Duly noted and that's what I kept telling myself. However, it just seemed more odd to me than some of the other "fantasy" scenarios that they conjure up simply because it seemed to contradict the internal logic of the show itself wherein the city was always a few steps away from another fiscal crisis.
I'm with you, and I like when shows work within their limits. But most people don't seem to care and things are written however the writers think they need to be written. FWIW, it's not new, either: Andy Griffith objected strongly to the Mayor Stoner character in TAGS season 3 because a mayor can't be the boss of a sheriff, a county official. But he was overruled because the producers wanted an antagonistic boss character like the one on The Lucy Show.
The "official" website for the City of Pawnee lists the population as being 79,218. That's higher than I would have guessed. Of course, to a TV writer in Los Angeles, anything under a million people is probably a small town.
That's interesting. I'm sure you're right, that qualifies as a small town for people who use the term "fly-over states."