted that unlike with the Tahitian property, “FEMA cannot conclude that Palisades Bowl represents a preserved or guaranteed source of long-term affordable housing,” based on the owners’ track record.

The Bowl’s former residents — artists, teachers, lifeguards, boat riggers, bookstore owners and chefs — are now scattered across Southern California and the globe. Speaking to The Times, many felt helpless, frustrated and unsure whether they’ll be able to return. Many, nine months after the fire, are running out of the insurance money and government aid they’ve relied on to pay rent for temporary housing.

“We’re the great underdogs of the greatest American disaster in history, apparently. This little community,” said Rashi Kaslow, a boat rigger who lived in the Bowl for more than 17 years. “The people of the only two trailer parks — the isolated, actual affordable housing communities … you would think that we would be the No. 1 priority.”

The Bowl began as a Methodist camp in the 1890s, and was developed into a mobile home park in the 1950s. For decades, the Bowl and the Tahitian remained among the only places along the California coast still under rent control, preserved by the Mello Act, and consequently, some of the only affordable housing in the Palisades.

“We’re all connected through this legacy of what we had,” said Travis Hayden, who moved into the Bowl in 2018, “and I think our greatest fear is that it goes away.”

Nine months after the fire, the Palisades Bowl’s community pool is filled with a murky, green liquid.

(Eric Thayer/For The Times)

Many longtime residents never planned to leave.

“I was going to have my bed put in the living room, with a large window wall, and lay and watch the sun set and the ocean. That was going to be the end of my life,” said Colleen Baker, an 82-year-old closet designer. “I don’t, of course, have it anymore. … It’s all gone.”

The Bowl was passed among a few families and local real estate moguls over the decades.

In 2005, Edward Biggs of Northern California bought the Bowl. When Biggs, who rarely appeared at the park, died in 2021, his real estate empire was fractured between his first wife, Charlotte, and his second wife, Loretta, further complicating the Bowl’s management.

Since the fire, residents have heard virtually nothing from ownership. Neither Colby Biggs — Charlotte and Edward Biggs’ grandson who began co-managing the park after Charlotte’s death — nor lawyers with Loretta Biggs’ real estate company, responded to a request for comment.

What Bowl residents have seen is the corps descend on other Palisades properties — clearing burned-out cars, piles of rubble and charred trees from single-family homes as well as the Tahitian — while leaving the Bowl untouched.

At the center of FEMA’s reasoning to refuse cleanup for the Bowl: “The prior actions of the owner demonstrate a lack of commitment to reopen the park for its displaced residents.”

Over the two decades the Biggs family has owned the Bowl, residents have become painfully familiar with this “lack of commitment.”

In 2006, some residents sued Biggs and the previous owner, accusing them of failing to repair and stabilize the bluff behind the park that, the previous year, crumbled after heavy rain, leaving some units uninhabitable.

A year later, Biggs fell into a legal dispute with city of Los Angeles over a plan to split up the property that residents characterized as a move to circumvent rent control.

It prompted Biggs’ attorney to send residents a letter in 2009, stating that the inability to raise rent and the never-ending series of lawsuits made the park unprofitable and that he may file for bankruptcy. It also claimed that Biggs already had received a $40-million offer from an international hotel developer, the Palisadian-Post reported. No sale ever went through.

In 2013, Biggs decided to build an “upscale resort community” instead, by buying up resident’s homes, demolishing them, and building two-story, manufactured homes on the properties. To do so, he planned to target the homes of the residents suing him over a landslide on the property, the California 2nd District Court of Appeal found.

The residents ended up winning $8.9 million from Biggs. The case with the city eventually made it to the California Supreme Court, which sided with residents and the city.

While residents agonize over FEMA’s decision, the experiences have led many to ultimately agree with FEMA’s reasoning: They cannot trust that the owners intend to preserve their park as affordable housing.

Former Bowl residents met atop the Asilomar bluff overlooking their old community on Oct. 3 — the day after a city-imposed deadline for the owners to remove the debris — to call on local leaders to act.

Most skipped the formality of a handshake, going in for hugs. They reminisced. Many took a moment in silence to look down. Rows of empty dirt lots to the left — the Tahitian — and rows of rubble still sitting to the right — their homes.

Residents of the Pacific Palisades Bowl Mobile Home Estates meet on a hill above the park in Pacific Palisades.

(Eric Thayer/For The Times)

Nine months after the fire, many former Bowl residents are trying to figure out what to do when their temporary housing insurance money and aid runs dry. They still have little certainty when — or whether — they’ll ever be able to return.

Baker, the closet designer, found a 388-square-foot mobile home in Santa Monica to live in.

“I’m in the very sad stage, and I’m realizing my losses,” she said. “You go to look for something and you go, ‘Oh yeah, that’s gone.’ That’s an everyday occurrence.”

Tahitian’s residents are stuck in a different limbo: With cleared lots, they wait for the property owners to decide whether to rebuild — adding back the concrete slabs for homes and building back the common spaces — or whether to sell the park to its residents, Chase Holiday, a Tahitian resident, said.

“We’re pretty much ready,” Holiday said. Indeed, Tahitian’s homeowners’ association has been in talks with the owners. Barring the complicated paperwork, “we could buy the park tomorrow.”

Although the wait is excruciating, “I feel pretty confident that either we’ll buy it or they’ll rebuild,” she said. But with little clarity over when that would happen, “the bigger question is, will I want to?”

On Wednesday, a handful of Bowl residents — including Jon Brown, a real estate agent who has become one of the Bowl’s leaders in the fight to rebuild — packed a board of Building and Safety commissioners meeting, pushing for the board to finally declare the property a public nuisance, which would allow the city to do the cleanup work and send the owners the bill.

The L.A. County Department of Public Works estimated that, at the end of September, about 20 properties in each burn area, Palisades and Eaton, had failed to clear debris.

In a letter mailed and posted at the Bowl, dated Sept. 2, the department had given the owners 30 days to complete the work or risk being declared a public nuisance.

At the Wednesday meeting, Danielle Mayer, an attorney whose law firm represents Loretta Biggs’ company, asked the commission for more time.

“This community has seen these park owners act with such a lack of integrity for years and years,” Brown said to the board. “They never do anything unless they are absolutely forced to.”

The board ultimately declared the Bowl a public nuisance.

It’s a small but significant step, with a long road still ahead. The Department of Building and Safety has yet to provide any details for how and when it will remove the debris. And the Tahitian’s still-empty lots serve as a reminder that debris removal isn’t the end of the battle.

Yet, Bowl residents remain optimistic that, someday, they will be able to buy the park from the owners and finally serve as the caretakers of the eccentric and beloved affordable community.

To residents, the Bowl was something special. They cared for one another. They surfed together, let each other’s cats in and celebrated holidays on the small community lawn. They raised their kids in the Bowl and sometimes bickered over politics and annoyances, as any proper family does.

“If the people were permitted to go back,” saidresident John Evans, “that would just restart — probably with a vengeance.”

Times staff writer Tony Briscoe contributed to this report.

Former Los Angeles Unified schools Supt. Austin Beutner is planning to announce a challenge to Mayor Karen Bass in the 2026 election, arguing that the city has failed to properly respond to crime, rising housing costs and the devastating Palisades fire.

Beutner, a philanthropist and former investment banker who lives in L.A.’s Pacific Palisades neighborhood, would become the first serious challenger to Bass, who is running for her second and final term.

Beutner, whose announcement is planned Monday, said in an interview Saturday that city officials at all levels showed a “failure of leadership” on the fire, which destroyed thousands of homes and left 12 people dead.

The inferno seriously damaged Beutner’s house, forcing him and his family to rent elsewhere in the neighborhood and destroyed his mother-in-law’s home.

“When you have broken hydrants, a reservoir that’s broken and is out of action, broken [fire] trucks that you can’t dispatch ahead of time, when you don’t pre-deploy at the adequate level, when you don’t choose to hold over the Monday firefighters to be there on Tuesday to help fight the fire — to me, it’s a failure of leadership,” Beutner said.

“At the end of the day,” he added, “the buck stops with the mayor.”

A representative for Bass’ campaign declined to comment.

Beutner’s attacks come days after federal prosecutors filed charges in the Palisades fire, accusing a 29-year-old of intentionally starting a New Year’s Day blaze that later rekindled into the deadly inferno.

With the federal investigation tied up, the city Fire Department released a long-awaited after-action report Wednesday. The 70-page report found that firefighters were hampered by poor communication, inexperienced leadership, a lack of resources and an ineffective process for recalling them back to work. Bass announced a number of changes in light of the report.

Beutner, a onetime advisor to Mayor Antonio Villaraigosa, could pose a serious political threat to Bass. He would come to the race with a wide range of experiences — finance, philanthropy, local government and even the struggling journalism industry.

Although seven other people have filed paperwork to run for her seat, none have the fundraising muscle or name recognition to mount a major campaign. Rick Caruso, the real estate developer whom Bass defeated in 2022, has publicly flirted with the idea of another run but has stopped short of announcing a decision.

Bass beat Caruso by a wide margin in 2022 even though the shopping mall mogul outspent her by an enormous margin. Caruso has been an outspoken critic of her mayorship, particularly on her response to the Palisades fire.

Fernando Guerra, director of the Center for the Study of Los Angeles at Loyola Marymount University, said he believes that Beutner would face an uphill climb in attempting to unseat Bass — even with the criticism surrounding the handling of the Palisades fire. However, his entry into the race could inspire other big names to launch their own mayoral campaigns, shattering the “wall of invincibility” that Bass has tried to create, he said.

“If Beutner jumps in and starts to get some traction, it makes it easier for Caruso to jump in,” Guerra said. “Because all you’ve got to do is come in second in the primary [election], and then see what happens in the general.”

Earlier Saturday, The Times reported that Beutner’s longtime X account had featured — then quickly removed — the banner image “AUSTIN for LA MAYOR,” along with the words: “This account is being used for campaign purposes by Austin Beutner for LA Mayor 2026.” That logo was also added and then removed from other Beutner social media accounts.

Beutner’s announcement comes in a year of crises for the mayor and her city. She was out of the country in January, taking part in a diplomatic mission to Ghana, when the ferocious Palisades fire broke out.

Upon her return, she faced withering criticism over the city’s preparation for the high winds, as well as Fire Department operations and the overall emergency response.

In the months that followed, the city was faced with a $1-billion budget shortfall, triggered in part by pay raises for city workers that were approved by Bass. To close the gap, the City Council eliminated about 1,600 vacant positions, slowed down hiring at the Los Angeles Police Department and rejected Bass’ proposal for dozens of additional firefighters.

By June, Bass faced a different emergency: waves of masked and heavily armed federal agents apprehending immigrants at car washes, Home Depots and elsewhere, sparking furious street protests.

Bass’ standing with voters was badly damaged in the wake of the Palisades fire, with polling in March showing that fewer than 20% of L.A. residents gave her fire response high marks.

But after President Trump put the city in his crosshairs, the mayor regained her political footing, responding swiftly and sharply. She mobilized her allies against the immigration crackdown and railed against the president’s deployment of the National Guard, arguing that the soldiers were “used as props.”

Beutner — who, like Bass, is a Democrat — said he voted for Bass four years ago and had come to regret his choice.

He described Los Angeles as a city “adrift,” with unsolved property crimes, rising trash fees and housing that is unaffordable to many.

Beutner said that he supports “in concept” Senate Bill 79, the law that will force the city to allow taller, denser buildings near rail stations.

“I just wish that we had leadership in Los Angeles that had been ahead of this, so we would have had a greater say in some of the rules,” he said. “But conceptually, yes, we’ve got to build more housing.”

Bass had urged Gov. Gavin Newsom not to sign the bill into law, which he did Friday.

Beutner is a co-founder and former president of Evercore Partners, a financial services company that advises its clients on mergers, acquisitions and other transactions. In 2008, he retired from that firm — now called Evercore Inc. — after he was seriously injured in a bicycling accident.

In 2010, he became Villaraigosa’s “jobs czar,” taking on the elevated title of first deputy mayor and receiving wide latitude to strike business deals on the mayor’s behalf, just as the city was struggling to emerge from its worst economic downturn since the Great Depression.

Slightly more than a year into his job, Beutner filed paperwork to begin exploring a run for mayor. He secured the backing of former Mayor Richard Riordan and many in the business community but pulled the plug in 2012.

In 2014, Beutner became publisher of The Times, where he focused on digital experimentation and reader engagement. He lasted roughly a year in that job before Tribune Publishing Co., then the parent company of The Times, ousted him.

Three years later, Beutner was hired as the superintendent of the L.A. Unified School District, which serves schoolchildren in Los Angeles and more than two dozen other cities and unincorporated areas. He quickly found himself at odds with the teachers union, which staged a six-day strike.

The union settled for a two-year package of raises totaling 6%. Beutner, for his part, signed off on a parcel tax to generate additional education funding, but voters rejected the proposal.

In 2022, after leaving the district, Beutner led the successful campaign for Proposition 28, which requires that a portion of California’s general fund go toward visual and performing arts instruction.

Earlier this year, Beutner and several others sued L.A. Unified, accusing the district of violating Proposition 28 by misusing state arts funding and failing to provide legally required arts instruction to students.

He also is involved in philanthropy, having founded the nonprofit Vision to Learn, which provides vision screenings, eye exams and glasses to children in low-income communities.

Los Angeles firefighters were hampered by a lack of resources for red flag weather conditions in their initial response to the Palisades fire, an internal after-action review report found.

The long-awaited 70-page report, produced by the Los Angeles Fire Department, was released late Wednesday afternoon on the heels of an announcement by federal prosecutors that they had arrested and charged a man with intentionally setting a fire on Jan. 1 that later reignited and became the Palisades fire.

Federal investigators determined that the Jan. 7 fire was a so-called holdover from the Jan. 1 fire, continuing to smolder and burn underground after firefighters thought they had extinguished it. The investigators said that heavy winds six days later caused the underground fire to surface and spread above ground in what became one of the costliest and most destructive disasters in city history.

In its after-action report, the Fire Department listed almost 100 challenges that firefighters faced during the Palisades fire, including an inability to secure the origin of the fire, an ineffective process for recalling firefighters who were off-duty to come back into work, and fire chiefs with little to no experience handling such a major incident. During the initial attack, the report said, most firefighters worked for more than 36 hours without rest.

The report cited a delay in communicating evacuation orders, which resulted in spontaneous evacuations without structured traffic control, causing people to block routes to the fire, the report said. The initial staging area, which was in the path of the evacuation route and the fire, was consumed by flames within 30 minutes, the report said.

The Palisades fire, which started at 10:30 a.m. Jan. 7, was one of the costliest and most destructive disasters in city history, leveling thousands of homes and killing 12 people.

A Times investigation found that LAFD officials did not pre-deploy any engines to the Palisades ahead of the fire, despite warnings about extreme weather. In preparing for the winds, the department staffed up only five of more than 40 engines available to supplement the regular firefighting force.

Those engines could have been pre-positioned in the Palisades and elsewhere, as had been done in the past during similar weather.

This is a developing story and will be updated.

Federal investigators have determined that the wildfire that leveled much of Pacific Palisades on Jan. 7 was a so-called “holdover” from a smaller fire that was set intentionally on New Year’s Day, about a week earlier.

After Los Angeles firefighters suppressed the Jan. 1 fire known as the Lachman fire, it continued to smolder and burn underground, “unbeknownst to anyone,” according to federal officials. They said heavy winds six days later caused the underground fire to surface and spread above ground in what became one of the costliest and most destructive disasters in city history.

The revelations — unveiled in a criminal complaint and attached affidavit Wednesday charging the alleged arsonist, Jonathan Rinderknecht — raise questions about what the Los Angeles Fire Department could have done to prevent the conflagration in the days leading up to the expected windstorm on Jan. 7 and the extraordinary fire risk that would come with it.

“This affidavit puts the responsibility on the fire department,” said Ed Nordskog, former head of the Los Angeles County Sheriff’s Department’s arson unit. “There needs to be a commission examining why this rekindled fire was allowed to reignite.”

He added: “The arsonist set the first fire, but the Fire Department proactively has a duty to do certain things.”

A Times investigation found that LAFD officials did not pre-deploy any engines to the Palisades ahead of the Jan. 7 fire, despite warnings about extreme weather. In preparing for the winds, the department staffed up only five of more than 40 engines available to supplement the regular firefighting force.

Those engines could have been pre-positioned in the Palisades and elsewhere, as had been done in the past during similar weather.

Kenny Cooper, special agent in charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives who was involved in the investigation into the Palisades fire’s origin, said the blame for the fire’s re-ignition lies solely with the person who started it.

“That fire burned deep within the ground, in roots and in structure, and remained active for several days,” Cooper said. “No matter how good they are, they can’t see that, right?”

But, he said, wildland firefighters commonly patrol for days or weeks to prevent re-ignitions.

When he worked at a state forestry agency, he said, “we would have a lightning strike, and it would hit a tree, and it would burn for days, sometimes weeks, and then ignite into a forest fire. We would go suppress that, and then every day, for weeks on end, we would patrol those areas to make sure they didn’t reignite,” he said. “If we saw evidence of smoke or heat, then we would provide resources to that. So that, I know that’s a common practice, and it’s just, it’s a very difficult fire burning underground.”

The affidavit provides a window into the firefighting timeline on Jan. 1, when just after midnight, the Lachman fire was ignited near a small clearing near the Temescal Ridge Trail.

12:13 a.m.: An image taken from a UCSD camera, approximately two-tenths of a mile away, shows a bright spot in the upper left — the Lachman fire.

12:20 a.m.: Rinderknecht drives down Palisades Drive, passing fire engines heading up Palisades Drive, responding to the fire.

That night, the LAFD, with help from the Los Angeles County Fire Department, used water drops from aircraft and hose lines, as well as handlines dug by L.A. County crews, to attack the fire, according to the complaint. Firefighters continued suppression efforts during the day on Jan. 1, wetting down areas within the fire perimeter. When the suppression efforts were over, the affidavit said, the fire crews left fire hoses on site, in case they needed to be redeployed.

Jan. 2: LAFD personnel returned to the scene to collect the fire hoses. According to the affidavit, it appeared to them that the fire was fully extinguished.

But investigators determined that during the Lachman fire, a firebrand became seated within the dense vegetation, continuing to smolder and burn within the roots underground. Strong winds brought the embers to the surface, to grow into a deadly conflagration.

Reality TV star Spencer Pratt joined two Republican senators on Capitol Hill on Wednesday to bring attention to a newly launched congressional investigation into the response to the Palisades fire in Los Angeles.

“I feel like this is going to be so powerful for all of the United States because there shouldn’t be disasters that are preventable,” Pratt, who lost his home during the fire, told reporters.

Sen. Rick Scott of Florida said the main goal of the investigation is to figure out why the fire happened, why the state and local governments were unable to prevent it and how officials are helping the victims recover.

“We are going to get answers,” Scott said. “We are going to do everything we can to help the victim and we’re going to do everything we can to make sure this doesn’t happen again.”

The congressional investigation, which launched on Monday, is focused only on the Palisades fire, but Scott said the probe could expand to other destructive fires that have taken place in Los Angeles County.

“We are going to start with this,” Scott said. “We’ll just let the facts take us where they are.”

California Gov. Gavin Newsom has welcomed the congressional investigation. At the news conference, Sen. Ron Johnson of Wisconsin warned that if officials fail to cooperate, the panel is ready to issue subpoenas to compel them to do so.

“We don’t want to use it and we hope we don’t have to,” Johnson said. “It is a good sign Gov. Newsom is willing to do so, and that’s the best way of doing it. But if they don’t, you’ve always got that backstop of compelling testimony, compelling documents, and that’s what we’ll do if we have to.”

“But I don’t think we will have to, quite honestly,” he added.

In a high-stakes gamble, Wall Street hedge funds are offering to buy claims that insurers may have against Southern California Edison if the utility is found liable for causing the devastating Eaton fire in Altadena.

The solicitations are legal, but have alarmed California state officials — who loathe the idea of investors profiting from a disaster that claimed 18 lives and destroyed more than 9,400 homes and other structures.

“I think everyone in this room looks at a catastrophe, like what happened in Southern California, and our natural instincts are to say, ‘What can we do to help?’” Tom Welsh, the chief executive of the California Earthquake Authority, which manages the state’s wildfire fund, said at a recent public meeting. “There are other actors in the environment who look at that situation in Southern California and ask instead, “What can I do to profit?’”

The investors are aiming to buy so-called subrogation claims from insurance companies. These are claims that insurers would file against Edison seeking reimbursement for the money they paid to their policyholders for fire damages if it’s determined the utility’s equipment triggered the wildfire that began Jan. 7.

For the insurers, selling the claims — even at a steep discount — allows them to get at least some reimbursement for the money they’ve paid out. For the hedge funds buying the claims, it’s a gamble that could pay big if Edison is found liable and they can cash in those claims for much more than they paid.

More than $17 billion in insurance claims for the Eaton and Palisades fires has been paid out so far, according to the California Department of Insurance.

State officials say California has a stake in the trading of fire-related subrogation claims, which was previously reported by Bloomberg, because of the potential effect on the state’s wildfire fund.

That fund, which currently has about $21 billion, would be used to cover most of the costs of damage claims should Edison be found liable for starting the Eaton blaze. While the cause is still under investigation, a leading theory is that a decommissioned transmission line in Eaton Canyon was reenergized and sparked the blaze, Edison has said.

The wildfire fund is managed by a state board called the Catastrophe Response Council. At its last meeting in May, Welsh told the board that solicitations from New York brokers and investment firms began landing in his email inbox in March.

Ronald Ryder at Oppenheimer & Co., a New York investment firm, told Welsh in an email on April 15 that his company was currently trading the subrogation claims. Ryder wrote that there had already been 10 transactions worth more than $1 billion in recovery rights for the Eaton fire as well as the Palisades fire in Pacific Palisades, where the city of Los Angeles faces potential liability.

In another email, Ryder told Welsh that investors were bidding 47 cents on the dollar for the claims related to the Eaton fire. For the Palisades fire, the bidding was 5 cents on the dollar, Ryder wrote.

Welsh warned the council that “speculative investors” might hold onto the Eaton claims and “really try to get outsized profits by demanding settlements from Edison of 75, 80, 85 cents on the dollar.”

If that were to happen, the wildfire fund could pay out “hundreds of millions, if not billions of dollars” more than if the claims were settled directly by the insurers, he said.

“That would really, very negatively impact the durability of the wildfire fund,” Welsh said.

Oppenheimer declined to comment, and Ryder didn’t respond to messages.

Under a 2019 state law, the state wildfire fund would be expected to reimburse Edison for most of the insurers’ payments to policyholders if its electrical equipment is found to have started the Eaton fire. The Palisades fire, which occurred in territory serviced by the L.A. Department of Water and Power, isn’t covered by the state fund.

California lawmakers created the wildfire fund in 2019 to protect the state’s three biggest for-profit utilities — Edison, Pacific Gas & Electric and San Diego Gas & Electric — from bankruptcy if their equipment sparks catastrophic wildfires.

The possibility of large settlements paid out by the wildfire fund has led to dozens of lawsuits against Edison, even before the cause of the fire has been determined.

If found responsible for the fire, Edison would negotiate settlements with the insurers, as well as with homeowners and others who have filed lawsuits, saying they’ve been harmed. The utility would then ask the state wildfire fund to cover those amounts.

If the insurers have sold their claims, however, the investors who bought them would reap the returns. Attorneys who handle the complex transactions would also get a cut and “generally take a very high percentage off the top,” Paul Rosenstiel, a catastrophe council member, said at last month’s meeting.

Already, Gov. Gavin Newsom and other state leaders are worried that the $21-billion wildfire fund could be depleted by damage claims from the Eaton fire.

Welsh recounted how a hedge fund had profited in 2019 by buying insurers’ subrogation claims against PG&E after its transmission line was found to have started the 2018 Camp fire that killed 85 people and destroyed much of the town of Paradise. Bloomberg reported at the time that hedge fund Baupost Group made a profit of hundreds of millions of dollars by buying the claims at 35 cents on the dollar and later getting a settlement valued at much more.

To stop hedge funds from profiting on the claims, Welsh said, the earthquake authority is now considering changing its claim administration procedures to make the settlements less lucrative for those investors.

One possible change being discussed, according to authority staff, would require a utility that ignited a wildfire to prioritize settling the claims of victims and insurers who have not sold their subrogation rights before those claims owned by hedge funds.

With Los Angeles reeling from immigration sweeps and unsettled by nightly clashes between protesters and police, Mayor Karen Bass was asked by a reporter: What she did she have to say to President Trump?

Bass, standing before a bank of news cameras, did not hold back.

“I want to tell him to stop the raids,” she said. “I want to tell him that this is a city of immigrants. I want to tell him that if you want to devastate the economy of the city of Los Angeles, then attack the immigrant population.”

After taking office in 2022, L.A.’s 43rd mayor carefully avoided public disputes with other elected officials, instead highlighting her well-known penchant for collaboration and coalition-building.

The high-profile Democrat, who spent a dozen years in Congress, largely steered clear of direct confrontation with Trump, responding diplomatically even as he attacked her over her handling of the Palisades fire earlier this year.

Those days of tiptoeing around Trump, and avoiding head-to-head conflict, are over.

Bass is now sparring with the president and his administration at a perilous moment for her city and possibly for democracy.

U.S. Customs and Border Protection officers point non-lethal weapons at protesters.

(Gina Ferazzi / Los Angeles Times)

At the same time, the tumultuous events of the past week have given her a crucial opportunity for a reset after the Palisades fire, recalibrating her public image while leading her city through another historic crisis.

“Having two moments of crisis during the first six months of this year has really tested her mettle as mayor,” said GOP political strategist Mike Madrid, a long-standing Trump critic. “I think it’s fair to say she did not perform to expectations during the fires. I think she’s considerably improved during the current situation.”

Since agents with U.S. Immigration and Customs Enforcement and other federal authorities fanned out across the region, searching for undocumented immigrants at courthouses, car washes and Home Depot parking lots, Bass has accused Trump of creating a “terrible sense of fear” in her city.

Bass said Trump is on track to waste more than $100 million on troops who were neither requested nor needed. On multiple occasions, she said Trump wrongly gave credit to the National Guard for bringing calm to downtown L.A. on Saturday, when those troops had not even arrived yet.

In many ways, Trump has emerged as the ideal foil for a mayor who, for much of the past six months, had been on her back feet.

In the immediate aftermath of the Palisades fire, which erupted when she was out of the country, Bass struggled to show a command of the details and was savaged by critics over what they viewed as her lack of leadership. Months later, she released a budget that called for the layoffs of 1,600 workers, drawing an outcry from labor leaders, youth advocates and many others.

Bass has been quicker to respond this time around, announcing a nightly curfew for downtown, warning of consequences for those who vandalize or commit violence and spelling out the real-world impacts of the ICE arrests on her constituents.

The pushback reached a crescendo on Thursday, when — with just a few hours notice — Bass assembled more than 100 people from religious, community, business and civic groups to denounce the raids. It made for a potent tableau: a multi-ethnic, multiracial crowd of Angelenos cheering on the mayor as she declared that “peace begins with ICE leaving Los Angeles.”

An ICE agent during a news conference in Los Angeles.

(Luke Johnson / Los Angeles Times)

Bass said she had received reports of ICE agents entering hospitals, workers not showing up to their jobs, parents afraid to attend their own children’s graduations. An immigrant rights advocate said Trump had brought cruelty and chaos to Los Angeles. A church pastor from Boyle Heights said his parishioners “feel hunted.”

Trump and his administration have disparaged Bass and her city since the raids began. Stephen Miller, the president’s deputy chief of staff, accused Bass on X of using “the language of the insurrectionist mob” while discussing her city. Homeland Security Secretary Kristi Noem called L.A. “a city of criminals” whose law breakers have been protected by Bass.

Republicans have begun threatening reprisals against outspoken Democrats, including Bass, with some hinting at criminal prosecution.

Asked about Bass’ comments over the past week, White House spokesperson Abigail Jackson said ICE agents would not be “deterred from carrying out their mission.”

“We will not apologize for enforcing immigration law and carrying out the mandate the American people gave President Trump in November: Deport illegal aliens,” she said.

Fernando Guerra, who heads the Center for the Study of Los Angeles at Loyola Marymount University, said Angelenos fully expect their mayor to confront the president head on. Democrat Kamala Harris secured more than 70% of the vote in L.A. during last year’s presidential election, while Trump received less than 27%.

“I’m not surprised by what she’s doing,” Guerra said. “I would even suggest she push a little more. I don’t think there’s a cost to her politically, or even socially, to taking on Trump.”

Mayor Karen Bass speaks to the media at City Hall.

(Luke Johnson / Los Angeles Times)

The mayor is regularly calling in to TV and radio stations, as well as securing prime-time hits on national cable shows. In appearance after appearance, she has warned that L.A. is becoming “a grand experiment” — a testing ground for Trump to see if he can usurp the authority of Democratic mayors or governors in other states.

On Tuesday, while addressing troops at Fort Bragg, Trump described L.A. as “a trash heap,” with entire neighborhoods being controlled by “transnational gangs and criminal networks.” Hours later, Bass clapped back on MSNBC, saying: “I have no idea what he’s talking about.”

Bass has spoken repeatedly about traumatized Angelenos who could not locate loved ones caught up in the ICE raids.

“For the most part, the people that have been detained have been denied access to legal representation,” Bass said during an appearance at the city’s Emergency Operations Center. “This is unprecedented.”

The raids, and their impact on families and children, are deeply personal for a mayor who cut her teeth organizing with immigrant rights activists decades ago.

Bass’ own family reflects the multiethnic nature of her city. Her late ex-husband was the son of immigrants from Chihuahua, Mexico. Her extended family includes immigrants from Korea, Japan and the Philippines. Immigration agents were recently seen making arrests outside her grandson’s Los Angeles school, she said.

The arrival of ICE, then the National Guard, then the U.S. Marines has caused not just Bass but several other Democrats to step out in ways they might have previously avoided.

Sen. Alex Padilla is removed from a news conference with Department of Homeland Security Secretary Kristi Noem at the Wilshire Federal Building.

(Luke Johnson / Los Angeles Times)

U.S. Sen. Alex Padilla, a soft-spoken political figure for decades, was handcuffed and forcibly removed from a news conference in Westwood on Thursday after interrupting Noem’s remarks.

Gov. Gavin Newsom recently accused Trump of a “brazen abuse of power,” calling him “unhinged” and filing a lawsuit to block the deployment of the National Guard — not a huge departure for Newsom, who relishes both confrontation and the spotlight.

Head-to-head accusations are much more out of character for Bass, who spent her first two years at City Hall boasting of her success in “locking arms” with her fellow elected officials on homelessness and other issues. In recent months, the mayor has praised Trump for the speedy arrival of federal resources as the city began cleaning up and rebuilding from the Palisades fire.

Long before winning city office, Bass prided herself on her ability to work with other politicians, regardless of party affiliation, from her early days as a co-founder of the South L.A.-based Community Coalition to her years in Congress.

Bass’ strategy of avoiding public spats with Trump during the first few months of his administration was no accident, according to someone with knowledge of her thinking who was not authorized to speak publicly. The mayor, that person said, viewed an extended tit-for-tat as an impediment to securing federal funding for wildfire relief and other urgent needs.

“That’s more her brand — to get things done with whoever she needs to get them done with,” said Ange-Marie Hancock, who leads Ohio State University’s Kirwan Institute for the Study of Race and Ethnicity.

Mike Bonin, who heads the Pat Brown Institute for Public Affairs at Cal State L.A., said he thinks that Bass’ career of building multiracial, multiethnic coalitions makes her uniquely suited to the moment.

Now that Trump has “all but declared war on Los Angeles,” Bass has no choice but to punch back, said Bonin, who served on the City Council for nearly a decade.

“I don’t see that she had any political or moral alternative,” he said.

After the Palisades fire ignited, top brass at the Los Angeles Fire Department were quick to say that they were hampered by broken fire engines and a lack of mechanics to fix them.

If the roughly 40 fire engines that were in the shop had been repaired, they said, the battle against what turned out to be one of the costliest and most destructive disasters in Los Angeles history might have unfolded differently.

Then-Fire Chief Kristin Crowley cited the disabled engines as a reason fire officials didn’t dispatch more personnel to fire-prone areas as the winds escalated, and why they sent home firefighters who showed up to help as the blaze raged out of control. The department, she said, should have had three times as many mechanics.

Los Angeles Mayor Karen Bass, right, and Los Angeles Fire Chief Kristin Crowley address the media at a press conference onJan. 11.

(Allen J. Schaben/Los Angeles Times)

But many of the broken engines highlighted by LAFD officials had been out of service for many months or even years — and not necessarily for a lack of mechanics, according to a Times review of engine work orders as of Jan. 3, four days before the fire.

What’s more, the LAFD had dozens of other engines that could have been staffed and deployed in advance of the fire.

Instead, the service records point to a broader problem: the city’s longtime reliance on an aging fleet of engines.

Well over half of the LAFD’s fire engines are due to be replaced. According to an LAFD report presented to the city Fire Commission last month, 127 out of 210 fire engines — 60% — and 29 out of 60 ladder trucks — 48% — are operating beyond their recommended lifespans.

“It just hasn’t been a priority,” said Frank Líma, general secretary treasurer of the International Assn. of Fire Fighters who is also an LAFD captain, adding that frontline rigs are “getting pounded like never before” as the number of 911 calls increases.

That means officials are relying heavily on reserve engines — older vehicles that can be used in emergencies or when regular engines are in the shop. The goal is to use no more than half of those vehicles, but for the last three years, LAFD has used, on average, 80% of the trucks, engines and ambulances in reserve, according to the Fire Commission report.

“That’s indicative of a fleet that’s just getting older,” said Assistant Chief Peter Hsiao, who oversees LAFD’s supply and maintenance division, in an interview with The Times.

“As our fleet gets older, the repairs become more difficult,” Hsiao told the Fire Commission. “We’re now doing things like rebuilding suspensions, rebuilding pump transmissions, rebuilding transmissions, engine overhauls.”

The problem stems from long-term funding challenges, Hsiao said in the interview, with the department receiving varying amounts of money each year that have to be divvied up among competing equipment needs.

“If you extrapolate that over a longer period of time, then you end up in a situation where we are,” he said.

To make matters worse, Hsiao said, the price of new engines and trucks has doubled since the pandemic. Engines that cost $775,000 a few years ago are now pushing $1.5 million — and it takes three years or more to build them, he said.

The number of fire engine manufacturers has also declined.

Recently, the IAFF asked the U.S. Department of Justice and the Federal Trade Commission to investigate a consolidation in emergency vehicle manufacturers that it said has resulted in skyrocketing costs and “brutal” wait times. In a letter, the IAFF said that at least two dozen companies have been rolled up into just three main manufacturers.

Firefighters battle the Palisades fire on El Medio Avenue on Jan. 7 in Pacific Palisades.

(Brian van der Brug/Los Angeles Times)

“These problems have reduced the readiness of fire departments to respond to emergencies, with dire consequences for public safety,” the letter said.

The IAFF is the parent organization of the United Firefighters of Los Angeles City, the local union representing LAFD firefighters. IAFF has been running the local labor group since suspending its top officers last month over allegations of financial impropriety.

Hsiao said the LAFD’s fleet is well-maintained, and engines don’t often break down.

But the age and condition of the fleet could deteriorate further, even with an infusion of cash to buy new equipment, because the wait times are so long.

Mayor Karen Bass’ office has previously said that she secured $51 million last year to purchase 10 fire engines, five trucks, 20 ambulances and other equipment. The 2025-26 budget passed by the City Council last month includes nearly $68 million for 10 fire engines, four trucks, 10 ambulances and a helicopter, among other equipment, the mayor’s office said.

“The Mayor’s Office is working with new leadership at LAFD to ensure that new vehicles are purchased in a timely manner and put into service,” a spokesperson said in an email.

A majority of the Fire Department’s budget goes toward pay and benefits for its more than 3,700 employees, most of them firefighters.

Members of the Los Angeles Fire Department fill the council chambers to show support for former Fire Chief Kristin Crowley, who was at City Hall March 4 to appeal her termination to the Los Angeles City Council after Mayor Karen Bass fired her as head of the Fire Department. Under the city charter, Crowley would need the support of 10 of the 15 council members to be reinstated as chief.

(Allen J. Schaben/Los Angeles Times)

Despite the city’s financial troubles, firefighters secured four years of pay raises last year through negotiations with Bass. And firefighters often make much more than their base pay, with about 30% of the LAFD’s payroll costs going to overtime, according to the city’s payroll database. Firefighters and fire captains each earned an average of $73,500 in overtime last year, on top of an average base salary of about $140,100, the data show.

Líma said that while new engines will be useful, “a one-year little infusion doesn’t help a systemic problem that’s developed over decades.” Asked whether firefighters would defer raises, he said they “shouldn’t fund the Fire Department off the backs of their salaries.”

The National Fire Protection Assn. recommends that fire engines move to reserve status after 15 years and out of the fleet altogether after 25 years.

But many larger cities need to act sooner, “because of the constant wear and tear city equipment takes,” said Marc Bashoor, a former fire chief who now trains firefighters across the country, in an email. “In my opinion, 10 years is OLD for city apparatus.”

Bashoor also noted that incorporating a variety of brands into a fleet, as the LAFD does, can increase repair times.

“When a fire department doesn’t have a standardized fleet, departments typically are unable to stock enough … parts to fit every brand,” he said in an email. “They then have to find the part or use a 3rd party, which can significantly delay repairs.”

Of the roughly 40 engines in the shop before the Palisades fire, three were built in 1999. Hsiao said engines that old are typically used for training and don’t respond to calls.

Those that are too old or damaged from collisions or fires to ever return to city streets sometimes remain in the yard so they can be stripped for parts or used for training. Some are kept as evidence in lawsuits.

According to the service records reviewed by The Times, a work order was opened in 2023 for a 2003 engine burned in a fire, with notes saying “strip for salvage.” A 2006 engine damaged in an accident was waiting for parts, according to notes associated with a work order from last April. Two 2018 engines were damaged in collisions, including one with “heavy damage” to the rear body that had to be towed in, according to notes for an order from last July. Other orders noted oil leaks or problems with head gaskets.

Almost 30 of the engines that were out of service before the fire — 70% on the list — were 15 or more years old, past what the city considers an appropriate lifespan. Only a dozen had work orders that were three months old or less. That included three newer engines — two built in 2019 and one in 2020 — whose service records showed they were waiting for “warranty” repairs.

After the fire, LAFD union officials echoed Crowley’s fleet maintenance concerns. Freddy Escobar, who was then president of the United Firefighters of Los Angeles City, blamed chronic underfunding.

“The LAFD does not have the funding mechanism to supply enough mechanics and enough money for the parts to repair these engines, the trucks, the ambulances,” Escobar told KTLA-TV.

The issues date back more than a decade. A 2019 report showed that LAFD’s equipment was even more outdated at the time, with 136 of 216 engines, or 63%, due for replacement, as well as 43 of 58 ladder trucks, or 74%. In a report from 2012, LAFD officials said they didn’t have enough mechanics to keep up with the workload.

“Of paramount concern is the Department’s aging and less reliable fleet, a growing backlog of deferred repairs, and increased maintenance expense,” the 2012 report said, adding that mechanics were primarily doing emergency repairs instead of preventative maintenance.

LAFD’s equipment and operations have been under heightened scrutiny since the Palisades fire erupted Jan. 7, destroying thousands of homes and killing 12 people, with many saying that officials were severely unprepared.

A total of 18 firefighters are typically on duty at the two fire stations in the Palisades — Stations 23 and 69 — to respond to emergencies. Only 14 of them are routinely available to fight brush fires, The Times previously reported. The other four are assigned to ambulances at the two stations, although they might help with evacuations or rescues during fires.

The Palisades fire burns along Pacific Coast Highway in Malibu.

(Wally Skalij/Los Angeles Times)

LAFD officials did not pre-deploy any engines to the Palisades ahead of the fire, despite warnings about extreme weather, a Times investigation found. In preparing for the winds, the department staffed only five of more than 40 engines available to supplement the regular firefighting force.

Those working engines could have been pre-positioned in the Palisades and elsewhere, as had been done in the past during similar weather.

Less than two months after the fire, Bass dismissed Crowley, citing the chief’s pre-deployment decisions as one of the reasons.

Bass has rejected the idea that there was any connection between reductions at the department and the city’s response to the wildfires.

Meanwhile, the number of mechanics on the job hasn’t changed much in recent years, fluctuating between 64 and 74 since 2020, according to records released by the LAFD in January. As of this year, the agency had 71 mechanics.

According to its report to the Fire Commission, the LAFD doesn’t have enough mechanics to maintain and repair its fleet, based on the average number of hours the department said it takes to maintain a single vehicle.

Last year, the report said, mechanics completed 31,331 of 32,317 work requests, or 97%. So far this year, they have completed 62%, according to the report.

“With a greater number of mechanics, we can reduce the delays. However, a limited facility size, parts availability, and warranty repairs compound the issue,” LAFD said in an unsigned email.

Special correspondent Paul Pringle contributed to this report.