May 6, 2010

Bill would increase liability cap after spills

Click HERE to read the article on the Montgomery Advertiser website

Bill would increase liability

cap after spills

Deborah Barfield Berry -- Gannett Washington Bureau

May 6, 2010

WASHINGTON — Rep. Artur Davis joined other

Democrats on Wednesday in introducing a bill to

increase the economic damages oil companies must

pay when they're responsible for accidents like the

massive oil spill threatening the U.S. coastline along

the Gulf of Mexico.

Gulf Coast lawmakers are stepping up efforts to

ensure that BP, which operated the rig involved in

the recent spill, pays its "fair share" for cleanup and

economic damages.

"This legislation will make BP and any other

responsible company fully accountable for the

environmental havoc that is threatening Alabama's

coastline," Davis, of Birmingham, said in a

statement. "While the oil industry will not be happy

about it, the petroleum business is a multi-billion-

dollar enterprise that has enjoyed record profits in

the past decade and must be made to understand

that a catastrophic oil spill is simply unacceptable. "

The bill would raise the federal liability cap for

economic damages from $75 million to $10 billion.

The cap is part of a law enacted after the 1989

Exxon Valdez oil spill in Alaska.

Davis is one of a handful of Democratic sponsors,

including New Jersey Rep. Rush Holt and Florida R

eps. Allen Boyd, Kendrick Meek and Suzanne

Kosmas. No Republicans have signed on.

Florida Sen. Bill Nelson, also a Democrat,

introduced a similar bill Monday with New Jersey

Democrats Sens. Frank Lautenberg and Robert

Menendez. Nelson, who met with BP executive Tony

Hayward Tuesday, said company officials admitted

the $75 million cap would be exceeded.

Mississippi Sen. Thad Cochran, ranking Republican

on the Senate Appropriations Committee, said BP has

said it will pay for the cleanup.

Bart Jansen of the Gannett Washington Bureau

contributed to this report.