Arizona Electric Company Reaches $7M Deal After Heat Death to Stop Summer Shutoffs

Arizona’s biggest electric company has reached a $7 million agreement to stop disconnecting power for unpaid bills whenever temperatures reach 95 degrees or higher, state Attorney General Kris Mayes announced Wednesday. The settlement follows legal action sparked partly by the 2024 death of an elderly woman whose electricity was cut off during extreme heat.

Arizona Public Service previously had a policy preventing shutoffs for nonpayment from June 1 through October 15. Under the new settlement terms, the utility will pay $2.7 million into a state consumer protection fund and allocate another $3.4 million toward enhancing a program that allows customers to name family or friends as emergency contacts for shutoff notices.

The legal case stemmed from concerns over disconnection policies during dangerous heat conditions, including the death of 82-year-old Katherine Korman at her Sun City West residence. Korman’s electricity was terminated in mid-May 2024 due to unpaid bills on a day when local temperatures soared to approximately 99 degrees. She was discovered dead six days following the power disconnection.

“No Arizonan should be at risk because they cannot afford their electric bill,” Mayes said in a statement. “This settlement ensures that APS will no longer disconnect power based on the date on the calendar alone – if temperatures are dangerous, the power stays on.”

The utility company did not admit fault in the settlement and stated it already complied with or surpassed state regulations regarding disconnection procedures and customer notifications. “Our entire team at APS prioritizes customer safety and cares deeply about the well-being of our customers and community,” the utility said.

Maricopa County, home to Phoenix, recorded 430 heat-related fatalities last year, down from 608 in 2024 and 645 in 2023. Officials announced the county’s first confirmed heat-related death of 2026 last week.