Mayor Kelli Linville presented a preliminary budget for next two years to the city council this week.
Linville says some city programs, like the clean green transfer facility, will see fee increases to make them pay for themselves.
She says the city is not planning any employee layoffs, but will slightly reduce staff through retirements and resignations.
The plan is to bring the city down to $400,000 in deficit spending in 2013 and zero deficit spending in 2014.
The city council is scheduled to consider passing a final budget on December 3.