Council approves Waterworks & Sewage Fund amendment amid warnings about enterprise fund shortfall

The Plaquemines Parish Council on Feb. 12 approved an amendment to the 2026 Waterworks and Sewage Fund operating budget intended to shore up near-term deficits after a millage failed in other districts. Council Member Champagne and others warned that relying on one-time transfers from undesignated or surplus funds is unsustainable and could jeopardize future federal grants if enterprise funds are not self-supporting.

Champagne noted the parish had already contributed roughly $3.1 million to bolster the account and was contemplating another $2 million to cover operating needs. A rate study cited during discussion showed recommended rate increases of more than 50% to cover fixed and operating costs, Champagne said. Council members stressed the need to consider rate changes, millage options or other structural fixes rather than repeatedly tapping general reserves.

Members also flagged critical upcoming capital work, including the Port Sulphur clear-well project, as priorities that depend on long-term water-fund sustainability. The ordinance amending the Waterworks and Sewage Fund passed on the record with seven votes in favor and one absence (recorded as 'passes 7 with 1 absent').

Next steps: Council and administration signaled they will return with proposals for rate increases, requests for voter action where required and further review of enterprise fund operations to preserve eligibility for future grant programs.