Sewerage & Water Board director says proposed state oversight of utility would be ‘disruptive’
By Sabrina Wilson
Source: FOX 8
April 2, 2024
NEW ORLEANS (WVUE) – The man in charge of the day-to-day operations of the New Orleans Sewerage & Water Board told the City Council on Tuesday (April 2) that he objects to an oversight board proposed by Gov. Jeff Landry’s task force on the utility.
Landry’s panel recommended last month that the legislature create a new Recovery District Board to oversee and manage the Sewerage & Water Board. But S&WB executive director Ghassan Korban told the council that adding another layer of bureaucracy would be a bad idea.
“I think that would be terribly distracting, disruptive at the time we have momentum,” Korban said. “There’s a lot of things happening. I don’t see the value whatsoever. I mean, I’m for help from all levels of government where we ask for it and we can use it. But that concept seems very, very disruptive to me.”
“The district would remove operational control further from city government. This would weaken the council’s oversight and public accountability,” said Rebecca Mowbray, president and CEO of the BGR.
City Council members, who were not included in Landry’s task force, also spoke out against the recommendation.
“This idea of a Recovery District for two years, I think, is a bad idea affirmatively,” Councilman Joe Giarrusso said. “No. 1, you have a Sewerage & Water Board right now. You have technical advisers to that board, you have the mayor, you have the council. The idea of taking that board who currently exists, then for two years transitioning to a board almost none of whom have local ties and knowledge, and then turning around in 24 months and turning it over to yet a third board makes no sense.”
Councilman Oliver Thomas said state assistance should instead be focused on modernizing the utility’s infrastructure and replacing equipment that is more than a century old.
“One of the biggest solutions is money,” Thomas said. “And I think that if the state really wants to be a partner and really just doesn’t want to highlight deficiencies and pick on this city, either because of its demographics or because for too long it’s been New Orleans versus the rest of the state, maybe someone with the governor, the task force, our legislature, should sit down privately and let’s talk about revenue and efforts to have fair share.”
Councilmembers and residents acknowledged the agency has problems, including billing and drainage issues.
Resident Larry Morgan complained about flooding that occurred recently during heavy rainfall.
“It’s very sad that I have to be up here today to express the anger of the people that had to throw out mattresses, sofas and all that from this last rain,” he said.
Council president Helena Moreno urged the S&WB to rectify billing issues and to take over catch basin cleaning duties from the city’s Public Works Department.
“I think if you fix the billing issues, you immediately consolidate drainage, that’s low-hanging fruit,” Moreno said. “That’s been low-hanging fruit for way too long. I think you get those two things done, you start to regain trust in your organization.”
Council members also pressed Korban and his team for answers about why cost estimates for a new S&WB power complex were not accurate. They said the agency is now requesting that the council provide more money for the power station targeted to open in 2025.
“The bid went up by $21 million,” Giarrusso said.
Steve Nelson, S&WB’s general superintendent said, “There were specific line items that the contractor bid on that were not included in the cost estimate upfront.”
Council vice president J.P. Morrell criticized the agency for spending money on other luxuries, such as an external public relations firm.
“You want $21 million? Cancel your PR contract and put that in the till and I’m happy to find you $21 million to rescue this project,” Morrell said.
Korban answered, “Our communications office is one person,” and said expansion of that internal department has been denied.
“Because Civil Service is not allowing us to hire more,” Korban said.
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