Affordable housing remains a pressing issue in New Orleans, and a new initiative on the November ballot could direct millions of city tax dollars annually to address the problem. Backed by members of the River District consortium and other prominent local developers, the initiative aims to establish the NOLA Housing Trust Fund to support affordable housing projects.
Developers such as Louis Lauricella, Brian Gibbs, Robert Boh, and Tara Hernandez have made significant contributions to the Nola First Political Action Committee (PAC), which is leading efforts to promote the ballot measure. The PAC, managed by political consultant Ayame Dinkler, has raised approximately $40,000 and launched campaigns, including the “Yes to NOLA Housing” initiative, to garner support.
The proposed charter amendment, spearheaded by City Council member Lesli Harris, seeks to allocate 2% of the city’s annual general tax revenue — an estimated $15.4 million in 2024 — to a dedicated housing fund. The fund would subsidize the development of affordable housing units, provide security deposits for renters in need, and support other housing-related programs like roofing fortification.
Affordable housing advocates argue that the fund is critical for addressing the city’s housing crisis, particularly as rising rents continue to outpace incomes. However, the proposal has met opposition from groups like the Bureau of Governmental Research (BGR), which raises concerns about restricting the city’s financial flexibility.
Growing Support Among Developers
Many prominent local developers have voiced their support for the initiative, with donations from individuals and organizations across the real estate sector. Contributors include developers Paul Flower, The Domain Companies, and Chris Genard, as well as River District members like Todd James, Shawn Barney, and Nicole Webre. These supporters emphasize that the housing trust fund aligns with their commitment to building diverse and inclusive communities.
Louis Lauricella, a River District developer, noted that the fund complements the consortium’s plans for the $1 billion River District project, which includes affordable and workforce housing. “We support initiatives to help advance affordable housing throughout New Orleans,” Lauricella stated.
Oversight and Accountability
Harris, who represents District B and chairs the River District economic development boards, has made affordable housing a cornerstone of her agenda. She has also championed measures to ensure transparency and accountability for the proposed housing fund, including oversight by an advisory board.
Harris underscored the urgent need for affordable housing, highlighting the River District consortium’s commitment to creating subsidized units as part of its redevelopment plan. While initial plans called for 1,100 units, the number has since been reduced to a maximum of 900, with the first phase consisting of 220 units.
Mixed Reactions from Advocates and Watchdogs
Nonprofit organizations like HousingNOLA and Gulf Coast Housing Partnership have expressed cautious support for the trust fund. Andreanecia Morris, HousingNOLA’s executive director, emphasized the importance of safeguards to prevent misuse of the funds. However, she criticized the River District for scaling back its affordable housing commitments.
Rebecca Mowbray, CEO of BGR, encouraged voters to consider the broader implications of developer subsidies in New Orleans’ housing strategy. “Rising costs of developing affordable housing are prompting developers to ask for larger subsidies from the City of New Orleans,” she said. “Voter decisions should factor into a cohesive strategy for housing investment, with appropriate oversight and accountability.”
The Path Ahead
As New Orleans residents prepare to vote on November 5, the proposed housing trust fund stands at the center of debates about how to address the city’s affordable housing shortage. While supporters view the initiative as a vital step toward creating more equitable housing options, critics caution against tying up city resources without sufficient oversight.
Ultimately, the decision will shape the future of housing development in New Orleans, balancing the need for affordable units with the city’s broader financial priorities.
