CLAIM SUMMARY/DETERMINATION FORM

FACTS

On or about 20 April 2010, the Mobile Offshore Drilling Unit Deepwater Horizon (Deepwater Horizon) 

exploded and sank in the Gulf of Mexico. As a result of the explosion and sinking, oil was discharged. 

The Coast Guard designated the source of the discharge and identified BP as a responsible party (RP). 

BP accepted the designation and advertised its OPA claims process. On 23 August 2010, the Gulf Coast 

Claims Facility (GCCF) began accepting and adjudicating certain individual and business claims on 

behalf of BP.

CLAIM AND CLAIMANT

On 30 November 2011, Raymond T. Zacke, (the Claimant), presented an Optional Oil Spill Liability 

Trust Fund (OSLTF) Claim Form to the National Pollution Funds Center (NPFC) seeking $24,485.00 in 

loss of profits and impairment of earnings capacity that allegedly resulted from the Deepwater Horizon oil 

spill.

At the time of the Deepwater Horizon oil spill, the Claimant worked as a captain for Crowley Marine 

Services (Crowley) in Lake Charles, Louisiana.1

 The Claimant asserts that due to the Deepwater Horizon 

oil spill, his working hours were reduced.2

 As a result of the reduced working hours, the Claimant asserts 

he suffered reduced income.3

APPLICABLE LAW

The Oil Pollution Act of 1990 (OPA) provides that each responsible party for a vessel or facility from 

which oil is discharged into or upon the navigable waters or adjoining shorelines or exclusive economic 

zone is liable for removal costs and damages. 33 U.S.C. § 2702(a). Damages include the loss of profits 

or impairment of earning capacity due to the injury, destruction or loss of real property, personal property, 

or natural resources, which shall be recoverable by any claimant. 33 U.S.C. § 2702(b)(2)(E).

The OSLTF, which is administered by the NPFC, is available to pay claims for uncompensated damages 

pursuant to 33 U.S.C. § 2712(a)(4) and § 2713 and the OSLTF claims adjudication regulations at 33 

C.F.R. Part 136. With certain exceptions a claim must first be presented to the responsible party. 33 

U.S.C. § 2713(a). If the claim is either denied or not settled by any person by payment within 90 days 

after the date on which it was presented, the claimant may elect to commence an action in court or present 

the claim to the OSLTF. 33 U.S.C. § 2713(c).

Pursuant to the claims regulations, 33 C.F.R. § 136.233, a claimant must establish the following to prove 

loss of profits or impairment of earning capacity:

(a) That real or personal property or natural resources have been injured, destroyed, or lost.

1 Letter from the Claimant to the NPFC dated 21 October 2011.

2 Letter from the Claimant to the NPFC dated 21 October 2011.

3 Optional OSLTF Claim Form signed 22 November 2011 and received 30 November 2011.

Claim Number N10036-1588

Claimant Raymond T. Zacke 

Type of Claimant Private (US) 

Type of Claim Loss of Profits and Impairment of Earnings Capacity

Amount Requested $24,485.00

 
(b) That the claimant’s income was reduced as a consequence of injury to, destruction of, or loss of 

property or natural resources, and the amount of that reduction.

(c) The amount of the claimant’s profits or earnings in comparable periods and during the period 

when the claimed loss or impairment was suffered, as established by income tax returns, financial 

statements, and similar documents. In addition, comparative figures for profits or earnings for the 

same or similar activities outside of the area affected by the incident also must be established.

(d) Whether alternative employment or business was available and undertaken and, if so, the amount 

of income received. All income that a claimant received as a result of the incident must be 

clearly indicated and any saved overhead and other normal expenses not incurred as a result of 

the incident must be established.

Under 33 U.S.C. § 2702(b)(2)(E) and 33 C.F.R. Part 136, a claimant must prove that any loss of income 

was due to injury, destruction or loss of real or personal property or of a natural resource as a result of a 

discharge or substantial threat of a discharge of oil. Under 33 C.F.R. § 136.105(a) and § 136.105(e)(6), 

the claimant bears the burden of providing to the NPFC all evidence, information, and documentation 

deemed necessary by the Director, NPFC, to support the claim.

Under 33 C.F.R. § 136.235, the amount of compensation allowable for a claim involving loss of profits or 

impairment of earning capacity is limited to the actual net reduction or loss of earnings or profits suffered. 

Calculations for net reductions or losses must clearly reflect adjustments for:

(a) All income resulting from the incident;

(b) All income from alternative employment or business undertaken;

(c) Potential income from alternative employment or business not undertaken, but reasonably 

available;

(d) Any saved overhead or normal expenses not incurred as a result of the incident; and

(e) State, local, and Federal taxes.

DETERMINATION OF LOSS

The Claimant’s Submission to the OSLTF

In support of his claim, the Claimant presented the following documentation to the NPFC:

- Optional Oil Spill Liability Trust Fund (OSLTF) Claim Form signed 22 November 2011 and 

received 30 November 2011;

- Letter from the Claimant to the NPFC dated 21 October 2011;

- Memorandum from Crowley Marine Services dated 12 August 2010;

- GCCF Letter dated 12 October 2011;

- GCCF Denial Letter dated 08 June 2011;

- Federal Income Tax Summary for the Claimant for 2009 and 2010;

- Federal Income Tax Summary for the Claimant for 2009 and 2008;

- Federal Income Tax Summary for the Claimant for 2008 and 2007.

Prior to presenting this claim to the NPFC, the Claimant filed an Interim Payment Claim Quarter II 2011 

(ICQ22011) with the GCCF for loss of profits and impairment of earnings capacity on 31 May 2011 in 

the amount of $24,485.00.4

 The Claimant was assigned Claimant ID # 3512609 and Claim ID # 

9392071. The ICQ22011 was denied on 08 June 2011.5

Based upon the evidence provided by the Claimant, it appears that the subject matter for Claimant’s 

GCCF claim is the same as the subject matter of his claim before the NPFC, i.e., that due to the 

Deepwater Horizon oil spill, the Claimant suffered reduced work hours and as a result suffered reduced 

4 Report from the GCCF dated 23 January 2011.

5 GCCF Denial Letter dated 08 June 2011.

 
income. The NPFC deems that Claimant’s GCCF claim as properly presented to the RP and properly 

presented to the NPFC. Accordingly, this Claim Summary Determination for NPFC claim N10036-1588 

considers and addresses the claim presented to the responsible party; specifically, GCCF Claim ID # 

9392071 (ICQ22011). 

NPFC Determination

The claim is denied because the Claimant failed to prove that the alleged loss in the amount of $24,485.00 

is due to the injury, destruction or loss of property or natural resources as a result of a discharge or 

substantial threat of a discharge of oil.

The Claimant asserts that due to the Deepwater Horizon oil spill, his working hours at Crowley were 

reduced.6

 As a result of the reduced working hours, the Claimant asserts he suffered reduced income.7 

The Claimant, however, failed to provide a connection between the Deepwater Horizon oil spill and a 

reduction in income from his reduced working hours at Crowley. The Claimant included in his 

submission to the NPFC, personal financial documentation as well as a memorandum from Crowley 

discussing the reduction in workforce hours.8

In an effort to verify the effect of the Deepwater Horizon oil spill on Crowley, and by extension, the 

Claimant’s income, the NPFC made a formal request for information from Crowley. The NPFC 

requested information concerning the effect of the Deepwater Horizon oil spill and the subsequent drilling 

moratorium on the Claimant’s employment with Crowley.9

 The NPFC was informed that, “[Crowley] did 

not have any directly cancelled work due to the Deepwater Horizon incident.”10 Furthermore, the NPFC 

was informed that any slowdown in work could not be attributed to merely the oil spill, but also the 

drilling moratorium as well as the general economic slowdown.11 Accordingly, the Claimant failed to 

prove a connection between the reduction of his working hours at Crowley and the Deepwater Horizon oil 

spill. 

This claim is denied because Claimant failed to meet his burden to demonstrate that the alleged loss is due 

to the injury, destruction or loss of property or natural resources as a result of a discharge or substantial 

threat of a discharge of oil.

Claim Supervisor: NPFC Claims Adjudication Division

Date of Review: 2/7/12

Supervisor’s Actions: Denial approved

Supervisor’s Comments:

6 Letter from the Claimant to the NPFC dated 21 October 2011.

7 Optional OSLTF Claim Form signed 22 November 2011 and received 30 November 2011. 8 For a complete listing of the Claimant’s submission to the NPFC, see The Claimant’s Submission to the OSLTF, 

above.

9 NPFC Request for Employer Information dated 17 January 2012.

10 Email from Crowley to the NPFC dated 25 January 2012. 11 Email from Crowley to the NPFC dated 25 January 2012.