White House, BP will discuss third party to oversee escrow account

The White House is expected to work with BP during Wednesday's meetings to determine who will oversee a proposed escrow fund to pay for the Gulf of Mexico oil spill. 

President Barack Obama, BP CEO Tony Hayward and Carl-Henric Svanberg, BP's chairman of the board, could choose a third party administrator during the discussions to oversee the proposed $20 billion escrow account, White House officials said Tuesday night. 

Senate Democrats are pressing BP to set up a $20 billion escrow account to ensure that money is set aside to pay for environmental and economic costs. 

Alaska Sen. Mark Begich (D) is introducing legislation requiring companies involved in oil spills to set up an escrow account so individuals and businesses requesting the funds won't have to wait 20 years, like many did after the 1989 Exxon Valdez disaster, while court cases dragged out. 

Begich hasn't put a number on his request but said it should cover the cost of the spill. 

Sen. Lisa Murkowski (R-Alaska) also has introduced legislation that would help speed along the claims process so people don't have to wait to get paid. 

Cost estimates of the oil spill in the Gulf of Mexico have ranged wildly but conservative estimates indicate the spill could cost at least $15 billion. So far, BP has spent just over $1.6 billion and paid out $63 million in claims to Gulf businesses.