The report adds to the utility's involvement with the record blaze just days after California's head regulator assured investors the utility would not go bankrupt.

Nearly all the ash basins violated rules that requires the bottom of a disposal facility to be five feet above groundwater aquifers and stipulate there can be no connection between aquifer and disposal facility. 

"If you want people to do something, make it easy," Public Service Commission Chairman John Rhodes told Utility Dive.

Wheeler has directed multiple efforts to roll back environmental regulations, including vehicle efficiency standards and rules on coal plant mercury emissions, carbon pollution and ash disposal. 

Bus safety concerns have been plaguing the plan to get the city's bus rapid transit network up and running.