You did the right thing, no doubt about that. I have worked in both wildlife rehab and small animal veterinary since 2005. Not only are the raccoons better off without the cat/dog food and people food but the local environment is better off too. Unfortunately raccoons carry tons of disease that are not only contagious to your pets, the feral cats (don't get me started on that topic), and other wildlife - they carry stuff that you can get too...that many in a small area along with cats and dogs is a distemper, parvo, or baylisascaris outbreak waiting to happen, not to mention the risk of rabies.
I know that it is hard to loose a friendship - especially when you are ultimately helping the animals in the long run. Once hooked on handouts, they stop foraging for native foods, they teach their kits to seek humans for food, and in the end become malnourished or obese. Not to mention that many people see a bold coon and immediately think it has rabies - so they end up trapped, shot, or hit by cars.
It may just take time for your neighbor to come around, maybe he can start feeding birds or planting native flowers for bees, butterflies, and hummingbirds if he really wants to help animals
edit- also if he is on limited funds, he really does not need to be spending money needlessly feeding coons that can take care of themselves...especially as the cheap pet foods are like giving them Twinkies and oatmeal cream pies instead of actual nutrition