New Orleans Still Facing Budget Shortfall

New Orleans, La. – The latest figures show a nearly $29 million-dollar shortfall. Mayor Mitch Landrieu says city employees will NOT face cutbacks.

"The city is not planning any mass layoffs. The city is not planning any furloughs at this time. And we will not have cuts in the year 2011 to public safety or recreation. We will find it through efficiencies, of streamlining and reorganizing and things we have done in the past. And we will have - I believe -- the support and the help of council to get that done."

The administration blames increased health care costs, and revenues that are lower than anticipated. Landrieu says some savings will be made by NOT filling positions that are now vacant.