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Thursday, April 23, 2026 at 10:42 PM
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City Council Approves Liquor Licenses, Continues Power Agreement

City Council Approves Liquor Licenses, Continues Power Agreement
Rhythm and Rush take over the Telegraph Coffee and Tap space next to Louie’s Ace Hardware. Photo courtesy of Rhythm and Rush.

At its March 17 meeting, the Fallon City Council approved multiple business agenda items, including liquor licenses for local businesses, the extension of a power resource agreement, and standard financial matters.

City Council members unanimously approved a liquor license manager change for American Legion Post 16 at 90 N. Ada St. Adjutant, and judge advocate for the organization, Paul Valentin, will take over management responsibilities.

Council members clarified that the request involved only a manager change, not a new license.

Valentin confirmed, adding, “I have another bar manager, who is a paid employee, who does manage the bar. I will oversee her, along with our HR manager, making sure all the operations are in compliance.”

In a 3–0 vote, the council also approved a drinking establishment and cabaret license for Jesse Morrow, owner of Morrow Investments LLC, doing business as Rhythm Taphouse, at 1805 W. Williams Ave., allowing live entertainment. The taphouse will share space with Rush Coffee Co. in the former Telegraph Coffee and Tap building, with both businesses scheduled to open April 4.

During discussion, Councilman Paul Harmon asked about the relationship between the two businesses. Morrow said they would operate separately but with overlapping hours, adding safeguards would be in place to ensure compliance with alcohol service regulations. “100% of any of the alcohol will be managed entirely by me and my staff,” he said.

Morrow said the venue plans to host open mic events and live bands a couple of times a month. “I believe the stage would comfortably fit 4-5 musicians. That is kind of what we are trying to keep there.”

In another item, the council approved the continued assignment of the city’s entitlement to power under its Base Resource Agreement with the Western Area Power Administration to the Truckee Donner Public Utility District.

Deputy City Attorney Sean Rowe explained that Fallon maintains power entitlements through two projects overseen by the Western Area Power Administration, but the city is not currently able to access that power directly. 

Councilwoman Karla Kent asked whether the agreement generated revenue for the city.

Rowe clarified that this agreement does not generate any revenue for Fallon. “What this enables us to do is to continue to maintain that resource, despite the fact that we cannot receive it.” 

In a later interview, Chief of Staff Bob Erickson provided some background on the agreement, which he said has been in effect for decades. The contract with Truckee Donner Public Utility District renews every ten years and must be approved by the city council. 

Expounding on what Rowe said, Erickson explained that while Fallon has a claim to a portion of the hydroelectric power generated at Stampede Reservoir, there no infrastructure in place that can deliver it to Fallon. “Getting that power to the area would cost far more than the value of the power,” he said. 

The agreement was made thought Utah Associated Municipal Power Systems (UAMPS), which largely serves Utah, but also provides power to several small municipalities in other western states. The Truckee Donner Public Utility District and the City of Fallon are two such municipalities, with Fallon’s energy delivered through NV Energy. The agreement allows Truckee Donner access to the power while ensuring the city’s claim to power generated at Stampede active.

It’s about wash,” Erickson continued, who said that this is a mutually beneficial agreement with no financial impact to the city. He added, “We would lose the allocation without using it,” noting that the claim would be forfeit if the energy is not utilized. 

The council approved the assignment and supporting resolution on a 3-0 vote.

Fallon Police Chief Daniel Babiarz also presented the department’s monthly report for February, noting 592 calls for service. The report included 48 arrests, 74 traffic stops with 19 citations issued, 25 accidents, and 10 theft calls. Two domestic battery cases and four battery cases were also reported.

 

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