Close-up of a bright yellow pedestrian crossing sign with flashing lights mounted below it, standing near a roadway under an overpass. A semi-truck, trailers, and a worker in a safety vest are visible in the background beneath a partly cloudy blue sky.

New Orleans voters to consider $510 million in bond proposals. See the list of projects

By Joni Hess

Source: The Times-Picayune | NOLA.com

October 29, 2025

When New Orleans voters approved a sweeping $500 million bond package in 2019, the cash was slated for specific city facilities, infrastructure improvements and affordable housing, though millions were redirected to the jail’s court-mandated mental health wing or to legal settlements.

But this time around — and as the city grapples with a massive budget deficit — City Council members say they’ll ensure a new round of proposed bond proceeds are spent as advertised.

Up for consideration on the Nov. 15 ballot are three separate bond propositions totaling $510 million that would help build affordable housing projects, fill potholes, improve public parks and playgrounds and meet a host of other critical needs.

The money would also ensure a slew of long-blighted or deteriorating sites, such as the Lindy Boggs Medical Center on Norman Francis Parkway and the Orleans Criminal District Courthouse on Tulane Avenue, are revived.

To avoid a repeat of six years ago, city officials have pledged not to remove 100-plus projects in line to be funded unless the council has approved it and the public has had a chance to weigh in. The city also cannot divert that funding to address its $160 million deficit, because state law and city policies prohibit such shuffling.

“There’s got to be more accountability before any money can be moved around. When you pass a proposition like this, if you say you’re going to spend money in a certain area, you’re supposed to spend that money in that certain area,” said Councilmember Eugene Green.

Mayor-elect Helena Moreno, whose transition team is exploring other ways to shore up city finances, did not return a request for comment.

Bond propositions focusing on stormwater management and economic development have gained the support of the city’s business leaders, who point out the need to bring shuttered prime real estate back into commerce. The Bureau of Governmental Research, a local good government nonprofit, also recently swung its support behind those two proposals.

A bond proposition for affordable housing has proven more controversial. Affordable housing advocates and BGR say the city should find other more secure ways to fund its housing needs.

What the bonds would fund

The bond propositions would see New Orleans borrow funding for more than 100 projects, including:

$45 million for affordable housing, such as new housing construction, renovations or improving affordable housing facilities.
About $50 million for stormwater management and drainage solutions, such as a stormwater park in Lakeview to reduce flooding and underground water storage systems to alleviate pressure on the city’s drainage system.
$415 million for key infrastructure projects, such as the second phase of the Lincoln Beach redevelopment, the Lindy Boggs site, upgrades to Criminal District Court and numerous roadwork projects.

The bonds would be repaid over 30 years and the Board of Liquidation, an independent body that manages bond repayments, will set annual interest rates based on the current bond market, the city’s tax base and its credit rating.

Payment would come from a 14.5-mill tax that is currently dedicated for the payoff of similar bond issues.

In 2019, when the city took out a similar $500 million bond issue, city officials pledged to spend it on infrastructure, affordable housing and public facilities. And while much of the money, which the city is still paying back, went to those needs, the city also frequently moved money destined for those projects to cover other projects that went over budget, according to a report BGR issued last week.

This time around, the council would have a public process before any projects are deprioritized. And though the city is grappling with a multimillion deficit this year and could make more than $200 million in cuts in 2026, per a draft budget proposal, “all of the bond money is designed for capital improvements and cannot be used to offset a deficit,” said Tracy Madison, the secretary for the New Orleans Board of Liquidation.

That board sets the annual tax rate for existing debt and manages repayments for issued bonds. State law bans cities from using general obligation bonds, which the city would borrow in this instance, to cover operational expenses.

The city is requesting to increase its debt as its credit rating from Moody’s dropped from an A2 to A3. While the city can still face higher interest rates, the city’s current rating is still considered strong, according to Moody’s, one of three agencies that rate the city’s credit.

Proposals draw support

Councilmember Lesli Harris said she supports all three propositions and will ensure the projects remain prioritized.

“This bond package also means long-awaited investments in projects like Lindy Boggs, Criminal District Court upgrades, Dryades Market Redevelopment, NSA, and more to improve access to affordable housing, stormwater management, and infrastructure,” she said.

The dozens of renovation projects on the city’s list would help attract new companies to the New Orleans market and maintain the ones that have already set up shop, said Matt Wolfe with Greater New Orleans, Inc., whose organization secured support for the infrastructure proposition from more than 40 businesses and nonprofits across the city.

“When you look at the fact that this won’t be creating new taxes and will create new positive outcomes, it’s something that’s paramount for our city to take on,” he said.

BGR also backed the infrastructure and stormwater management bond proposals.

“BGR’s support for the two bond propositions for infrastructure and drainage and stormwater management recognizes that the bond funding is necessary to sustain progress on these core City assets and community priorities,” said Rebecca Mowbray, the group’s president and CEO.

Some opposition

But BGR found the affordable housing proposition problematic, it said, because the city would be using long-term debt to meet an annual budget obligation. Last year, voters agreed to sign off on a dedicated fund for affordable housing, called the Housing Trust Fund, that requires the city to set aside 2% of its general fund budget or an amount equal to that for housing needs.

The bond proposal would rely on interest-bearing debt to fill the fund, which would be more costly, BGR said.

“For a 30-year bond, interest typically accounts for 40% of what the city ultimately pays back,” the report’s authors said.

Mowbray said that the city should carefully consider future opportunities to refinance the debt it borrowed in 2019 to get a lower interest rate. The city raised $589 million from the bonds, but it borrowed that money at a premium interest rate.

Moving forward, the city also needs to factor in preventative maintenance costs for buildings, streets, drainage and other elements, she added.

Meanwhile, a leading affordable housing group also said relying on bonds would cause processing delays and that the bonds would cover less than 15% of the city’s annual spending needs for housing, as identified by the Trust Fund.

“Given the history of the city’s management of these funds, the state of our bond capacity and the chaos in government, bonds are a risky proposition,” said Andreanecia Morris, president of the Greater New Orleans Housing Alliance who also sits on the committee that oversees the fund.

Instead, the city should fund the 2% housing allocation through its general fund as initially intended, she said.

Early voting for the bond propositions, a handful of municipal runoff elections and other issues begins Saturday.

See the full list of proposed bond-funded projects at the link below.

GO-Bond-Project-Lists-08072025-FINAL.pdf

Editor’s Note, 10/29/25: This story has been updated to include the correct dollar amount proposed for city infrastructure bonds and to clarify a comment Mowbray made about the city’s refinancing options.

Fair Use Notice

This site occasionally reprints copyrighted material, the use of which has not always been specifically authorized by the copyright owner. We make such material available in our efforts to advance understanding of issues and to highlight the accomplishments of our affiliates. We believe this constitutes a “fair use” of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is available without profit. For more information go to: US CODE: Title 17,107. Limitations on exclusive rights: Fair use. If you wish to use copyrighted material from this site for purposes of your own that go beyond “fair use,” you must obtain permission from the copyright owner.