NEW ORLEANS - Today, New Orleans Civil District Court granted a Temporary Restraining Order (TRO) filed by several Orleans Parish schools preventing the City of New Orleans’ Finance Department from continuing to collect millions of dollars in fees in violation of the law.

On August 13, the New Orleans City Council learned the City’s Finance Department had continued to collect fees in direct defiance of an April ordinance, authored by Councilmember Morrell and supported by the Council, prohibiting the practice. The ordinance, which was returned by the Mayor on April 21 without a veto, directs the Finance Department to collect taxes without a charge for the Orleans Parish School Board (OPSB) through the end of 2026.

In response to today's court ruling, the City’s Finance Committee Department through the Administration’s outside counsel informed us that the City has agreed it will not deduct fees for collections of OPSB’s sales and use taxes or ad valorem taxes through tax year 2026. The Orleans Parish School Board also filed a preliminary injunction, which is now moot.

“I would prefer not to fight but our kids deserve what is due to them,” said District A and Budget Chair Councilmember Joe Giarrusso. “I am glad common sense prevailed and we can focus on getting the children of New Orleans their funding.

"I’m elated the Judge agreed with the Council that the ordinance I authored, which ends the illegal fee, is the governing law,” said Council President JP Morrell. “It’s time for the Cantrell Administration to stop fighting OPSB and deliver the $20 million owed to our kids, families, and teachers.”