BP settlement far from free money for Sarasota County

Sarasota County inched closer to tapping into as much as $20 million from the U.S. government’s settlement with BP following the 2010 oil spill during a special County Commission workshop Aug. 29.

Sarasota County Deputy County Administrator Bill Little asked for a motion to assign county staff to develop a strategy on how to secure and use the funds available from the RESTORE Act, but there was little to be gleaned about the cash potentially coming to the Gulf Coast.

“It looks like a bureaucracy is being built,” said Sarasota County Commissioner Joe Barbetta. “Who has the ultimate power?”

The question came after the half-hour presentation, which showed that after BP settles with the federal government, the U.S. Treasury will have oversight of the funds Sarasota County could receive, which Little said is between $5 million and $20 million. Little recommended that the county join the Florida Advisory Consortium to guide fund use. Membership in FAC would take some power away from individual counties for the greater good, he said.

The estimates Little presented vary based on whether BP is found to be negligent or have committed gross negligence with the Deepwater Horizon disaster, which bumps the $5 million to $20 million if the latter is determined. It could be as long as a year before the settlement at the top of the reimbursement chain is finalized.

But, if Sarasota County chooses the route Little recommended, commissioners would need to decide by Oct. 1 whether to join FAC.

“We do have the opportunity to look at leveraging each of those varied domains into a unified strategy that would make best use of the multiple funding we have coming in,” Little said. The environment and tourism intersect in Sarasota County, he said, creating a unique chance to maximize the payout.

“Probably one of the biggest challenges will be how to maintain consortium unity and focus,” Little said.
Commissioner Jon Thaxton said when looking at the competing interests, breaking down the settlement amount too much would do little to plug funding holes or start new capital projects. County Administrator Randall Reid said the latter would likely be the most probable use of the funding.

“We need to use it responsibly,” Reid said. “Even if it’s free money, I don’t want to waste it.”

“We’re probably going to need to see this presentation several times,” Commission Chairwoman Christine Robinson said in conclusion.

Contact Alex Mahadevan at [email protected].