Gmod DarkRP Horrible Server lag

[mccodi]

Server OS: Windows Server 2012
Processor: Intel Xeon E5-2690 @ 2.9 GHz
Ram: 4GB DDR3
Game(s): Garry's Mod (Gamemode: DarkRP)
Start Up Command:

Code:

-console -game garrysmod +maxplayers 32 +tickrate 66 +map rp_downtown_v4c_v2 +port 27015

Admin Mods: ULX

Server.cfg

Code:

// Make sure the right people are banned
exec banned.cfg
exec banned_user.cfg

// Name Of Server
hostname "GamersUprising.net DarkRP | Customizable Weapon | Cars"
sv_loadingurl "http://www.gamersuprising.net/niqqa/example-background-image.html?steamid=%s"
sv_downloadurl "http://gamersuprising.net/darkrp"
sv_kickerrornum 0
sbox_godmode 0
sv_hitnums_critmode 0
sv_allowcslua 0
itemstore_ctrle 0


// General HL Cvars
mp_fraglimit 0
mp_footsteps 1
mp_flashlight 1
decalfrequency 60
mp_decals 100
mp_falldamage 1
sv_cheats 0
sv_allowupload 0
sv_allowdownload 1




// Rcon Stuff
rcon_password "xxxxxxxxxxxxx"

//files

// disable lag compensation
//sv_unlag 1

heartbeat

sv_stats 0
sv_region 0

sv_minrate 0
sv_maxrate 30000
decalfrequency 10
sv_maxupdaterate 15
sv_minupdaterate 15
sv_maxcmdrate 500
sv_mincmdrate 10

sv_parallel_packentities 1
sv_parallel_sendsnapshot 1
net_queued_packet_thread 1
net_splitpacket_maxrate 80000

writeid

Internet Speed:



The server starts to lag when it reaches to about 16 players. It's set to high priority, and the affinity is set to CPU 1. There's barely any props on the server, and it just starts lagging horribly. There's no rubber banding. Players don't jump back to their previous location. It's just lag.
I'm on a VPS.


Full Image: http://img607.imageshack.us/img607/7100/9ii6.jpg

What makes it lag?