In the winter of 1869, he accompanied Brigham Young to southern Utah to seek out locations for new Mormon settlement. In 1870, Young directed him to form a settlement at the abandoned outpost of Kanab. Stewart arrived in June. He led a number of families to the area. Levi Stewart became the first Mormon Bishop of Kanab, Utah in September 1870. Over the next several years he directed the construction of dams and roads in the area, and he helped build a good relationship with the local Indians.