It is an accurate statement of policy, that in the middle of a pandemic, in which Louisiana's people have suffered much, that you should not thrust people into a mass sheltering situation. Just as in the California fires they are handing out hotel vouchers to people versus putting them into gymnasiums.
The above statement would have been much clearer if he had said, "We will not be sheltering people in large groups at single locations, rather...."
You might use the term Non-Congregate Sheltering in your planning documents, but avoid using it, and other more complex words/statements in your messaging.