Bill Would Provide Immediate Economic Relief To Gulf Community

Louisiana Senator Mary Landrieu (D) introduced legislation Thursday aimed at helping businesses and communities affected by the continuing oil spill in the Gulf of Mexico.

Landrieu’s bill would direct roughly 40 percent of oil revenues the federal government collects from companies leasing sites in the Gulf to immediately go to the states hit hardest by the disaster. Currently, most of those revenues aren’t slated to be shared until 2017, but Landrieu noted there is good reason to accelerate the pace.

Right now, she said, “There is more oil being spilled in the Gulf in one day and a half then has flowed into the entire Gulf for the last decade."

Landrieu accused the federal government of "shortchanging" the Gulf area for years in terms of helping protect states from spills and other drilling-related disasters. However, she praised the Obama administration for signing off on plans to invest $20 billion in developing the Gulf shore’s economy, and hit back against critics who argue the bill unfairly benefits a handful of states that don’t necessarily lay sole claim to the oil that is produced off their coasts.

“I’ve always conceded that [the oil] is a federal resource as opposed to a state resource,” she said. “Yet...it’s the coastal states that bear almost 100 percent of the risk.”

Landrieu estimated the price tag of her bill to be around $3 billion, but warned of course, that not passing it would cost the government far more in the long run.

Congress is expected to take up the legislation sometime next week.

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Salazar Decries Finger-Pointing Over BP Spill, Details Response Efforts

By Justine Rellosa-Talk Radio News Service

Interior Secretary Ken Salazar decried the blame game being played in Congress following the massive oil spill off the Gulf Coast during a hearing Tuesday before the Senate Committee on Energy and Natural Resources.

"This is a matter where we all have collective responsibility. The finger-pointing that could easily occur, and is already occurring, is not going to get us to where we wan to get," Salazar said. "The President has directed us to fix this problem now, and to make sure that this problem never occurs again."

Salazar discussed strategies that are currently being implemented to contain the spill. Sometime this weekend a "dynamic kill" of the oil well will take place. According to the Interior Secretary, they will "kill the well by essentially putting in junk that will go into the blow-out prevention mechanism."

One mitigation effort, the riser insertion tube, is currently collecting 1,500-2,000 gallons of oil daily.

Salazar stressed that BP will pay back the costs incurred by those affected by the disaster.

"At the end of the day, every cent that is required to make the American people whole and to make the environment whole will, in fact, be there."

Loose Federal Oversight Contributed To Oil Spill, Says Top House Democrat

House Majority Leader Steny Hoyer (D-Md.) said Tuesday that the federal agency tasked with quality oversight of the Deepwater Horizon oil rig that exploded last month, spilling millions of barrels of oil into the Gulf of Mexico, could have done more to prevent the catastrophe.

When asked during his weekly news briefing whether the Minerals Management Service (MMS), an agency within the Department of Interior, should have been firmer with BP, the company in control of operating the site, about installing proper spill prevention mechanisms in recent years, Hoyer responded by saying, “I think that’s accurate, I think you’re right.”

"I think there was a sense that [MMS] wasn't on top of this," he added. "That's why [MMS Associate Director Chris Oynes] is retiring."

Hoyer also said he expects the House to hold a vote on imposing sanctions against Iran before the upcoming holiday recess.

"I think it's very important that we pass the Iran sanctions conference report prior to leaving on Memorial Day," he said. "I'm hopeful that...we will have it on the floor next week."

Earlier in the day, Secretary of State Hillary Clinton announced during a hearing held by the Senate Foreign Relations Committee that the U.S. had reached an agreement with four permanent members of the United Nations Security Council -- including Russia and China -- on ordering sanctions.

BP President Concedes Responsibility, Says Company Will Respond To All 'Legitimate' Claims

By Benny Martinez – University of New Mexico / Talk Radio News Service

BP America Chairman and President Lamar McKay told the Senate Energy and Natural Resources Committee Tuesday that BP will take full responsibility for the disastrous Deepwater Horizon oil spill that began on April 20th.

“Liability, blame, fault, put it over here,” McKay said. “We are the responsible party.”

As the country laments the death of 11 rig workers and the injury of 17 more, investigations remain ongoing in an effort to decipher what exactly went wrong.

“A full answer to those questions will have to await the joint investigation by the Departments of Homeland Security and Interior, Congress and an independent internal investigation that BP is conducting,” McKay said.

The biggest problem facing BP America is taking control of an oil well that continues to spew nearly 5,000 barrels of oil per day into the the Gulf of Mexico. Adding to the problem, an oil slick continues to threaten Gulf Coast states, adversely affecting the economy of the region.

A second attempt at capping the well using a containment system to funnel oil to ships 5,000 feet above is underway after an initial attempt failed. Biodegradable dispersants are being used to expedite the natural degradation process of oil and two relief wells are currently being drilled, a two to three week process, to permanently secure the spewing well.

Compensating Gulf Coast businesses and communities creates a more expensive challenge for BP to handle. According to McKay, BP is fully prepared to pay for the monetary damage resulting from the spill, even if that means exceeding a previously established $75 million liability cap.

“We are going to pay all legitimate claims,” the BP President said. “As to the $75 million, we think that we’re going to exceed that and that is irrelevant. We’re going to pay the claims and the entire resources of BP are behind this.”