Louisiana

Louisiana, grappling with a $1.6 billion budget deficit that could hit its colleges and universities, has already cut state higher education funding by more than all but one other state, a study found.

Louisiana plans to move forward with the competitive issuance of $335 million in general obligation bonds amid ongoing questions surrounding the state’s budget deficit.

Louisiana State University emphasized that it is not filing for bankruptcy; the school was criticized for a clumsy explanation of its financial position, leading to cancellation of a bond deal.

Uncertainty about Louisiana's higher education funding led Standard & Poor's to place five institutions on negative CreditWatch on April 28.

Last week's aborted Louisiana State University bond deal stemmed from what an analyst called a “shell game” in which state lawmakers try to balance budgets by cutting aid to localities.

Louisiana State University on Friday pulled a $114.5 million bond offering that had priced two days earlier after investors withdrew from the deal when concerns emerged over the institution’s financial status.

Louisiana Gov. Bobby Jindal is urging lawmakers to adopt his plan to securitize the remaining 40% of the state’s tobacco revenues from the Master Settlement Agreement.

The Louisiana State Bond Commission plans to move forward with a $335 million general obligation bond deal as the state grapples with debt capacity issues.

Tobacco bonds may be on their way to the biggest volume since 2007, led by Wednesday's $1.7 billion sale from California, as issuers refinance amid a decline in smoking that's cut deeply into revenue.

The Louisiana Tobacco Settlement Financing Corp. gave preliminary approval to issuing up to $875 million in tobacco bonds.

Facing a $1.6 billion deficit in fiscal 2016, Louisiana Gov. Bobby Jindal has recommended a $24.6 billion state budget along with revenue raising measures such as issuing tobacco bonds.

The New Orleans Aviation Board plans to bring $590 million of general airport revenue bonds to market Thursday amid an above-average issuance calendar.

Louisiana state agencies can expect "significant cuts" in the 2016 budget but Gov. Bobby Jindal is expected to recommend "structural fixes" to the spending plan.

Moody's Investors Service has warned that Louisiana's growing budget problems will pressure finances at the state's public universities.

Moody's Investors Service and Standard & Poor's both revised Louisiana's outlook to negative on Friday citing the state's growing structural budget imbalance. The changes come ahead of an upcoming $225 million general obligation refunding deal.

Declining oil prices prompt Louisiana to implement its second budget cut of fiscal 2015.

Plummeting oil and gas revenue collections in Louisiana that have added to a growing deficit in fiscal 2015 and 2016 are a credit negative for the state, according to Moody's Investors Service.

The East Baton Rouge Parish, La., City Council decided not to hold a referendum in May on whether to issue $335.6 million in bonds for public safety improvements.

The Louisiana State Bond Commission Thursday gave its approval for the New Orleans Aviation Board to issue up to $700 million for a new terminal.

The New Orleans Aviation Board expects to issue up to $659 million in revenue bonds in February to finance a state-of-the-art terminal and related infrastructure.