Ray Nagin - Nagin's Second Term

Nagin's Second Term

Nagin's second term began on June 1, 2006. He was intensely criticized by the local media throughout this term. For example, his "100 day plan" to accelerate the rebuilding of New Orleans was bashed for what critics said was a tardy release, lack of details and activity in moving forward. Nagin administration spokesperson Rob Couhig backed away from a 100 day promise, stating that it was not meant as a "time period," but as a short-range initiative to improve quality-of-life issues. Delays in FEMA reimbursements and federal recovery dollars reaching the city caused many significant delays.

Unprecedented challenges included: all public transportation needed to be restarted, stoplights and street signs were destroyed, the city’s world famous street cars were in total disrepair, bankruptcy was a real threat, bonds were downgraded to junk status, half the city’s workforce was laid off, millions of tons of storm debris and construction trash had to be removed, construction costs tripled and an historic number of building permits needed to be issued.

Nagin reorganized city government, launched an innovative internet based Kiosk system to issue permits, successfully lobbied to increase the federal community disaster loan from a $5 million limit to 50% of the city's annual revenues, stabilized real estate and tourism markets, restored the city’s bond rating to investment grade, initiated Disney like & semi-automated garbage collections in 2007 and pushed unprecedented public housing transformation.

In 2006, Nagin was also criticized for devoting time to extensive lobbying in Washington, DC and a national speaking tour. Nagin's administration countered this criticism by stating this was necessary in order to correct inaccurate perceptions of New Orleans and secure much needed recovery support.

In addition during 2007, a drastic increase in the city’s violent crime rate led to more criticism of Nagin. A destroyed criminal justice system, post tramatic stress and a severely depleted police force were key contributors to this rise in activity. Nagin called for and got help from the Louisiana National Guard and U.S. Justice Department. However, Nagin continued to be heavily criticized by the local newspaper. He reignited complaints when he said news of two killings should keep focus on the city's needs for more help and, “while sad, keeps the New Orleans brand out there."

Nagin hired recovery expert Dr. Ed Blakely in 2007 to head up a dedicated Office of Recovery Management. Rockefeller, Ford and Bill & Melinda Gates foundations provided grants for critical staff enhancements. During the end of 2007 and into 2008 Nagin guided the city through an extensive planning process that documented a $14 billion need. However, the state only allocated 2% of the plan and it took almost 3 years to receive any of these federal recovery dollars.

With such limited resources, the city came up with the "Citywide Strategic Recovery & Redevelopment Plan" or target area strategy to focus public and private recovery investments. There were 17 initial target areas with commercial centers and clustered residential redevelopment. This strategy proved to be effective as for every $1 of public sector investment was followed by $188 in private sector investment.

The average recovery from a disaster like Hurricane Katrina normally takes 10 to 15 years. Kobe, Japan took 15 years, Watts took 10 years and New York is still recovery from the 911 terrorist attacks after 11 years. By years 4 and 5, New Orleans made significant progress toward full recovery. 85% of all city managed recovery projects were either recently completed, under construction or in final design. By the end of 2009, there were over $20 billion in public & private sector construction related projects underway.

As a result, national groups took notice. Business Week said New Orleans was one of the best cities in America to ride out the great recession. Money Magazine ranked the city as the sixth fastest growing real estate market. Outside Magazine said New Orleans was the 20th best town in American to live in. The U.S. Department of Labor in its April 2010 report said New Orleans had the lowest unemployment in the nation.

Prior to leaving office in 2010, Nagin was appointed by Secretary of State Hillary Clinton to head the United States delegation to a state and local governments conference on assistance to post-earthquake Haiti held in Martinique. A recovery plan was completed and presented to donor nations resulting in Haiti receiving billions in pledges.