2016 Arizona Revised Statutes
Title 9 - Cities and Towns
§ 9-461.17 Telecommunications utility relocation; cost reimbursement; definitions

9-461.17. Telecommunications utility relocation; cost reimbursement; definitions

A. To the fullest extent allowed by law, if any construction project in any municipality that is undertaken individually or jointly by an intergovernmental contract and that is funded in whole or in part by voter-approved municipal bond proceeds requires that a telecommunications utility adjust or otherwise relocate the telecommunications utility's facilities, the municipality shall reimburse the telecommunications utility, or cause the telecommunications utility to be reimbursed, for the telecommunications utility's relocation costs incurred on facilities located within the municipal boundaries.

B. If the telecommunications utility has existing land rights, the municipality shall provide at the municipality's expense the telecommunications utility with equal land rights in the new location of the relocated facilities. If the telecommunications utility's existing facilities are located in the right-of-way under a permit, the municipality shall provide at the municipality's expense the telecommunications utility with rights in the new location of the relocated facilities equivalent to the telecommunications utility's existing rights under the permit.

C. A telecommunications utility shall submit a verified itemized claim to the municipality for reimbursement of relocation costs within one hundred eighty days after each calendar quarter in which a telecommunications utility incurs relocation costs.

D. The municipality shall:

1. Review each verified itemized claim submitted pursuant to subsection C of this section. The review may include an audit conducted pursuant to standard industry accounting principles.

2. Reimburse the telecommunications utility for the relocation costs within ninety days after receipt of the verified itemized claim.

3. Reimburse verified itemized claims from all affected telecommunications utilities in the order of receipt.

E. The reimbursement limitation for paid claims of relocation costs for telecommunications utility facilities for which there are no existing land rights is not more than two percent of the total project monies. The total project monies is the total dollar amount of all voter-approved bond proceeds that fund a construction project from time to time.

F. The total amount of reimbursement paid for claims of relocation costs of all telecommunications utility facilities for which there are no existing land rights may not exceed the reimbursement limitation.

G. If a verified itemized claim causes the total amount of all claims for telecommunications utility relocation costs to exceed the reimbursement limitation, that claim shall be reduced so that the total amount of reimbursement paid for all claims for which there are no existing land rights equals the reimbursement limitation.

H. If the dollar amount of the reimbursement limitation increases as a result of an increase in total project funds after the previous reimbursement limitation is exhausted, within thirty days after the reimbursement limitation is increased the municipality shall resume processing previously submitted and new verified itemized claims under this section.

I. The reimbursement limitation does not apply to any claims for reimbursement of relocation costs for telecommunications utility facilities with existing land rights or any amounts paid by the municipality to provide equivalent land or permit rights. These claims and amounts are excluded from the reimbursement limitation.

J. This section does not:

1. Apply to a construction project funded in whole or in part with voter-approved municipal bond proceeds if approval of the bonds was referred to the voters, or the initiative petition for the bonds was applied for, before January 1, 2017.

2. Prohibit a municipality from complying with other applicable law, or with an agreement, that requires the municipality to reimburse a telecommunications utility for more relocation costs than this section provides.

K. For the purposes of this section:

1. " Intergovernmental contract" means the joint exercise of powers authorized by title 11, chapter 7, article 3.

2. " Municipality" includes a charter city.

3. " Relocation costs" means all costs of relocating a telecommunications utility's facilities that the telecommunications utility incurs as a direct result of the construction and operation of a construction project. Relocation costs do not include profit but may include a reasonable allocation of general overhead expenses.

4. " Telecommunications utility" means any public service corporation, licensed cable system operator, telephone line or telegraph line corporation, agricultural improvement district or other person engaged in the transmission, sale or delivery of telecommunications, telephone, cable television, internet or telegraph service directly to the public or to other users as to be effectively available directly to the public.