The American Samoa governor, Togiola Tulafono, has told directors of government agencies to prepare their workers for the possibility of layoffs.
The directors have been informed that the government is 214,000 US dollars in the red and it may struggle to meet the payroll next week.
Three of the directors who spoke with KHJ News say the governor is blaming the Fono, particularly the Senate, for not passing the administration's revenue bills.
The governor reportedly made claims that Senators blocked the bills to hurt the Lieutenant-Governor Faoa Aitofele Sunia's run for governor.
He has threatend to cut the lawmakers' expense allowances because of the government's poor financial state.
