New Albany is the capital city of Draco III, a human colony planet governed by the Unified Earth Government, located in Lombard. New Albany was home to the planet's governmental capitol building and the Draco Mercy hospital. The city was most likely named for the city of Albany, capital of New York State, in the United States.
Shortly before the Human-Covenant War, an assassination attempt on Draco III's president occurred in New Albany's capitol building. While the assassination attempt had failed, transparent energy shielding was installed to protect the presidential balcony. When the Covenant invaded Draco III in 2545, starving Kig-Yar and Unggoy massacred the city's residents. During the battle, certain streets and neighbourhoods in New Albany had been heavily damaged. Although the city had largely survived the planet's partial glassing, New Albany remained uninhabited until the end of the war.
After the war, colonists resettled on Draco III and largely rebuilt New Albany. During the planet's resettlement, the United Rebel Front attempted to take control of the planet in 2554. Captain Ingridson and the rebels under her command barricaded themselves inside the government's capitol building and used it as their headquarters during their uprising. In response, the Office of Naval Intelligence sent in at least one Orbital Drop Shock Trooper squad—Alpha-Nine—and a group of SPARTAN-IVs to retake the capitol building and eliminate the rebels in the city. A stand-off between Alpha-Nine and URF soldiers resulted in the deaths of Ingridson and the Alpha-Nine's "rookie". Meanwhile, Spartan Sarah Palmer and several other SPARTAN-IVs eliminated the insurgents throughout the city. Eventually, all United Rebel Front forces in the city were killed or captured. In 2558, Nova Austin Station in Mindoro, Cascade offered flights to New Albany.