The French Quarter Economic Development District (FQEDD) presented its third-quarter trust fund report and asked the council to approve a 2026 budget that would draw on the district’s trust balance to continue public-safety and quality-of-life programs.

FQEDD leadership said the quarter-cent sales tax renewal (approved by voters, described as 87% in favor) remains the primary revenue source. The presenter reported that 2025 tax receipts will be just over $4,000,000 and that the draft 2026 budget conservatively assumes $3,750,000 in tax collections. Staff acknowledged projected 2026 expenses exceed projected revenues and that, if approved, the budget would draw the trust fund down by $443,210.29 to support ongoing programs.

Line items highlighted at the meeting include continuing funding for the supplemental police patrol (identified as the largest share of expenditures), $1,750,000 previously approved for streetlight repairs (mostly spent in 2025 with about $200,000 remaining through March 2026), vehicle replacements ($258,625), and $310,000 allocated to other public-safety and unhoused-support programs. The $310,000 figure was described as covering three programs: a Mobile Crisis Intervention Unit (MCIU), six beds in a low-barrier shelter (staff estimated roughly $24,000 per bed), and a TASNO case manager, plus license-plate readers and camera maintenance. The presenter said graffiti abatement was removed from the draft to move closer to a revenue/expense match and recommended continued funding for Covenant House based on prior performance.

Council members pressed for operational details on the proposed third shift for MCIU and agreements that would reserve the six low-barrier beds for French Quarter residents; staff said those operational details remain to be worked out with NOPD, Odyssey House and other partners.

After public comment from residents and business representatives—some praising improved safety and cleanliness, others urging prudent fiscal oversight—the council moved and seconded a motion (M25602) to adopt the district’s annual budget for 2026 as approved by the FQEDD board. The motion was recorded as passing with '6 yays, no nays.'