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FILE- In this Oct. 28, 2008, file photograph, Southaven Mayor Greg Davis is interviewed in Olive Branch, Miss., during his failed congressional race. (The Associated Press)
Davis has served as mayor the northwest Mississippi city for 16 years.
Davis says in a statement released Thursday that he reached the decision after talking with his partner and family.
The 46-year-old Davis, who admitted he was gay more than a year ago, cited a long list of accomplishments during his tenure in the release. He did not mention his legal problems as a factor.
State Auditor Stacey Pickering has ordered Davis to repay more than $170,000 including penalties and interest that Pickering said was misspent from city funds.
Davis was indicted in December on state charges of making false statements related to a car purchase, city gas and a check from a city account.