* The City Rep theater company has announced it will be opening the upstairs theater at the Utah Theater, 148 S. Main, for family stories from classic literature.

The upper theater will feature an open-thrust stage patterned after the Festival Theatre in Stratford, Ontario, Canada, which will bring actors and audience closer together.The new area will seat 400.

"It has been a dream of mine to help young people discover the joy and worth of creativity as others helped me as I was growing up," says Joanne M. Parker, City Rep artistic director.

The new area will open on Oct. 10 with its first production, "The Pumpkin Giant." Following "Pumpkin" will be "Babes in Toyland" in the downstairs theater.

Other upcoming shows include "The Emperor's New Clothes" and "The Lion, the Witch and the Wardrobe," the C.S. Lewis classic.

The new theater will be open most Mondays as well as Fridays and Saturdays. A ticket to all five shows there will be $20 for children, $25 for adults.

For information, call 532-6000.

* The Payson Community Theater is celebrating its 20th anniversary with performances of "Hello Dolly!" The musical opens at 8 p.m. Friday, Aug. 26, in the Payson High School auditorium, 1050 S. Main St., and continues Saturday, plus Sept. 1-3, 5 and 7-10.

David C. Dahlquist is both artistic and musical director for the cast of 25 and a live orchestra. Doris Gasser, who played Dolly Levi 15 years ago in a PCT production, is recreating the title role of the town matchmaker. David E. Larsen plays the wealthy widower, Horace Vandergelter.

Nancy Wilson portrays Irene Malloy, and Keith Judd and Matthew Harward play Cornelius and Barnaby. Others in the cast are Shelli Logue, Evelyn Hassard, Barbara Lee, Boydell Bown, David Herbert, Nolan Hill, Ardis Leatham, Stanley K. Peck and Curt Lester. Choreography and set design are by Neil Vanderpool and costumes are by Judy White.

Tickets are available in advance from Will-O Hobby, 151 S. Main, and will also be sold at the door. Seats are $4.50, $5.50 and $6.50. Family rates are available. Children who attend should be over 5 years old.