The city of New Orleans and Richard's Disposal Inc. have come to an agreement for trash cleanup less than 24 hours before an Orleans Parish Civil District Court judge was set to hear an injunction filed by the waste disposal company.
Richard's was suing the city for allegedly trying to break its sanitation contract in bad faith and in violation of several Louisiana public bid laws.
On Thursday morning, Mayor Mitch Landrieu's office announced that Richard's will keep its contract after the waste company reduced its monthly price and added curbside recycling collection.
Two weeks ago, 12 companies showed up to a mandatory meeting for anyone wishing to make a bid on a contract to pick up New Orleans trash. The deal with Richard's – which services the Algiers, Uptown, and Central City neighborhoods – renders any bids moot.
Richard's signed a disposal contract with New Orleans under former Mayor Ray Nagin, which was to end in 2013. Their original price was cut by 10 percent in January to help the city deal with a more than $60 million budget shortfall. The new deal under Landrieu reduces prices again and extends Richard's contract through 2014.
New Orleans attorneys James Williams, Kim Boyle and Allen Miller represented Richard's Disposal in this case.
Orleans Parish Case 2010-11834.