Louisiana Governor Jeff Landry has escalated his dispute with New Orleans Mayor Helena Moreno, accusing the city of routinely using state government as an ‘ATM’ to cover its financial problems. Landry’s comments came one day after the two officials exchanged public letters over New Orleans’ cash flow troubles and the city’s decision to withdraw a request to borrow $110 million.
Financial Dispute
Landry questioned whether the city still needed the money and accused previous city leaders of weakening New Orleans’ finances through short-term decisions. He pointed to a $125 million Revenue Anticipation Note issued in November 2025 and criticized the city’s decision to sell future casino lease payments for an immediate lump sum. Landry said that deal cost New Orleans roughly $50 million in future revenue and amounted to a ‘payday loan’ taken out by a municipality.
The city had sought permission from the State Bond Commission to issue long-term Taxable Limited Tax Bonds, backed by revenue from a property tax that does not expire until 2046. New Orleans withdrew the request after it became apparent that the commission was unlikely to approve it. Mayor Moreno responded that the city’s financial problem had not disappeared, but her administration developed an alternative plan after concluding that the Bond Commission would reject the borrowing request.
Original reporting: KTBS 3 (Shreveport) — read the source article.
