Bogalusa seeks $3.25M in bonds as financial, environmental issues mount

(The Center Square) − Bogalusa is seeking state approval for more than $3.25 million in bond financing to cover urgent infrastructure needs and general operating expenses — amid a swirl of fiscal mismanagement, environmental violations and criminal investigations involving city leadership.

Applications submitted to the Louisiana State Bond Commission show Bogalusa is requesting up to $1.75 million in taxable sales tax bonds, with an interest rate not exceeding 0.95% and a term of up to 22 years.

The money would go toward upgrading the city’s aging sewer infrastructure, including the installation of two replacement open screw pumps.

In a separate request, the city is seeking up to $1.5 million in revenue anticipation notes, maturing no later than March 2026 at a variable rate capped at 6%, to help meet current expenses.

But the requests come as state officials raise serious concerns about Bogalusa’s financial controls and governance.

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Bogalusa’s sewer system has become a flashpoint in the city’s downward spiral. The Louisiana Department of Environmental Quality is now conducting a criminal investigation into repeated sewage overflows and unaddressed infrastructure failures.

As The Center Square previously reported, the Louisiana Department of Health issued a compliance order detailing five statutory violations tied to environmental and public health hazards.

Inspectors documented raw sewage leaking into ditches, storm drains and even homes. Some of the most alarming findings include:

Emergency pumps replacing failed screw pumps at the city’s main wastewater treatment plant;Multiple lift stations operating with only one functioning pump;Overflows caused by broken mains, collapsed pipes, and power outages;Lack of a certified operator available for timely on-site response;A January 2025 spill of 1,300 gallons near Bogalusa Creek — just months after a similar incident in the same location that lasted 13 days.

In some cases, city officials failed to report overflows, as required by law.

The city has said it disinfected contaminated areas and issued work orders to repair damage, but followup inspections have found that corrective actions were not always completed.

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Bogalusa’s financial obligations continue to grow. The city currently owes more than $1 million to the IRS and nearly $300,000 to the state, according to state officials.

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