New Orleans: 'A Nonfunctioning City'

One year later, the costs of Hurricane Katrina -- and the litany of crises that remain to be addressed -- is "staggering."

1 minute read

September 3, 2006, 7:00 AM PDT

By Michael Dudley


"1,833 lives lost. 270,000 homes destroyed. $55 billion in insured damage. Up to $1.4 billion in American tax dollars wasted by the Federal Emergency Management Agency (FEMA). Today, the costs of Hurricane Katrina are still staggering.

SKYROCKETING HOUSING COSTS: One year after the storm, repopulation in New Orleans "has slowed to a trickle, leaving the city with well under half its prestorm population of 460,000." Lacking the resources to return to the city are many African-Americans who formed the "working-class backbone" of the city.

SLOW ECONOMIC RECOVERY: More than 81,000 regional businesses were impacted by the storm, resulting in the loss of 450,000 jobs... Approximately 60 percent of the businesses in New Orleans have still not reopened.

A 'NONFUNCTIONING CITY': A White House "Fact Sheet" released in advance of Katrina's one year anniversary notes that FEMA has provided $5.6 billion to repair and replace damaged public infrastructure. But Gulf Coast Recovery Coordinator Donald E. Powell has admitted that nearly a third of the trash in New Orleans has yet to be picked up. Sixty percent of New Orleans homes still lack electricity and just 66 percent of public schools have reopened. Only 17 percent of the city's buses are operational, causing severe problems for the many residents who don't own cars."

Monday, August 28, 2006 in Center for American Progress Action Fund

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

July 2, 2025 - Diana Ionescu

Aerial view of town of Wailuku in Maui, Hawaii with mountains in background against cloudy sunset sky.

Maui's Vacation Rental Debate Turns Ugly

Verbal attacks, misinformation campaigns and fistfights plague a high-stakes debate to convert thousands of vacation rentals into long-term housing.

July 1, 2025 - Honolulu Civil Beat

White and purple sign for Slow Street in San Francisco, California with people crossing crosswalk.

San Francisco Suspends Traffic Calming Amidst Record Deaths

Citing “a challenging fiscal landscape,” the city will cease the program on the heels of 42 traffic deaths, including 24 pedestrians.

July 1, 2025 - KQED

Google street view of red brick multi-story power plant building in Pittsburgh, PA.

Defunct Pittsburgh Power Plant to Become Residential Tower

A decommissioned steam heat plant will be redeveloped into almost 100 affordable housing units.

July 4 - Pittsburgh Post-Gazette

Cyclist on protected bike lane in middle of street in Washington D.C. with Washington Monument obelisk visible in background.

Trump Prompts Restructuring of Transportation Research Board in “Unprecedented Overreach”

The TRB has eliminated more than half of its committees including those focused on climate, equity, and cities.

July 4 - Streetsblog USA

Blue and silver Amtrak train at small station.

Amtrak Rolls Out New Orleans to Alabama “Mardi Gras” Train

The new service will operate morning and evening departures between Mobile and New Orleans.

July 3 - New Orleans City Business