UPDATE (April 4, 2024): During Thursday’s council meeting, council members voted to amend the capital budget in order for the Sewerage and Water Board to receive $8 million for the new substation.
However, the council said added they would be reluctant to pay back the SWBNO for the $13 million if the bill authorizing a state takeover becomes a law.
The reason is because they say the recovery district would be prioritizing paying back judgements, which they admit is important, but say the priorities should be power and drainage.
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NEW ORLEANS (WGNO) — The New Orleans City Council is getting answers from the Sewerage and Water Board on the problems pointed out by a state task force.
During a budget committee meeting on Tuesday, April 2, the Sewerage and Water Board of New Orleans admitted it’s $21 million short in completing construction of the new power station.
The city’s chief administrative officer, Gilbert Montaño, said the city could amend the capital budget to provide the Sewerage and Water Board with $8 million.
Sewerage and Water Board leaders said they could temporarily halt two projects for the remainder.
“So, we will have the $13 million available temporarily to allow us for that,” said SWBNO Executive Director Ghassan Korban.
Councilman Joe Giarrusso interjected, “Will those two projects have anything at all to do with any power at the Sewerage and Water Board?” Korban responded, “No.”
The Sewerage and Water Board was also questioned about the department’s billing issues.
“I don’t want to beat this horse to death, but we have to get the billing problem solved as quickly as possible,” Giarrusso said. “It can’t just be [automated meter infrastructure] is going to be the cure-all for everything.”
The Sewerage and Water Board replied that it would be hiring an outside company to review and solve disputed accounts.
As for a possible state takeover, Korban said, “I think that would be terribly distracting, disruptive at the time where we have momentum. There’s a lot of things happening. I don’t see the value whatsoever.”
Council Vice President JP Morrell says the council opposes a state takeover while Giarrusso says he agrees with some of the recommendations.
“I think there’s some of them that we’ve always been proposing,” Giarrusso said. “There’s some of them that probably need to be tweaked to be in the right place. And there’s some of them, like the recovery district, we just flat out disagree with.”
The council will vote on an ordinance that would allow the Sewerage and Water Board to receive the $8 million during their next regular meeting.
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