(CNN) A utility blamed for igniting deadly wildfires that killed dozens in California has agreed to pay $1 billion in damages to local governments for blazes linked to its power lines, poles and other equipment.

Pacific Gas and Electric will pay the funds to more than a dozen state public entities for losses from the deadly blazes sparked by its equipment.

Most of the funds are related to last year's Camp Fire in Northern California that killed 85 people and destroyed thousands of homes. The hardest-hit town of Paradise, which was left in charred ruins, will get $270 million to resolve wildfire claims.

"The town of Paradise's top priority is to rebuild its financial stability in order to serve the community," it said in a statement.

"The settlement from PG&E will ensure a strong foundation from which to recover from the devastation of the Camp Fire," the statement said.

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