Without question, New Orleans finds itself in a deep financial crisis. But it is a sad day when a city’s troubles are compounded by a state government that should be helping its incoming mayor succeed.
The city faces a $160-million deficit, as well as an immediate — and unexpected — cash flow emergency that could make it difficult to make payroll between now and January, when it gets some of its tax revenue. Outgoing Mayor LaToya Cantrell said the delay in some federal grant payouts put the city in a bind.
To cover some of the shortfall, city officials sought permission from the Bond Commission to issue $125 million in short-term bonds. These bonds would require the city pay a higher interest rate than it does in most cases…