Mike Gorrell – The Salt Lake Tribune
Eagle Mountain City is out of the utility business.
The northern Utah County city of 24,000 completed sales Wednesday of its gas system to Questar Gas Co. for $11.4 million and its electric-power operations to Rocky Mountain Power for $24 million. The deals, in the works for almost a year and overwhelmingly approved by city voters in November, will enable the city to reduce — by $26 million — the debt load it took on in establishing those utility systems, said Eagle Mountain spokeswoman Linda Peterson.
“As Eagle Mountain City continues to experience rapid growth, the sale of the gas and electric utilities will decrease our current and future debt, provide more resources and increase potential for rate stability,” Mayor Christopher Pengra said in a news release after signing sales agreements with Rocky Mountain Power President Cindy Crane and Questar Gas Vice President Craig Wagstaff.
Rocky Mountain Power has transmitted electricity to Eagle Mountain City since its 1996 incorporation and now will provide power directly to city residents and businesses. Crane pledged to invest in additional lines and services in the city, whose 44 square miles of territory offers significant growth potential.
“We are committed to do our part to help the city plan and prosper as it grows,” she said. (…)