UNIONTOWN -- The sunlight streaming through the windows of Uniontown Mayor Ed Fike's office belies the dark financial cloud hanging over this once-thriving city.

One would think that a mayor who's declared that his town is facing the "worst financial crisis since the Great Depression" might not want to talk about it. But Mr. Fike feels compelled to explain the layoff of 31 of 83 city employees, including four police officers and three firefighters, and the steps officials are taking to clean up the money mess that he claims was left by the previous administration.

On Wednesday, the day after the layoffs were approved by council, Mr. Fike spent the day doing television, radio and newspaper interviews. The next day brought more of the same after a morning-long meeting on -- what else? -- Uniontown's financial woes.

"It's inevitable that there's going to be a tax increase," Mr. Fike said after throwing out enough figures to choke an accountant. He just doesn't know how much that increase is going to be.

Uniontown, with a population of about 12,000, has less than $180,000 in the general fund, more than $190,000 in bills and a deficit of $1.3 million. The layoffs are expected to save about $200,000.

The city intends to borrow money to bridge the gap and the mayor said he has met with four or five banks.

City officials also have approached the Fayette County commissioners for assistance.

"There's no question the city has a financial crisis and has had to make a very tough decision," said Commissioners Chairman Vincent Zapatosky. "I'm quite confident they'll be able to respond and rebound and get back in fiscal order."

The city has talked to the commissioners about obtaining state liquid fuels money that could help pay for road salt and cinders this winter.

"We told them how to get an application and submit it with the requested amount," Mr. Zapatosky said.

In February, city officials met with the Pennsylvania Department of Economic Development but determined that they weren't ready to take the radical step of having the city declared "distressed" under the state's Act 47 program. Under that program, the state appoints a coordinator to develop a recovery plan and the city would be eligible for additional grants and loans from the state.

Also contributing to the city's fiscal problems is the $520,000 in annual loan payments in has to make on the $1.4 million it borrowed to build the Penn Street parking garage.

"The prior administration financed it and it doesn't generate enough money to pay the loan obligation so you can see it's just come at us in every direction," Mr. Fike said.

Two years ago, Brownsville, another struggling Fayette County town, was forced to furlough its entire police force and all but one municipal employee.

"If it wasn't for the financial institutions and the courthouse [Uniontown] would be dead like Brownsville," said Kenneth Hormiford, as he sat in Sam's Coffee Shop on Beeson Boulevard.

For the past few years, Uniontown has been trying to revitalize its business district.

In 2004, 84 Lumber magnate Joe Hardy donated money to spruce up the business area, including building facades.

For the upcoming holiday season, retailers have banded together to come up with uniform store hours and special promotions, said Steve Neuwbauer of Neubauer's Flowers on Gallatin Avenue.

But Nasser Elayazra and his wife, Marie, owners of Sam's Coffee Shop, aren't convinced it's going to be enough.

"Business is very bad," Mr. Elayazra said. "Especially the last month."

"Everybody goes to the mall," Mrs. Elayazra chimed in. "Free parking."

As early as this week, the mayor plans to hold town hall meetings to explain to business owners and residents what the financial situation is and how it can be fixed.

"If city council and city employees can work together for the good of the city, then we can be part of the solution," he said.