PRESENTED BY:MARNIE CHRISTINE CODY, ESQ.

ANDDONNA DESMOND, ASA

Alternatives to Compensation in Billboard

Removal

Eight – SheetsEight – Sheets Poster PanelsPoster Panels

Billboards in the Way

Bulletins - StaticBulletins - Static DigitalsDigitals

Billboards in the Way

What’s the Problem?

Billboards have significant value

Value is locational dependant

Local ordinances restrict relocation/replacement

State restricts location of billboards

Property owners may not approve

Controlling Authorities

City or County Issues building permit Regulates placement or relocation of billboards

within area of jurisdiction

Caltrans Outdoor Advertising Act controls placement and

operations of all billboards within 660 ft. of and visible from state and federal controlled right of way and in many instances, billboards beyond 660 ft. that are or would be primarily visible from the right of way

Regulates size, placement, illumination, distance between billboards and proximity to commercial/industrial areas

Cal Bus. & Prof Code §5412 – The Bible of Relocation

… “no advertising display which was lawfully erected anywhere within the state shall be compelled to be removed” …

... “without payment of compensation, as defined in Eminent Domain Law” …

... “The compensation shall be paid to the owner or owners of the advertising display and the owner or owners of the land upon which the display is located.”

Cal Bus. & Prof Code §5412 – The Bible of Relocation

‘Relocation,’ as used in this section, includes removal of a display and construction of a new display to substitute for the display removed.

It is a policy of this state to encourage local entities and display owners to enter into relocation agreements which allow local entities to continue development in a planned manner without expenditure of public funds while allowing the continued maintenance of private investment and a medium of public communication. Cities, counties, … are specifically empowered to enter into relocation agreements on whatever terms are agreeable to the display owner and the city, county …

Alternatives to Compensation

What are the parties goals?

Sign operator’s goal = preservation of asset & income

Agency’s goal = development in a planned manner without expenditure of public funds

Is it only an encroachment issue?

Reaching the Parties’ Goals:

It all starts with communication

Can the sign’s removal be avoided?

Is there any rush to clear the property?

Considerations When Sign is Compelled to be Removed

Potential for Same-Site Relocation Sign In-Kind Sign Upgrade

Alternative Site Relocation What is a comparable site? It is not “relocation” if the sign operator already could

have constructed there. Build new or modify existing signs & expand

entitlements?

Case Study #1

Single 12’ x 24’ sign showing to Hwy 126

Condemned for redevelopment purposes

ED filed and settled by negotiated agreement

Sign owner has continued possession

Parties in cooperation toward relocation, site selection & agency approvals

Right to compensation secured in amount to be determined if possession is ended w/in 15 years with no relocation

Case Study #2 – A 7½ Year Odyssey

14 signs acquired through eminent domain for roadway construction

All conventional static billboards of varying size showing to greatly traveled high demographic thoroughfare

Valued at $14,000,000

Result: sign company relocated 4 billboards including 2 electronic displays adjacent major freeway on property owned by condemning agency

Case Study #2 – A 7½ Year Odyssey

It takes a village: Local Transportation Authority

City Council District Mayor

Dept. of City Planning, Community Planning Bureau & Dev. Services

Public Work Bureau of Engineering EIR Consultant

Community Redevelopment Agency Bureau of Street Services

Department of Building & Safety State Department of Transportation