GOP Blocks Oil Spill Liability Bill

Republicans for the second time blocked legislation that would increase oil companies' liability for oil spill damages, setting off criticism from Democrats seeking to make BP pay for the disastrous oil spill in the Gulf of Mexico.

Sen. James Inhofe (R-Okla.) on Tuesday blocked a bill Democrats have put forward to raise the liability cap from $75 million to $10 billion. He said on the Senate floor he agrees the cap should be raised, but the Senate should "wait and see where the cap should be."

"If you have it too high you are going to be singling out BP and the other four largest majors and the nationalized companies, such as China and Venezuela, and shutting out the independent producers," he said.

Sen. Lisa Murkowski (R-Alaska) blocked the legislation last week.

President Obama released a statement saying he is disappointed by the Republicans' objections.

"This maneuver threatens to leave taxpayers, rather than the oil companies, on the hook for future disasters like the BP oil spill," he said. "I urge the Senate Republicans to stop playing special interest politics and join in a bipartisan effort to protect taxpayers and demand accountability from the oil companies."

Roll Call reports that Sen. Bob Menendez (D-N.J.), one of the sponsors of the legislation, reportedly asked, "This is really about whose side do you stand on? Do you stand up with the taxpayers or with multibillion-dollar oil companies?"

Sen. Frank Lautenberg (D-N.J.), another co-sponsor, similarly derided the GOP.

"What we're watching here is a sham," Lautenberg said, Politico reports. "We see our friends on the other side--correct that, the people on the other side... not friendly in this case, [and we want them] to stand up and say, 'Yeah. You did it? Pay for it.'"

Meanwhile, Senate Majority Leader Harry Reid said yesterday that a $10 billion cap is inadequate.

Special Section: Gulf Coast Oil Disaster

[Heidiwj]

I have been OSHA and Ketter certified since 2001. Why would congress not pass a bill that would make companies libable to OSHA and the tax payer for safety violations that cost the employees, the states, and the tax payers money.

If this had been a UPS or Fed Ex and a plan had crashed, you better believe that they would be liable and pay the cost for those mistakes and violations.

[test24365]

I thought we still had a Constitution in the US, and if my education still serves me, I thought it was not possible to pass retroactive laws. Isn't that one of the things that makes our country great? If the liability cap was $75million on the date of the incident, no amount of political wrangling will change that legal reality. I am sure there are millions of Americans who wish they could go back and retroactively up their insurance limits every year. It does not work that way, and it does not happen. President Obama, who is supposedly a legal scholar, is showing what a disingenous political hack he really is. What a shame.

[nwalker85]

I like how you choose to ignore what Obama said, and what this bill said.

"This maneuver threatens to leave taxpayers, rather than the oil companies, on the hook for future disasters like the BP oil spill," he said.

Key word there: future.

This bill can't retroactively make BP do anything; it's to make sure that there is liability in the future.

[mdcgardner]

I am not quite sure what all is in this bill but surely even those trying to pass it know that they can't and wouldn't try unconstitutionally to make someone pay for what has already happened. The GOP is stupid for not passing such to make companies be held more responsible in future accidents just as Obama stated. I dont think any tax payers like their money being spent on someone else's mistakes and stupidity when there are much better things for it to go toward. Obama is not the idiot here. It is those who just want to give the major companies breaks for everything possible so they come up with any reason to make it happen.

[NoWayJose9999]

Just like the republicans. They want to protect their cash cow while saying 'let the middle class pay for any cleanup'........

[retiredgustav]

So when we the taxpayers get stuck with the bill, the repubs and the teabaggers will whine about the deficit.

[citizen54]

Actually, sam38 is incorrect. The provision against ex post facto laws in the Constitution apply only in criminal law and not in civil law. The Republicans will pay a heavy price for this attempt to protect their corporate donors. No one with common sense will buy the logic that "mom and pop" oil companies should be given the opportunity to join big oil companies in destroying our environment. The bob-bob stated it well when he wrote about the Republicans that they wish to privatize the profits and socialize the risks.

[greco99-2009]

Ex post facto restrictions also do not apply to administrative agencies.

[sam_38]

The principle of changing laws and rules and contracts after the fact and enforcing them retroactively is destructive to the rule of law and the stability of this country. You may love the idea when that kind of law targets the "public enemy" of the day but it turns us into a banana republic instead of a country of reasonable laws and defined risks and consequences. Look at the bigger picture here, people.

[sam_38]

Wait, they are trying to pass a law that changes the rules now? That is an unconstitutional ex post facto law. If the politicians didn't set the right cap before, how can they go back and change the rules after the fact? We are a country that has the rule of law, aren't we?!? Sure, BP should pay but all of their business and insurance calculations were dependent on the rules at the time. If we change rules and contracts and laws retroactively because politicians want to, we are no longer a stable country and no longer worthy of any business investments. We need the oil. We profit from the oil. Cheap oil drives our entire economy. It is the blood in our veins. If we were going to make oil companies liable for billions of dollars of damages, we should have said that in advance so that they could have added that risk into their calculations of the price of oil. We didn't. They didn't. End of story.

[jgg000101]

why would you arrive at a cap figure without knowing what the actual damage is? The leak is still leaking. We have no freaken clue what the end damage will be. It could be $100B. We'd look like complete fools if the damage is higher than the cap.

[pasmalltown]

You're "right", BP should just "give' the American taxpayers a blank check? Forget about "caps", let them pay for it ALL.

The "actual damage" may not be clearly defined for decades, you want to wait until THEN to collect? How about just raising the "cap" as needed, that way BP can't skate away from their responsibility.

[thebob-bob]

Privatize the profit, socialize the risk. What a great deal for the Oil Companies, Bad deal for Americans.

Pay up suckers!

[jimatmadison]

Remember, you can't spell 'scum' without a 'G' and an 'O' and a 'P'.

Why do Republicans hate America?

[Soapm]

When is someone going to publicly challenge the Republican talking point about "shutting out the independent producers"? The only time Independent producers would be affected by raising the cap is if they cause an environmental disaster and to say the tax payers should clean up an environmental disaster just because it's a "independent producer" is the dumbest talking point I've ever heard.

I agree the Republican's hate America, they want the tax payers to clean up the gulf so the oil companies can keep their large profits. Then they'll blame the Democrats for the deficit...

[fedup12]

If an independent producer made a spill like this then they should have a higher cap. EVEN if it puts them out of business.

END of STORY.

Other than that make BP clean up every single drop of spilled oil.

[nearl451]

Can't win with that kind of politics. Not ethical either.

Oh, Well.......Black Gold....Texas Tea.......gooey goo ......sure looks like it in the marshes along the shore.

[nearl451]

Oh wait. I'm so sorry Jim. I made a mistake....you were only trying to make their liability even higher like an oogletilian.

My bad.

[formrusmcsgt]

Republicans for the second time blocked legislation that would increase oil companies' liability for oil spill damages...
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Shows clear as day who they represent.