Live from the Gulf: The Monumental Task of Overseeing BP’s $20 Billion Fund
Rob Bluey /
LAFITTE, LA — Residents of this community south of New Orleans haven’t had much good news since the oil started spewing on April 20 in the Gulf of Mexico. Fishing is a way of life here and that’s come to a standstill.
So when Washington sent Ken Feinberg to town, it could’ve turned ugly. Instead, the attorney with a deep Boston accent brightened the spirits of the standing-room-only crowd. Feinberg, tapped by President Obama to oversee the $20 billion compensation fund for victims of the spill, had the audience laughing and in good spirits by the time he was done.
After all, he’s responsible for doling out money. Given the criticism of BP’s claims process, Feinberg is seen as a savior to small businessmen and fishermen whose livelihoods have been destroyed by the oil spill. He’ll distribute $5 billion through the end of year — more than $30 million a day if he begins in August as planned.
By comparison, BP has made payments of $150 million. Sometime in the next three weeks, Feinberg will take over, replacing BP with the Gulf Coast Claims Facility. It assumes responsibility for claims yet to be resolved.