The City of Ashdown, Arkansas is facing a financial crisis after almost draining their general fund.
Now city officials are looking for ways to cut expenses and create more revenue.
"Not unlike other cities of our size and even larger, it's very tight right now," said Ashdown Mayor Carroll McLarty.
Mayor McLarty says overspending in previous years and a down economy has taken it's toll on the city.
McLarty says one reason for their financial crunch is the state payback.
In previous years, the state overpaid the city and now their having to pay that money back.
The repayments have already started and will continue for the next four years.
City officials have been considering several different options to cut expenses and increase revenue.
"We're trying to get rid of all real property or equipment that's not needed to run the city," said McLarty.
McLarty says his goal is to get through the financial crisis without raising any taxes or cutting employee benefits.