Arizona cities cover telecom moves for bond-funded construction

For covered projects, municipalities reimburse utilities for eligible costs to move facilities and provide equivalent land or permit rights at the new location. The rules cover telecommunications utilities whose facilities must move for a municipal construction project funded partly or wholly with voter-approved municipal bonds. The project must be in a municipality, use voter-approved municipal bond money in whole or in part, and require a utility to adjust or move its facilities. Costs must result directly from the project; they exclude profit but may include a reasonable share of general overhead. For facilities without existing land rights, total payments are capped at 2% of project funds, and claims may be reduced to stay within that cap. The cap does not cover facilities with existing land rights or the cost of equivalent land or permit rights. The rules exclude projects whose bond approval was referred to voters, or whose initiative petition was applied for, before January 1, 2017. Other laws or agreements may require greater reimbursement. Utilities submit verified, itemized claims within 180 days after each calendar quarter in which they incur costs. Cities review claims and reimburse them within 90 days after receipt, in the order received.

Municipalities give public notice of covered bond projects and develop a process for utilities to apply for relocation-cost reimbursement. These duties apply to municipalities and telecommunications utilities affected by a voter-approved municipal bond project. Notice is due at least 30 days before a request to relocate a utility facility.