New Orleans City Council Votes for 33% Increase in Sanitation Fee Amid Protests

TL/DR –

The New Orleans City Council has approved a 33% increase in the city’s monthly sanitation fee, raising it from $24 to $32.25 for residential addresses and from $48 to $64.50 for businesses. The fee increase is expected to close a structural deficit in the sanitation department, which has grown to $25 million since the last fee increase in 2011. Critics argue that the city is charging more for less service, noting cutbacks on trash hauls amid the increased fees.

New Orleans City Council Adopts 33% Increase in Sanitation Fee Despite Residents’ Objections

The New Orleans City Council approved a 33% hike in the city’s sanitation fee on a 6-1 vote on Thursday, despite resident objections at two prior town hall meetings and just before the vote. From Oct. 1, the fee will rise from $24 to $32.25 for residential addresses, and $48 to $64.50 for businesses, with the increases holding till the end of 2023.

Council President JP Morrell stated the increased fees will address the sanitation department’s $25 million structural deficit, last complemented by a fee hike in 2011. He added that henceforth, the fee will align with the cost of service.

“There has been a lack of transparency surrounding the sanitation fee. Today’s proposal brings correlation with what the sanitation fee is and what the actual sanitation service costs,” Morrell said.

While the Mayor’s office claims the proposal includes major reforms for a more accurate and sustainable sanitation system, critics argue it as unfair, charging more for less service.

‘We are not the city’s piggy bank’

The city’s sanitation service has been in a deficit for years, worsened by Mayor LaToya Cantrell’s administration’s restructuring contracts with trash haulers after Hurricane Ida to improve service reliability. Yet despite reducing weekly pickups, the sanitation deficit has quintupled since 2023.

Residents have criticized the city’s lack of efficiency, calling for the administration to rectify errors in the service location list to prevent overpaying before imposing a significant fee increase.

Audit finds issues

A recent report by the Louisiana Legislative Auditor’s office found discrepancies between the list of service locations and those receiving bills from the Sewerage & Water Board, which collects the fee on the city’s behalf. The Moreno administration is now in process with contractors to rectify the issue by March 2027.

Additionally, Moreno’s team plans to use part of the new fee revenue to hire 10 new employees to address illegal dumping complaints. “The guiding principle in all this is to provide the most favorable fee to ratepayers while covering the cost of service,” City Sanitation Director Matt Torri stated.

Yet some residents argue the fee increase is too abrupt, especially for those on a fixed income, questioning whether the cost of recycling is worth the financial burden that led to the fee increase. Morrell, speaking before the council’s vote on Thursday, said the city could cut recycling, a move that could provide the needed savings to resume twice-weekly pickups.

Council members Lesli Harris and Freddie King III, despite admitting their votes for the new fees were difficult, said they were necessary to prevent service disruptions due to unpaid contractors. “We’re up against a real timeline coming up, potentially falling off the financial cliff if we don’t start having some revenue generating measures,” King said.

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