ANCHORAGE, Alaska (AP) – The Anchorage Assembly has signed off on the $1 billion deal for Chugach Electric Association to buy the city-owned electric utility.

The Anchorage Daily News reports the city officials unanimously approved the sale of Municipal Light and Power on Tuesday, sending the deal to the Regulatory Commission of Alaska for approval.

Julie Hasquet, Chugach Electric’s director of corporate communications, says the parties plan to file with the commission by the end of January.

Anchorage voters approved the deal in April.

Under the deal, Chugach Electric will pay $768 million up front and then make annual payments to the city.

The city plans to use part of the money to pay down the utility’s debt, replace lost tax revenue and fill a city trust fund.

Information from: Anchorage Daily News,