Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the School Finance Settlement topic
No spam. Unsubscribe anytime.
Orleans Parish School Board approves settlement with City of New Orleans, 6–1
Summary
The Orleans Parish School Board voted 6–1 on May 5, 2026 to approve a settlement with the City of New Orleans that ends certain city charges in perpetuity and provides upfront and ongoing payments to the district while preserving a stream of Caesars/Harris revenue for students with the greatest needs.
The Orleans Parish School Board voted 6–1 on May 5, 2026 to approve a settlement with the City of New Orleans resolving longstanding litigation between the district and the city.
General counsel Kathy Moss read the terms recommended by legal staff: the city will cease charging the district ad valorem taxes and city pension obligations in perpetuity; the city will pay the district $6 million immediately and $2 million annually for 15 years beginning in 2027; the district will pay the city a 1.5% fee on the collection of sales and use taxes beginning January 2027; and the district will receive $4 million per year in Caesars (Harris) payments from the city beginning in calendar year 2030, continuing in perpetuity so long as a lease remains in effect.
Board discussion before the vote ranged from praise for negotiators to concern about the size and distribution of payments. One board member said they would oppose the settlement, arguing the package did not fully account for what the district is owed and could place burdens on charter management organizations (CMOs). Other members acknowledged those concerns but characterized the agreement as the most practical way to secure funds now and to permanently halt charges they described during negotiations as unlawful.
Several board members urged a follow-up resolution to ensure the initial $6 million and subsequent annual payments are used first to replenish a previously drawn $20 million from the district’s fund balance. Supporters said restoring the fund balance should be a priority to protect the district’s long-term fiscal standing.
Board President Miss Emmes thanked legal counsel, city negotiators and council members involved in the talks and framed the settlement as protecting funding for vulnerable students. The board noted a mayoral press conference was scheduled for 2:30 p.m.
The motion to approve (action item 2.1) was moved by Mr. Zervigon and seconded by Mr. Parker. On roll call the board recorded six votes in favor and one opposed; the chair announced the item passed. The meeting adjourned at 10:44 a.m.
