Perry said the original feasibility study for the golf course was overly optimistic. That, coupled with an economic slowdown and a proliferation of golf courses in the area, has hurt what is a beautiful and appealing local course.

In addition, the city signed on to a risky payback schedule that factored in a revenue stream that hasn't materialized, Perry said, partly because a company the city expected would lease the course failed to get financing and pulled out.

"We had a good plan A but no plan B," said city administrator Konrad Hildebrandt.

Perry said he and others on the council are working with Zions Bank to adjust the payment and/or loan schedule.

He said at this point, it looks hopeful.

"We are aggressively pursuing a number of options. We've hired a consultant to help us. We are renegotiating the loan agreement. We are exploring ways to market the golf course," Perry said. "We are reviewing equipment leases and looking for ways to cut costs and we are developing a policy for dealing with losses."

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