BP Denies Gulfport's Damages Claim

BP has told the city of Gulfport, Miss., that it has no documents to support a claim for $11.8 million in compensation for community damages from the Deepwater Horizon oil-rig explosion and spill.

The Sun Herald reports that the city released the Dec. 13 letter on Monday at the newspaper's request.

City officials hope the claim can be settled without a lawsuit.

BP initially offered the city $76,000 for tax losses, but the city previously rejected that offer.

Specifically, the Sun Herald reports BP says the city failed to document any sales or property tax losses from the oil spill through the height of the 2010 tourist season. The city sought almost $4.2 million in lost sales taxes, $1.5 million for property taxes and $6.1 million in "community damages."