Iron County Record | 1955-01-13 | Page 8 | City Council Studies Hydro-Electric Plant Finance Point

City Council Studies Hydro-Electric Plant Finance Point At the regular meeting of the City Council on Monday evening most of the time was spent in considering financial problems which have arisen from the construction con-struction of the new hydro-electric plant at Paragonah. which it is hoped will be In operation by Feb. 1, with line work and wiring of switchboard and control con-trol panels as the only unfinished unfinish-ed part of construction. In another special meeting of the council on Wednesday, further fur-ther investigation of the financial finan-cial end of the construction, in connection with city engineer Thomas C. Adams, it was revealed re-vealed that the cost of the plant is much higher than anticipated and a problem of extra financing Is eminent. When the plant was undertaken, undertak-en, estimated costs of the project pro-ject was set at $185,000 and the city authorized the issuance of bonds In the amount of $200,000 with $15,000 not to be sold unless needed. It became apparent some months ago that the extra $15,000 In bonds would have to be sold, and at this week's meetings it was determined that additional financing to the extent of at least $75,000 would be needed to finish the plant. After much discussion and investigation in-vestigation of Parowan city's hydro electric revenues and obligations obli-gations which this revenue is pledged to pay, the council advised ad-vised Mr. Adams, engineer, to investigate in-vestigate ways and means of meeting this deficit during the week in Salt Lake City, and to report back at a meeting to be held next week.