NEW ORLEANS – City Council Vice President Helena Moreno advanced Ordinance Cal. No. 35,177, aimed at addressing ongoing delays in payment from prime contractors to subcontractors. The ordinance, considered in the Economic Development Committee today, builds on the Council’s successful Net 30 legislation, which requires the City of New Orleans to pay vendors and contractors within 30 days. While this policy has led to measurable improvements in payments from the City to prime contractors, concerns remain that many subcontractors continue to face delays in receiving their share of funds. The ordinance now requires City prime contractors to also follow Net 30 and pay subcontractors for all undisputed amounts owed within 30 days of receiving payment from the City.

“Paying subcontractors and suppliers on time isn’t only about fairness, it’s about ensuring City-funded projects stay on schedule, small businesses and their workers can get paid, and our residents see timely results,” said Council Vice President Moreno. “We’ve worked hard to get the City paying primes within 30 days, and now we must make sure that same efficiency and accountability extends all the way down the chain. I want to thank everyone involved, especially The Collaborative, for working toward a fair and more efficient process that strengthens our local economy and encourages projects to be completed on time.” 

The measure is the result of coordination between Moreno’s Council office, City Administration representatives, and The Collaborative which is a group advocating on behalf of Black and minority businesses. In particular, The Collaborative has played a vital role in elevating this issue and shaping the ordinance to ensure local, small, and disadvantaged businesses get monies they are owed. 

Ordinance Cal. No. 35,177 was approved in Committee and will appear on the Consent Agenda of the City Council’s regular meeting on August 24, 2025.