New Orleans Faces $23M in Unpaid Court Judgments

The Sewerage and Water Board of New Orleans owes over $23 million in unpaid court judgments and settlements. These debts stretch back to 1999 and remain unresolved as of December 2024. The actual amount owed is even higher once judicial interest is included in the calculations.

A recent report reveals the board has 210 separate judgments, consent orders, and settlement agreements totalling $23,475,602. Nearly 70% of these cases—around 145—involve private homeowners or individuals. Most disputes stem from flooding damage caused by sewer overflows or pump failures after Hurricane Katrina. Claims often cite negligence in infrastructure upkeep, with payouts ranging from $10,000 to $50,000 per person. Low-lying areas like the Lower Ninth Ward feature repeatedly in these cases.

The board also faces multiple six-figure awards to contractors, utility companies, and groups of residents. Many of the largest judgments relate to long-running legal battles over flood-control and drainage projects. Smaller payouts cover individual property damage, vehicle claims, and insurer subrogation cases. Under Louisiana law, political entities must report outstanding judgments exceeding $7.5 million. The Sewerage and Water Board was the only organisation in the state to meet this threshold and submit its list of liabilities. As of the latest fiscal report, the board has neither paid nor set aside funds for all listed debts.

The unpaid judgments highlight ongoing financial and legal challenges for the Sewerage and Water Board. With debts dating back decades and interest continuing to accrue, the total liability now exceeds the reported $23 million. The board remains responsible for addressing these claims while managing future infrastructure demands.