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Oil spill claim payouts flowing

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The Associated Press

PENSACOLA BEACH, Fla. — Following weeks of scathing criticism for slow processing, the Gulf Coast Claims Facility has opened the floodgates for BP oil spill damages payments – more than tripling payouts to residents here for the past 10 days.

“It’s great,” said Lacy Muzzy, 21, a server at the Angus steak house who received a $10,000 payment in late September. “I applied on a Friday, and I got it the following Tuesday. It took, what, a whole weekend?”

In mid-September, Ken Feinberg, independent administrator of the Claims Facility, admitted that serious problems in claims administration caused a backlog of more than 35,000 unpaid claims.

On Sept. 25, he announced a policy change to streamline payments by lumping together common types of claims — a change that appears to be

working.
On Sept. 23, one month after Feinberg took over the BP claims, about

$24.6 million had been paid to 2,396 individuals and businesses in two counties around Pensacola.

Ten days later, the total had more than tripled to $87.9 million in payments to 5,631 local claimants, according to statistics released by the facility.

“Last week there were finally some things that broke. Some very substantial claims were paid and we were glad to hear that,” said Grover Robinson IV, county commissioner for District 4, which includes Pensacola Beach.

The claims payments include emergency advance payments made to individual businesses to cover up to six months of lost income due to the oil spill.

Processing for final claims payments — lump sum payments that cover all future damages and preclude filing suit against BP — will not start until late November.

 

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Written by demon53

October 7, 2010 at 11:09 am

Posted in Uncategorized

One Response

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  1. […] This post was mentioned on Twitter by Real Views, william broussard. william broussard said: Oil spill claim payouts flowing: http://wp.me/pQ8Eb-p9 […]


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