Council accepts developer-funded $10,000 deposit to evaluate municipal power plan, tables resolution on creating utility

Toquerville City Council on May 21 approved a cost-reimbursement agreement with a solar developer that will deposit $10,000 to pay for the city—s evaluation of creating a municipal power department, and separately tabled a resolution that would authorize the city to move toward creating a municipal electric utility. City staff said the $10,000 would cover the initial costs of evaluating whether establishing a municipal power department is feasible, and that the deposit would be held by the city while the work proceeds.

The agreement approved Tuesday says the developer will "deposit with the city the amount of $10,000" to reimburse costs incurred while the city evaluates the project. City staff summarized the arrangement as limited to the evaluation stage and not to the cost of creating or operating a utility.

Why it matters: The two agenda items were linked. One is a private developer offering money to cover the city—s evaluation costs; the other is a policy-level…