Residents of Ogden Valley are on the verge of being hooked up to natural gas service as construction crews make their way into the area from Trapper's Loop. The work will be completed by the time cooler weather comes in the fall.
The cost to install the $4.5 million system in the valley originally was to be partially funded by a special service district organized by the Weber County Commission.But on June 20, commissioners informed Mountain Fuel that negotiations regarding the issuance of revenue bonds failed when the special service district's investment firm needed a monthly service charge that was more than customers could afford when hooking onto the system.
Mountain Fuel Supply Co. officials went to the Public Service Commission and said they wanted to continue where the special service district left off.
As a result, Mountain Fuel officials received permission from PSC to construct the entire project and collect the special service district's portion by assessing an extension area charge on residents' natural gas bills.
That charge will be the same as the monthly charge the special service district originally proposed and quoted to area residents when they signed up for service.
"We pursued a number of financing options with the special service district to get natural gas service to Ogden Valley and portions of Morgan County, but based on the criteria we had established, we kept running into barriers," said Weber County Commissioner Bruce Anderson.
Mountain Fuel officials said natural gas bills for Ogden Valley residents will vary each month depending on how much gas is used, but the monthly extension charge will remain at $27.50. That charge will continue to appear on bills until the $2.3 million up-front contribution is paid.
In an effort to answer questions about the construction and the charges, a public hearing will be held at 7 p.m. on Monday, July 15, in the Snowcrest Junior High School in Eden.
Mountain Fuel has established a temporary office at 7340 E. 200 South in Huntsville so residents can sign up for natural gas service or talk to a company representative. Office hours are 8 a.m. to noon on Mondays, Wednesdays and Fridays.