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New Orleans owes millions for city projects, councilmembers say

“There’s one firm who’s owed $7 million for projects completed in 2022,” Councilmember At-Large, Helena Moreno says.

NEW ORLEANS — The city of New Orleans owes millions of dollars to people and companies who have worked for the city.

“There’s one firm who’s owed $7 million for projects completed in 2022,” Councilmember At-Large, Helena Moreno says.

Some teens who participated in the city’s summer job program have still not been paid adequately, months after their last day on the job.

Councilmembers says this has become a pattern. They say the city not paying its bills has been impacting people’s lives.

“Then (the contracted companies') employees are not getting paid which means the employees rent’s not getting paid, or their mortgage or their insurance all their expenses it’s a trickle down effect,” Council Member Lesli Harris said.

Councilmembers say this has been an ongoing issue for decades, but they say it’s never been this bad before. They say it’s to the point that some contractors won’t do business with the city at all.

The company they hired to fix the traffic light, pulled out after waiting for their checks. Councilmember Morrell said now, no other company has picked up the bid.

So what’s the problem? According to Moreno, money is not the issue.

The city’s workforce development office says some teens have not been paid because information on their applications and paperwork was incorrect. When the air went out at NOPD Headquarters, it was revealed the city couldn’t get it fixed immediately because the contractor cut the city off as a result of not getting paid. At that time, the Mayor’s office told us contractors haven’t put in all their information into a new online system they use. The system has been in place since 2019.

Moreno said the city shouldn’t be pointing fingers.

“It’s always everybody else’s fault but the city’s. I think it’s the absolute opposite. I do think it’s the city’s fault I do think it’s the department of finance’s fault,” she said.

Moreno is now putting forth an ordinance to have the legislative auditor come in and look at the city’s accounts and payment systems.

“The only way there can be no refusal of records and all of that is if we got the legislative auditor involved. he has the legal right to go in and take a look at anything that has to do with the appropriation of tax dollars,” Moreno said.

A move, she calls unwanted but necessary.

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