Most Jefferson Parish Council members said they would not support raising water and sewerage rates if the failure of tax propositions for those services leads to a possible $20-million-plus deficit in 2014
Most Jefferson Parish Council members said they will not support raising water and sewerage rates if another failure of tax propositions for those services leads to a possible $20 million-plus deficit in 2014. Their no-rate-increase pledge comes as the council meets Thursday morning for a post-mortem on the property tax proposals that voters rejected Saturday, and to discuss whether to send the propositions back to the ballot this fall.
It will likely be a tense session, as council Chairman Chris Roberts and other officials have questioned the actions of Parish President John Young's administration ahead of last week's referendum. The administration has said it did enough to publicize the measures.
The council meeting begins at 10 a.m. at the Joseph S. Yenni Building, 1221 Elmwood Park Blvd., Elmwood.
Voters across most of the parish defeated two separate propositions to extend water and sewerage taxes. Those levies may not be collected for 2014 unless voters approve them in a second referendum later this year. Parish officials plan to discuss whether to put the proposals in the Oct. 19 ballot, but there are legal questions as to whether that may be done so soon after Saturday's defeats.
Without revenue from those taxes, the Water and Sewerage departments would face a combined annual deficit of $20 million or more, starting next year.
In part due to the taxes, parish residents pay some of the lowest water and sewerage rates in the region. Neither council members, nor Young, have suggested rate increases if the taxes aren't approved. On the contrary, six council members said this week they would not support rate increases to address a deficit.
"Plan 'A' for me is to immediately unify and clarify the message in educating our voters, and move to place the issues 'unobstructed' (on the ballot) for reconsideration. Plan 'B' would simply have to be drastic cuts in services, which no one wants to see," Councilman Ben Zahn said in a statement, echoing a position taken by other officials.
Aside from Zahn, Roberts and council members Elton Lagasse, Ricky Templet, Paul Johnston and Cynthia Lee-Sheng also said they would not support rate increases. Councilman Mark Spears III said he asked the administration for more information and was "waiting on a response in order to make an informed decision."
Young, in a statement, said his "preferred option would be to place the matter back onto the ballot for reconsideration by our citizens at the earliest available date. However, it is important that there be a consensus among all involved regarding the best path forward, and we are hopeful that such a consensus can be reached" at the council meeting.
Jefferson's water system serves all unincorporated areas as well as Kenner, Gretna, Harahan and Jean Lafitte. The sewerage system covers unincorporated areas and Jean Lafitte.
Assessor Tom Capella and Sheriff Newell Normand are expected to attend the meeting. The two officials have raised questions about potential obstacles to getting the water and sewerage taxes approved in time for this year's tax bills, which are generally mailed by Dec. 1.
Those issues, to be discussed at Thursday's meeting, include:
- Whether the taxes' expiration on Dec. 31, 2012, means they may not be placed on the ballot as renewals. That would trigger additional approvals, including by the State Bond Commission, before they go back to voters. That in turn would likely prevent the measures from making it on the October ballot.
- Whether approval by voters at the next available referendum date, Nov. 16, would be too late to collect the taxes in the bills sent at the end of this year. Capella has said the tax rolls are certified Nov. 15. Normand has said it takes a few weeks to certify voting results and get the tax data in the database of the Sheriff's Office, which mails the tax bills. Normand has said delaying those bills could lead to late payments and penalties for taxpayers.
Stay on NOLA.com and follow staff writer Manuel Torres on Twitter at @1manueltorres for live updates during Thursday's council meeting.