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S&WB could be leaving $140 million on the table, City Council says

Agency says it could be due to inaccurate bills

The amount of money owed to the Sewerage & Water Board has gone up the last two years -- but collections? They’ve apparently gone down.

During a meeting Tuesday of the City Council’s Public Works Committee, members said the agency could be leaving anywhere between $130 million and $140 million on the table. The committee members said the money has not been collected from customers for water and sewer service.

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But that amount isn’t certain since it’s not clear if all the unpaid bills are accurate, said Council Vice President Helena Moreno.

“This is mind-boggling,” Moreno said.

S&WB Executive Director Ghassan Korban said it is likely the case that the council’s figures are off, meaning the amount could be lower or even higher.

“There's certainly a factor in there in terms of inaccurate billings,” Korban told the council committee.

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The agency’s long-standing billing issues took center stage as S&WB officials gave an update on its finances. And there was obvious frustration from council members and S&WB leaders that this topic was being discussed yet again.

“There's a certain expectation in New Orleans that things won't be fixed completely, but I think billing is different,” Public Works Committee Chairman Joe Giarrusso said.

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Council President Jason Williams said that he understands the S&WB has many pressing issues, but that badly-needed money could help to solve some of them.

He said he can’t imagine any major company, such as Coca-Cola or Home Depot, possibly leaving money on the table.

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“That’s not $10,000 we’re leaving on the table,” Moreno added. “That’s still a lot of money, but this is possibly $140 million.

Korban said the S&WB is trying to get bills accurate, and he said changes have been made, including hiring more meter readers and finding meters that haven’t been read in some time.

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“There isn’t one action that's going to solve this,” he said. “There’s no magic wand, unfortunately.”

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