Overview
- Mayor Helena Moreno said the city pulled its application for State Bond Commission approval because denial of the temporary private loan appeared imminent.
- The loan request sought short-term financing from a private institution to help cover a multi-million-dollar cash shortfall and keep city services running.
- Moreno warned that some state leaders may pursue separate punitive moves against New Orleans finances, including moves that could affect recent casino lease proceeds that bolstered reserves.
- City officials say they have identified a difficult path to carry New Orleans through 2026 without the Bond Commission loan that will include project deferrals, about $20 million in midyear reductions, and continued furloughs.
- The Legislative Auditor's Office remains embedded with the city to help manage the budget crisis and requests for comment to Gov. Jeff Landry and the auditor had not been answered as reported, while Landry has publicly criticized the city for relying on state support.