A. For the purposes of providing broadband service, if a generation and transmission cooperative, directly or through its affiliate, expands the use of an existing easement or other property right that is owned, held or used by the cooperative to provide electricity or other services and the expanded use reduces the fair market value of the property over which the easement or other property right runs, the property owner is entitled to just compensation from the cooperative.

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Terms Used In Arizona Laws 10-2151

  • Action: includes any matter or proceeding in a court, civil or criminal. See Arizona Laws 1-215
  • Address: means a mailing address. See Arizona Laws 10-140
  • Affiliate: means a person that directly or indirectly, through one or more intermediaries, controls, is controlled by or is under common control with another person. See Arizona Laws 10-2121
  • Broadband service: means providing access and transport to the internet, computer processing, information storage or protocol conversion at a download rate of at least twenty-five megabits per second and at an upload rate of at least three megabits per second. See Arizona Laws 10-2121
  • Class: refers to a group of memberships that have the same rights with respect to voting, dissolution, redemption and transfer. See Arizona Laws 10-3140
  • Court: means the superior court of this state. See Arizona Laws 10-140
  • Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
  • Fair market value: The price at which an asset would change hands in a transaction between a willing, informed buyer and a willing, informed seller.
  • Generation and transmission cooperative: means a corporation that is organized under this article or that becomes subject to this article as provided in this article. See Arizona Laws 10-2121
  • Property: includes both real and personal property. See Arizona Laws 1-215

B. The property owner must commence an action in the superior court for just compensation based on diminution in value not later than eighteen months after the date the generation and transmission cooperative provides notice to the property owner of the expanded use for broadband service. If an action is not commenced within this time, the expanded use is deemed fully vested in the generation and transmission cooperative and its affiliate without the need to pay just compensation and the expanded use runs with the land.

C. Notice under subsection B of this section is effective if sent by first class mail to the last known address of the property owner or by other commonly used publication or communication channels employed by the generation and transmission cooperative.

D. In an action for just compensation based on a claim of expanded use for broadband service all of the following apply:

1. The court or jury shall ascertain and assess the diminution in value of the property based on the difference between the fair market value of the entire parcel immediately before the expanded use and the fair market value of the entire parcel immediately after the expanded use.

2. Evidence of revenues or profits derived from or the rental value of an assembled communications corridor are not admissible in determining fair market value.

3. On payment of just compensation, the expanded use for broadband service shall be deemed fully vested in the generation and transmission cooperative and its affiliate and the expanded use shall run with the land.

E. A class action may not be maintained against a generation and transmission cooperative or its affiliate in any action for just compensation based on a claim of expanded use for broadband service.

F. Actions for just compensation as described in this section include trespass, inverse condemnation and other similar causes of action.

G. This section does not prohibit a generation and transmission cooperative or its affiliate from reaching an agreement with a property owner to waive a claim for just compensation related to expanded use for broadband service or from acquiring the right to use the property for broadband service by other lawful means.