SHREVEPORT, La. — A Louisiana lawmaker who authored legislation targeting landlords who collect money from tenants for utilities but fail to pay the bills says the law is already on the books — and now local officials need to enforce it.
State Rep. Steven Jackson, D-Shreveport, said he is frustrated that Shreveport officials continue to debate whether they have the authority to pursue property owners accused of leaving tenants without basic utilities.
Jackson authored House Bill 6 during the 2025 legislative session. The legislation was signed by Gov. Jeff Landry and became Act 231, effective Aug. 1, 2025. The law creates a crime involving the misappropriation of funds received for utility services under a lease or rental agreement.
The legislation was prompted in part by problems at Shreveport apartment complexes where tenants paid rent that included water service, while property owners failed to pay the associated utility bills.
The issue has resurfaced at Village Square, Southern Oaks and NMI Village Square Apartments, where residents have received notices warning that their water could be shut off because of roughly $200,000 in unpaid bills.
Mayor Tom Arceneaux has announced a temporary plan to keep the water running. If the outstanding balance is not paid, however, water service could be shut off for most of the day.
Jackson said local officials now have a responsibility to investigate whether property owners have violated the state law.
“The law is the law,” Jackson said. “That bill passed unanimously in both chambers of the legislature. The governor signed it into law.”
Jackson said the city should not wait for prosecutors to determine whether a case can be won before conducting an investigation.
“If you don't give the D.A. a case, you'll never get a prosecution,” Jackson said. “You're guaranteed not to get a prosecution if you never do the investigative work.”
Jackson says LLCs don't provide a shield
Jackson said he has heard concerns from Shreveport officials about whether landlords operating through limited liability companies can be prosecuted.
He disagrees with that interpretation.
Jackson said the law allows investigators to examine the individuals responsible for operating an LLC, including owners, officers and agents.
“You can't hide behind just the fact that you're an LLC,” Jackson said.
He said investigators should collect statements from tenants, determine how much money was collected for utilities and trace where those funds went.
Jackson said the city's position that such investigations are too complicated is not an adequate reason to avoid pursuing cases.
“The role of law enforcement, the role of the white-collar crimes task force is to sit down and follow the money trail,” he said.
Jackson says City Council's role is limited
Jackson said he has spoken with members of the Shreveport City Council about the issue.
However, he said the council's ability to directly enforce the law is limited because the council serves as the city's legislative body.
He said enforcement falls primarily to the executive branch, including the mayor and police department.
Jackson said the council could encourage the mayor and police department to act, but it cannot directly compel them to investigate or prosecute a case.
He also suggested council members could speak with the Caddo Parish Sheriff's Office, whose white-collar crime task force could potentially investigate financial crimes.
Jackson plans meeting with local officials
Jackson said he plans to convene a meeting in the coming weeks with Shreveport city leaders, the city attorney, the district attorney, sheriff's office representatives and legislative staff.
He wants officials to explain why they believe the law cannot be enforced.
“If there's a loophole or if there's a flaw in what we put into law, that needs to go to court, be challenged, so that then we as legislators can come back and fix whatever these loopholes,” Jackson said.
“But just doing nothing is not an answer.”
Jackson said he is also considering whether the Louisiana Attorney General's Office and Louisiana State Police should become involved in investigating these cases if local governments decline to act.
He said future legislation could give state agencies a greater enforcement role while requiring local governments to share the costs.
Jackson points to New Orleans
Jackson said Shreveport could look to New Orleans as an example of how similar cases can be pursued.
He pointed to a New Orleans case involving a developer accused of operating properties with poor living conditions while failing to properly remit utility payments. Jackson said the case resulted in racketeering charges.
Jackson said the example demonstrates that investigators can pursue property owners when there is evidence of financial wrongdoing.
Tenants remain caught in the middle
The latest dispute comes as residents at three Shreveport apartment complexes face a potential water shutoff.
Tenants say they have paid their rent, which includes water service, and should not be responsible for the property owner's unpaid utility bills.
Jackson said the long-term concern is that a lack of enforcement could encourage other property owners to exploit tenants.
“We're giving them a way to go do that to say, hey, set up an LLC, go collect rent with the promise of remitting utility payments and just pocket it, and we're not going to come after you,” Jackson said.
Jackson said he is particularly concerned about tenants with limited financial resources who could be forced from their homes if basic utilities are disconnected.
“Poor people need justice as well,” Jackson said.
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