WWNO skyline header graphic
Play Live Radio
Next Up:
0:00
0:00
0:00 0:00
Available On Air Stations
Local Newscast
Hear the latest from the WWNO/WRKF Newsroom.

Support local, independent journalism on WWNO with your Member Fest gift now! Click the donate button or Call 844-790-1094.

Privatization of state agency yields early savings

Legislative auditors say a contract with a private company based in Mandeville to privatize and run much of the claims processing and management handled by the state's Office of Risk Management has been producing results ahead of schedules.

Emily Wilson, a performance audit manager for the state's legislative auditor's office, said Monday that F.A. Richard and Associates Inc. saved Louisiana a net amount of $1.4 million in the 2011 fiscal year.

FARA's contract guarantees $50 million in claims and litigation payment savings to Louisiana during its five-year contract and the risk management office estimates the company has achieved about $6 million, or 12 percent, of those savings so far.

ORM projects the net savings over the course of the contract will be $22 million.

👋 Looks like you could use more news. Sign up for our newsletters.

* indicates required
New Orleans Public Radio News
New Orleans Public Radio Info