This amendment requires cities to pay for moving telecommunications lines when construction projects funded by voter-approved bonds need them relocated, with specific rules on how much can be paid and how claims are processed.
Arizona2026Enacted
SB1620
SB1620: Rules for Moving Utility Lines and Paying Costs
Last scannedAug 25, 2026, 2:01 AM
In one sentence
This law requires cities to pay telecommunications companies when construction projects funded by voter-approved bonds force the companies to move their equipment.
What it does
- Requires a city to give public notice at least 30 days before asking a utility company to move its facilities for a bond-funded project.
- Mandates that cities create a process for utilities to apply for reimbursement of relocation costs.
- Orders cities to pay verified claims within 90 days after receiving them from the utility companies.
- Limits total payments for moving lines without existing land rights to no more than two percent of the project's bond money.
- Requires cities to provide equal or equivalent land and permit rights in new locations at the city's expense.
Who it affects
- Cities, towns, and charter cities that fund construction projects with voter-approved bonds
- Telecommunications utilities including cable, telephone, internet, video service providers, and telegraph line corporations
Limits and unknowns
- The law does not apply to projects where the voter approval for bonds happened before January 1, 2017.
- Cities may still have to pay more than this law requires if they already signed agreements with utility companies.
Plain language
Terms to know
- Relocation costs
- The actual expenses a utility company spends to move its equipment due to construction. This includes overhead but does not include profit.
- Voter-approved municipal bond project
- A city construction plan that is funded by money raised through bonds approved by voters in an election.
Official record
Sources
Official summary
SB1620 - 572R - Senate Fact Sheet Originally assigned to MABS�������������������������������������������������������������������������������������� AS PASSED BY HOUSE Now GOV-related ARIZONA STATE SENATE Fifty-Seventh Legislature, Second Regular Session AMENDED FACT SHEET FOR S.B. 1620 Arizona space commission; board; membership ( NOW: utility relocation notification ) As passed by the Senate, S.B. 1620, modified the membership of the Arizona Space Commission Board of Directors and required the Lieutenant Governor to serve as chairperson. The House of Representatives adopted a strike-everything amendment that does the following: Purpose ����������� Requires a municipality to develop a reimbursement process for a telecommunication's utility facility relocation cost and provide public notice of any voter-approved municipal bond project at least 30 days before a request to relocate the telecommunications utility's facility. Background ����������� If any construction project in a municipality requires a telecommunications utility to adjust or relocate the telecommunications utility's facilities is undertaken individually or jointly by an intergovernmental contract and is funded in whole or in part by voter-approved municipal bond proceeds, then the municipality must reimburse the telecommunications utility or cause for reimbursement for the costs incurred on facilities located within the municipal boundaries. If the telecommunications utility has existing land rights, the municipality must provide the telecommunications utility with equal land rights in the new location of the relocated facilities at the municipality's expense. If the telecommunications utility's existing facilities are located in the right-of-way under a permit, then the municipality must provide the telecommunications utility with rights in the new location of the relocated facilities equivalent to the telecommunications utility's existing rights under the permit. A telecommunications utility must submit a verified itemized claim to the municipality for reimbursement of relocation costs within 180 days after each calendar quarter in which the telecommunications utility incurs the relocation costs. A municipality must: 1) review each submitted verified itemized claim; 2) reimburse the telecommunications utility for the relocation costs within 90 days after receipt of the verified itemized claim; and 3) reimburse verified itemized claims from all affected telecommunications utilities in the order of receipt. Relocation costs mean all costs of relocating that the telecommunications utility incurs as a direct result of the construction and operation of a construction project and does not include profit but may include a reasonable allocation of general overhead expenses ( A.R.S. � 9.461.17 ). ����������� There is no anticipated fiscal impact to the state General Fund associated with this legislation. Provisions 1. Requires a municipality, at least 30 days before a request to relocate a telecommunication utility's facility, to provide the telecommunications utility with public notice of any voter-approved municipal bond project. 2. Requires a municipality to develop a reimbursement process for a telecommunications utility to apply for reimbursement of the relocation costs of the telecommunications utility's facilities.� 3. Makes technical changes. 4. Becomes effective on the general effective date. Amendments Adopted by the House of Representatives � Adopted the strike-everything amendment relating to telecommunication utility relocation. House Action ST������������������� 3/23/26���� W/D GOV�������������� 3/25/26���� DPA/SE����� 7-0-0-0 3 rd Read��������� 4/14/26����������������������� 48-7-5 Prepared by Senate Research April 14, 2026 AN/KP/ci
Official activity
Bill history
- Governor signedSenate
- Senate passedSenate
- Senate passedSenate
- Senate minority caucusSenate
- Transmitted to SenateSenate
- House third read passedHouse
- House committee of the wholeHouse
- House minority caucusHouse
- House majority caucusHouse
- House second readHouse
- House Rules: C&PHouse
- House Government: DPA/SEHouse
- House Science & Technology: W/DHouse
- House first readHouse
- Transmitted to HouseHouse
- Senate third read passedSenate
- Senate minority caucusSenate
- Senate majority caucusSenate
- Senate consent calendarSenate
- Senate second readSenate
Changes
Amendments
2 stored
This amendment requires cities to pay for moving internet, phone, and cable lines when construction projects funded by voter-approved bonds need them relocated.