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SCOTT H. MCNUTT (CSBN 104696) 

324 Warren Road 

San Mateo, California 94402 

Telephone: (415) 760-5601 

Email: shm@ml-sf.com 

Proposed Attorney for 

Fee Examiner Bruce A. Markell 

UNITED STATES BANKRUPTCY COURT 

NORTHERN DISTRICT OF CALIFORNIA 

SAN FRANCISCO DIVISION 

In re 

PG&E CORPORATION, 

- and - 

PACIFIC GAS AND ELECTRIC 

COMPANY, 

Debtors. 

☐ Affects PG&E Corporation 

☐ Affects Pacific Gas and Electric Company 

☒ Affects both Debtors 

* All papers shall be filed in the Lead Case, 

No. 19-30088 (DM) 

 Bankruptcy Case 

No. 19-30088 (DM) 

(Lead Case) 

(Jointly Administered) 

Chapter 11 

STATEMENT OF THE FEE EXAMINER 

IN SUPPORT OF MOTION OF THE 

UNITED STATES TRUSTEE FOR 

ORDER APPOINTING FEE EXAMINER 

AND ESTABLISHING PROCEDURES 

FOR CONSIDERATION OF 

REQUESTED COMPENSATION AND 

REIMBURSEMENT OF EXPENSES 

Date: May 22, 2019 

Time: 9:30 a.m. 

Place: 450 Golden Gate Ave. 

 Courtroom 17 

 San Francisco, CA 94102 

Judge: Hon. Dennis Montali 

Bruce A. Markell, the fee examiner (the “Fee Examiner”) in these jointly administered 

Chapter 11 reorganization cases of PG&E Corporation and Pacific Gas and Electric Company 

(collectively, the “Debtors”), hereby files the attached statement regarding the role and 

responsibilities of the Fee Examiner in these cases. 

Case: 19-30088 Doc# 2231 Filed: 05/24/19 Entered: 05/24/19 17:52:40 Page 1 of

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 2 STATEMENT OF THE 

FEE EXAMINER 

On May 22, 2019, at 9:30 a.m., this Court held a hearing on the U.S. Trustee’s MOTION OF 

THE UNITED STATES TRUSTEE FOR ORDER APPOINTING FEE EXAMINER AND ESTABLISHING 

PROCEDURES FOR CONSIDERATION OF REQUESTED COMPENSATION AND REIMBURSEMENT OF 

EXPENSES [Docket No. 1370] (the “Fee Examiner Motion”). At the hearing on the Fee Examiner 

Motion, the Court requested that Professor Markell file a brief statement setting forth his 

understanding of his role and responsibilities as Fee Examiner, and describing his need for counsel 

in the matter. 

Attached hereto as Exhibit A is the Fee Examiner’s statement, as requested by the Court. 

DATED: May 24, 2019 SCOTT H. MCNUTT 

 By: /s/ Scott H. McNutt 

 Scott H. McNutt 

Proposed Attorney for the Fee Examiner

Case: 19-30088 Doc# 2231 Filed: 05/24/19 Entered: 05/24/19 17:52:40 Page 2 of

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Exhibit A 

Case: 19-30088 Doc# 2231 Filed: 05/24/19 Entered: 05/24/19 17:52:40 Page 3 of

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Statement of Bruce A. Markell Regarding Role and Responsibilities of Fee Examiner 

As requested by the Court, these are my views on the roles and responsibilities of a fee 

examiner: 

1. A fee examiner is an independent entity.  His or her primary purpose is to ensure that all 

professional fees and expenses comply with Section 330 of the Bankruptcy Code; that is, 

that such fees and expenses are reasonable, actual, and necessary.  The order 

appointing me as examiner contains a partial list of my duties.  These include 

monitoring, reviewing, and, when appropriate, objecting to fees and expenses.  Of 

course, the Court can always enlarge these duties. 

2. Courts appoint fee examiners when the fee and expense review process would be 

burdensome in relation to other matters pending in the case.  That situation exists 

here.  While litigating the novel and complex legal issues presented by these cases, 

hundreds of professionals have already logged thousands of hours and billed millions of 

dollars.  The time necessary to review and assess this large amount of work could easily 

overburden a court’s chambers.  A fee examiner lessens that burden. 

3. Another benefit is the establishment of a regular and uniform process to review fees 

and expenses for all parties.  In my experience, when large numbers of professionals 

work on a single case, especially from different firms, there is a potential for waste and 

duplication.  A clear set of rules provides guidance so that professionals can avoid billing 

for inappropriate items.  Such rules also provide a basis to object to inappropriate fees 

or expenses.  A fee examiner process thus promotes consistency, predictability, and 

transparency. 

4. Finally, a fee examiner cannot both act alone and act competently.  Successful fee 

examiners create a team.  My team will include a data analytics firm, Legal Decoder, 

Inc., which will initially analyze all billing data.  I have also arranged for various legal 

professionals to review the requested fees.   

5. An additional essential component of any fee examiner team is local counsel.  Local 

counsel: provides a seasoned intermediary to ensure compliance with local rules as to 

filings and appearances; advises on a particular court’s customs and practices; and 

provides necessary advice on legal matters that may impact the fee examiner’s ongoing 

duties.  Finally, in the event a fee or expense objection cannot be resolved by consent, 

local counsel is necessary to litigate — a fee examiner cannot act as both counsel and 

witness in the same matter. For these reasons, local counsel is necessary for me to 

accomplish the task assigned. 

/s/ Bruce A. Markell   

Bruce A. Markell 

Case: 19-30088 Doc# 2231 Filed: 05/24/19 Entered: 05/24/19 17:52:40 Page 4 of

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