Cochise supervisors approve liquor license, land‑use abandonment, airport lease and grants; public comment raises concerns about legal bills

The Cochise County Board of Supervisors approved a slate of routine and project items July 1, including a restaurant liquor license, a subdivision partial abandonment with a replacement assurance agreement, a 15‑year hangar lease at Bisbee‑Douglas International Airport for a local film studio, continuation of health‑grant staffing through an Arizona Department of Health Services intergovernmental agreement, and a reimbursement grant for countywide 9‑1‑1 services. All motions passed by recorded voice votes reported as 3-0 unless noted.

Votes at a glance

- Series 12 liquor license: Approved. Motion to approve a new Series 12 restaurant liquor license for the Windmill Café at 1040 East Eastland Road, Cochise (applicant: Shasta Janette Wells). Staff confirmed property taxes current, statutory notice complied with and no formal protests. (Outcome: approved; vote 3-0.)

- Rolling Hills partial plat abandonment and assurance agreement substitution: Approved. The board approved a partial abandonment of undeveloped portions (phases C and D) of the Rolling Hills Subdivision west of Benson, covering 31.9 acres and 35 parcels, and accepted a replacement assurance agreement that requires completion of outstanding improvements within five years; the new assurance agreement expires July 2030. (Outcome: approved; vote 3-0.)

- Hangar 3 lease at Bisbee‑Douglas International Airport: Approved. The board approved an amended 15‑year lease with Rancho Relaxo Films for Hangar 3 (July 1, 2025–May 30, 2040) for non‑aeronautical use as a film studio/soundstage and indoor FAA Part 107 drone training, with $3,750 per quarter rent (CPI adjustments) and provisions allowing the county to reclaim the hangar with 30 days’ notice if aviation demand requires it. The lease requires FAA‑mandated language, insurance, and tenant‑funded improvements to remain at county property at lease end. FAA approval of non‑aeronautical lease language was secured. (Outcome: approved; vote 3-0.)

- ADHS Healthy People, Healthy Communities IGA: Approved. The board approved the intergovernmental agreement to continue the county’s Healthy People, Healthy Communities program (first year of a five‑year cycle). The 100% grant funds additions to staff (one Health Educator 3 FTE and one Behavioral Health Tech FTE) and supports prevention programs including tobacco and chronic disease prevention and youth mental health work. (Outcome: approved; vote 3-0.)

- ADOA AZ911 grant agreement: Approved. The board accepted a 100% reimbursement grant from the Arizona Department of Administration to fund public‑safety answering‑point services countywide (amount: $299,925 for July 1, 2025–June 30, 2026). The county’s 9‑1‑1 coordinator said reimbursement will follow monthly billing. (Outcome: approved; vote 3-0.)

Items discussed

Public comment on legal defense payment: Lisonbee (Lisonbee) Morris, a caller during the public-comment period, urged the board to reject a proposed $300,000 request tied to legal expenses for Supervisor Tom Crosby related to 2022 election‑related litigation. Morris said previous litigation had already cost taxpayers tens of thousands and raised questions about funds raised privately on behalf of the supervisor, whether plea offers had been declined, and whether county approval of additional payments could constitute an unlawful gift under the Arizona Constitution (Article IX, §7). Supervisor Crosby responded in the meeting with a summary of his actions and the motions he had made in 2022, saying he believes he acted lawfully; he also noted he has declined plea offers because he believes he is not guilty. No formal motion regarding county payment to the supervisor appeared on the posted agenda at this meeting.

Airport lease and FAA conditions: Development staff and airport staff told the board the hangar needs substantial improvements (HVAC, electrical and plumbing) and that the tenant will fund and carry insurance; the FAA required reclamation language to ensure aviation needs can reclaim the hangar in the event of increased air traffic. The lease allows the county to benefit from tenant improvements at lease end.

Subdivision abandonment details: Development Services staff explained the Rolling Hills abandonment will consolidate parcels into three lots (two beneficiaries), exclude an existing El Paso Natural Gas easement from the conveyed fee, and require completion of an approved turnaround and other improvements before lot release.

Grants and operations: Health‑department staff said the ADHS contract is fully grant funded and continues eleven years of the county’s Healthy People, Healthy Communities work; 9‑1‑1 staff described the ADOA grant as a reimbursement mechanism for countywide public‑safety answering costs.

What’s next

The board scheduled a separate public hearing on the jail district (Resolution 25‑16) for Aug. 5, 2025, and staff will post statutory notices and prepare a publicity pamphlet to go to households with registered voters. Staff also indicated they will work with FAA and county finance to finalize lease and grant accounting. Several supervisors requested follow‑up reports on implementation and potential policy refinements for zoning, airport operations and the jail‑district materials before the August hearing.