The main application.config is where you application will read the config from. the other configs are not looked at.
What are you trying to do and maybe there is a better solution using a class made up of ConfigurationElements and a custom Section
if you make the utilities application read from the utilities.config file you will cause confusion later on when another developer tries to edit the config or needs to debug and they will only look in the main applications config. it is just not a standard from my experieince