How does New Orleans COVID recovery spending stack up?
Most of the City of New Orleans’ ARP money has gone to government services.
The City of New Orleans received $387.5M in American Rescue Plan (ARP) funds to help the City and impacted residents recover from the pandemic. As of 12/31/22 it spent $193.7M on “government services,” just one of over 70 possible uses, which include direct support to residents and businesses, broadband and water infrastructure, and public health. As of then it did not use its allocation for anything else. It has $193.7M minus whatever it committed and spent in the past quarter through 3/31 remaining.
Is this allowed?
In short, yes. But that doesn’t mean it’s the best idea. According to Treasury Guidelines, The City of New Orleans would be allowed to spent another $148.5M on “government services.” That would leave the City with only $45M for use among other eligible uses (aid programs, projects, etc).
How have other cities spent ARP funds?
Compared to other Southern cities and counties, New Orleans falls short of expectations for their recovery dollar spending. One example close to home is Baton Rouge (East Baton Rouge Parish). Baton Rouge received far less ARPA funding than Orleans, and contributed far more to residents’ recovery. They’ve conducted 43 separate programs and projects with its $165.4M in ARP funding. New Orleans has listed only 2 programs and projects, the second lowest in the State. For comparison, here’s Baton Rouge’s plan, and here’s New Orleans’ plan.
New Orleans reported the biggest hit to their revenue of any Louisiana Local Government.
How have New Orleans’ revenue losses compared?
According to US Treasury, The City of New Orleans estimated over $114 M in revenue losses each year from 2020 to 2022; by far the greatest losses in the State. Our estimated revenue losses in New Orleans are comparable to much larger cities, like Baltimore ($121M), Charlotte ($120M), and Cleveland ($108M). Baton Rouge estimated $54M in losses in 2020, and no losses in 2021 or 2022.
Learn more! Do your own comparison
Want to compare to other cities? Check out the US Treasury’s tool to explore all ARP projects and plans nationally. Be sure to check out all 5 tabs across the top and use filters to see other cities’ and counties’ Projects, Recipients, Recovery Plans.
Need to brush up on ARP? Check out our earlier blog posts explaining what it is, and where we are so far.
Show up & use your voice: Tuesday April 4th, 10am
The City Council is having a joint Government Affairs and Budget Committee meeting on Tuesday, and they need to see you care! Show up to City Council (First floor of City Hall, 1300 Perdido St) to share your thoughts about the City’s American Rescue Plan spending.
