Perry and Layton voted Thursday evening to back the refinancing that calls for Utopia to issue $189 million in bonds that will be used to retire earlier debt taken on by the system that carries a higher interest rate.

"As a 30-year Qwest veteran I obviously have some biases on the Utopia issue," said Layton Mayor Steve Curtis, who four years ago recused himself from the initial vote on whether the city should join the network and pledge $1.6 million for 20 years to back the system's debts. "And I'm just glad I didn't have to vote [on the refinancing] again this time."

Layton's City Council voted 3-2 in favor of supporting the refinancing. Perry's City Council voted 5-0 to support the proposal. Brigham City, which also was scheduled to vote Thursday evening, tabled the matter. Its City Council will take up the issue again Thursday.

Utopia's bond counsel, Laura Lewis, conceded earlier this week that if the refinancing isn't approved the network will be forced to call in its pledges from its 11 member cities, which four years ago committed a combined $202 million in taxpayer money over 20 years to cover the network's debts.

And if that happens, Utopia will have little option but to shut down because it no longer will have any money to operate.

In order to refinance its debt and get a favorable interest rate, Utopia needs its member cities to increase their previous pledges totaling $202 million over 20 years to nearly a half-billion dollars over 32 years.

Earlier this week, Midvale, Lindon, Tremonton and West Valley City gave their approval. However, the Payson City Council voted to reject the proposed refinancing. Two others, Orem and Centerville, postponed consideration of the matter.

Centerville will take up the matter again Tuesday. Orem will reconsider the issue Friday.

Murray for the first time will consider increasing its pledge and backing the refinancing on Monday.

Along with providing an additional $11 million to continue the construction of its system, Utopia also intends to use $24 million from the offering to cover its operating costs and the payments on its bonds for the next two years while it tries to implement a new business plan that it hopes will put the system on a sound financial footing.

steve@sltrib.com