NEW ORLEANS — New trash haulers in New Orleans will finally get paid.
IV Waste and Waste Pro hit the streets of New Orleans bright and early November 7, despite not having city funding in place for their work.
Until Thursday, city council members had refused to approve the money.
Council President Helena Moreno criticized the city administration for entering into the new contracts while still legally obligated to pay the old trash hauler Metro Service Group.
Metro’s bankruptcy filing prevents the city from terminating the company’s contract.
"We’re paying them along with continuing to pay Metro,” Moreno said. “We’re really paying for more than what we’re getting.”
Council Vice President J.P. Morrell has now authored an ordinance requiring council input on large city contracts.
“I think having the council more involved in the contacting process, we could really address some of these concerns on the front end,” Morrell said.
Councilman Eugene Green suggested the city quickly move to settle with Metro by offering a buyout.
The company’s seven-year agreement was set to expire in 2024.
The city rebid the contract citing unreliable trash pickup.
“The contractors who were doing that work, I think were doing their best until a lot of circumstances happened, and I hope that we’ll be fair,” Green said.
The council voted 6-0 to authorize $2.5 million to pay the new contractors through the end of the year.
“From my perspective, I just want the residents' trash picked up,” Councilman Joe Giarrusso said.
City CAO Gilbert Montano admitted the way the contract was handled by the administration was a blueprint for what not to do in the future. He promised to improve communications with the council going forward.
“I want to applaud the council and thank the council for being able to work with us these last few days to ensure that we have no inconsistencies with trash and trash pickup,” Montano said.
A federal bankruptcy judge is now expected to consider whether to lift the mandatory stay on Metro’s contract, January 12.
Between now and then, another judge has been assigned to potentially mediate a settlement between Metro and the city.