The city of New Orleans and the Orleans school board have reached a settlement in the long-running dispute over what the board should pay the city to collect taxes for them.
Mayor Helena Moreno made the announcement Tuesday afternoon on The Newell Normand Show on WWL.
According to New Orleans Chief Administrative Officer Joe Giarrusso, the city agreed to drop the fee for collecting property taxes, and reduce the fee it charges for collecting sales taxes.
New Orleans will also refund to the school system some of the fees it collected, to the tune of $6 million this year, and $2 million a year for the next 15 years. The school will also receive $4 million from the city's lease with Caesars for the downtown casino, starting in 2030.
The repayment will require city council approval.
Moreno made ending the long-running dispute a plank of her campaign platform. The New Orleans City Council thought it had settled the issue in 2024 with a promise to pay the school board $90 million over a period of years. That settlement collapsed when then-Mayor LaToya Cantrell said she never agreed to it.
