The New Orleans City Council on Wednesday finalized the terms of a $125 million loan with JPMorgan Chase that will allow the city to make payroll through next year and avoid immediate cuts to city services --- all without having to tap into the city's rainy day fund.

The bank agreed to purchase $125 million in short-term revenue bonds from the city at a 3.5% interest rate. The city will have to pay back the entirety of the loan by June 30.

The funding agreement caps a monthslong saga that saw Louisiana's largest city hover on the brink of financial collapse and a state takeover of its operations.

It began in October, when Mayor LaToya Cantrell's administration revealed that the city was slated to run out of cash necessary to pay its nearly 5,000 workers before the end of the year due

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