Posted on July 30, 2025
Earlier this month, Louisiana Gov. Jeff Landry scrapped a $3 billion coastal restoration plan that the 2010 Deepwater Horizon Oil Spill was going to help pay for. That $3 billion cancellation could be good news to Vermilion and Cameron parishes.
The plan was called the Mid-Barataria Sediment Diversion.
Originally planned as a large-scale restoration project, the sediment diversion was devised to reconnect the Mississippi River to the Barataria Basin, with the intent to rebuild marshes in Plaquemine Parish.
The project aimed to rebuild more than 20 square miles of land over a 50-year period in Southeast Louisiana, combating rising sea levels and coastal erosion along the Gulf.
Five years ago, the state budgeted $800,000 for the project, and over time, the price tag grew to over $2 billion.
Gov. Jeff Landry said the state cannot afford to help fund the project.
“The Mid-Barataria Sediment Diversion project, in its current form, is no longer financially or practically viable. Since 2016, the cost of this project has doubled and is now expected to exceed the $2 billion budget. This level of spending is unsustainable,” said Gov. Landry.
“Beyond the financial concerns, the MBSD threatens Louisiana’s seafood industry, our coastal culture, and the livelihoods of our fishermen—people who have sustained our state for generations. We cannot continue down this broken path.
“CPRA is now moving forward with another coastal restoration plan—one that balances our environmental goals with the needs of all citizens, businesses, and industries.”
The $2.92 billion was to be paid from BP oil spill funds, and the overall contract included a maximum guaranteed price. But cost increases caused by the state would not have been covered under the price guarantee.
Sen. Bob Hensgens said that by the state not dedicating $2.92 billion of the BP oil spill fund to that one project, it could free up BP funding for projects that will help stop coastal erosion in Vermilion and Cameron.
“Canceling the project gives the state the ability to spread those [BP] dollars to the entire coastline, helping the southwest coastline,” said Sen. Bob Hensgens.
Rep. Ryan Bourriaque stated that the state must undergo a project review process with the trustees of the BP funds to identify which projects can be funded.
“We will have to wait and see how that impacts the funding source, “ added Bourriaque.
