Report: New Orleans overspent by 43% or $126.8M in 2023

(The Center Square) — The city of New Orleans' expenditures from its general fund in 2023 increased by 43% compared to the previous year as it outspent its revenues by about $126.8 million.

That's according to documents given during the city's revenue estimating conference on Aug. 14.

The city's 2023 audited financial report said 20% of the increase in General Fund spending that year was due to the early payoff of taxable bonds.

Total General Fund revenues increased from $753.38 million in 2022 to $778.12 million in 2023, a 3% increase. However, General Fund spending increased from $632.67 million in 2022 to $904.93 million in 2023.

The general fund's fund balance decreased by $76.5 million and ended 2023 with a total fund balance of $326.8 million.

The city is projecting General Fund revenues of $762.43 million in 2024.

The city said inflation was having an impact on its budget.

"Nationwide, All Items are +20.1% more expensive vs. Jan. 2021," the report stated. "Inflation Rate has not read less than 3.0% in any month since March 2021."

The mayor's office didn't respond to an email seeking comment.