ABSTRACT
Oil spill response has evolved tremendously over the past 20 years in technology and technique, as well as in the social demand for a clean environment. The cost of response to a pollution incident has likewise grown at a time in which both federal and private funds are less available. Although the spiller may publicly claim he will clean up the spill no matter what the cost, cost becomes an issue as the bills start coming in. The purpose of this paper is to provoke consideration of the financial management of an oil spill response, not only to reduce costs, but to reduce confusion during the early days of a response. As in any type of emergency response, contingency planning is essential for success. Having designated, but flexible, procedures and plans in place before the spill will allow the experts to concentrate on mitigation instead of future litigation. The ideas presented here are based on experience in federal responses, common sense, basic financial management principles, and a business philosophy of integrity and efficiency.