BILL ANALYSIS                                                                                                                                                                                                    



                                                                  AB 1117
                                                                  Page  1

          Date of Hearing:   April 25, 2007

                   ASSEMBLY COMMITTEE ON GOVERNMENTAL ORGANIZATION
                              Alberto Torrico, Chairman
                  AB 1117 (Benoit) - As Amended:  February 22, 2007
           
          SUBJECT  :   Outdoor advertising

           SUMMARY  :   Deems an advertising display erected by a city or  
          county to advertise businesses operating within a redevelopment  
          agency project area, or within a business improvement district  
          whose boundaries partly or wholly overlap those of the  
          redevelopment agency project area, to be on the premises at any  
          location within 1,000 feet of the legal boundaries of the  
          redevelopment agency's project area if the display meets certain  
          conditions.  Specifically,  this bill  :  

          1)Provides that an advertising display erected by a city or  
            county to advertise businesses operating within a  
            redevelopment agency project area, or within a business  
            improvement district, as defined, whose boundaries partly or  
            wholly overlap those of the redevelopment agency project area,  
            may be considered to be on the premises at any location within  
            1,000 feet of the legal boundaries of the redevelopment  
            agency's project area if all of the following conditions  
            apply:

             a)   No other display is erected in that city or county, as  
               specified.

             b)   No other display is erected within any redevelopment  
               project area the boundaries of which are within 1,000 feet  
               of the display, as defined.

             c)   The display complies with all requirements as defined.

             d)   The placement of the display will not necessitate the  
               immediate trimming, pruning, topping, or removal of  
               existing trees in order to make the display visible or to  
               improve visibility unless done as part of the normal  
               landscape maintenance activities that would have been  
               undertaken without regard to the placement of the display.

             e)   The display would not cause a reduction in federal-aid  
               highway funds, as provided.








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          1)Provides that if the advertising display erected pursuant to  
            this section is removed for purposes of a transportation  
            project undertaken by the department, the display owner shall  
            not be entitled to monetary compensation for its removal.

          2)Provides that any display erected pursuant to this section may  
            remain in place only until completion of the redevelopment  
            project, as specified.

          3)Provides the display permit shall expire after five years  
            unless the business improvement district permit has been  
            renewed for an additional 10 years and the local government  
            requests an extension of the state permit, as specified.

           EXISTING LAW  :
           
           1)Establishes the Act, which regulates the placement of  
            advertising displays adjacent to and within specified  
            distances of highways that are part of the national system of  
            interstate and defense highways and federal-aid highways.  The  
            Act prohibits any advertising display from being placed or  
            maintained on property adjacent to a section of a freeway that  
            has been landscaped if the advertising display is designed to  
            be viewed primarily by persons traveling on the main-traveled  
            way of the landscaped freeway.

          2)Provides for limited exemptions and specified exceptions to  
            the prohibition on advertising along system and landscaped  
            freeways, including exemptions for signs advertising the  
            property's sale or lease, signs designating the premises or  
            its owner, and signs advertising goods or services  
            manufactured or produced on the property itself. 

          3)Allows a single advertising structure exemption for each of  
            several cities, including an exemption for advertising on  
            "street furniture" in San Francisco, several billboards  
            situated on the grounds of the Oakland-Alameda County Coliseum  
            complex, and structures within the Mid-City Recovery  
            Redevelopment Project Area within Los Angeles.

           FISCAL EFFECT  :   Unknown

           COMMENTS  :









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           Purpose of the bill  .  In essence, this bill was introduced to  
          allow the City of Riverside to erect a sign on city-owned  
          property adjacent to the 91 Freeway in order to advertise the  
          Riverside Plaza shopping complex.

          According to the author, this bill is needed to highlight local  
          destinations in the area, in order to bring greater economic  
          activity into the community and the Riverside Plaza.  Many  
          motorists passing through the area are unaware of the Riverside  
          Plaza, or do not think of it as a destination, simply because it  
          is located a few blocks off the 91 Freeway in Riverside.

          The author notes that the City of Riverside planned to erect an  
          outdoor advertising sign on a city owned parcel adjacent to the  
          freeway where landscaping could not exist because of an           
             existing electric substation.  However, the city was informed  
          by CalTrans that this particular segment of the 91 Freeway is  
          designated as a "Landscaped Freeway" pursuant to the Act.  For    
                    this reason, neither the Riverside Redevelopment  
          Agency nor the developer can erect a sign on this particular  
          section of freeway without intervention.

          The author states that a sign to advertise the newly renovated  
          Riverside Plaza is imperative to ensure the success of this  
          redevelopment project, by attracting shoppers from adjacent  
          area's and the nearby freeway.

          Proponents note that the Riverside Plaza, in the heart of  
          Riverside's Magnolia Center was constructed in the mid-1950s,  
          prior to the construction of the 91 Freeway, and was renovated  
          in the mid-1980s.  Unfortunately, unlike its competitors, the  
          Riverside Plaza does not have exposure to the freeway and sales  
          have steadily declined.  With the assistance of the Riverside  
          Redevelopment Agency, a developer demolished and rebuilt the  
          Center.  Once this state-of the-art shopping complex is  
          complete, it is imperative that it have freeway exposure in  
          order to draw patrons to assure a successful economic future.   
          The Riverside Plaza is slated for numerous             new  
          retail outlets in addition to Gottschalk's Department Store,  
          Trader Joe's, Savon Drugs, and Island's Restaurant.

          Background  .  The Act regulates the placement of advertising  
          displays (i.e., billboards) and signs along interstate or  
          primary highways, landscaped freeways and similar specified  
          highways.  It sets standards for the structures, including their  








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          size, identification and location, and requires compliance with  
          application procedures and conditions administered by Caltrans.   
          Under existing law, no billboards may be placed on property  
          adjacent to a section of freeway that has been landscaped.   
          Current exemptions include individual signs that:  a) identify  
          development projects, business centers, or associations located  
          within the jurisdiction of, and sponsored by, the City of  
          Richmond to support economic development activities; b) identify  
          development projects, business centers, or associations located  
          within the jurisdiction of, or sponsored by, the City of Costa  
          Mesa to support economic development activities; and, c) is in a  
          city in Los Angeles County whose population is less than 17,000,  
          whose annual budget is less than $8 million, and whose area is  
          1.7 sq. miles (Artesia).

          This bill would authorize an advertising billboard or structure  
          that is nonconforming to both the specifics and intent of the  
          Act, which is to limit or prohibit highway-adjacent advertising  
          structures.  It would extend further the precedent for approval  
          of at least seven other similar billboard exemptions granted in  
          prior legislation since 1995.

           Prior legislation  .  

          AB 1499 (Benoit) of 2006.  Creates an exemption to the Act, to  
          permit the City of Riverside to erect an outdoor advertising  
          display along Highway 91 to promote economic activity for the  
          Riverside Plaza.  (Vetoed by Governor)

          AB 801 (Jones) of 2006.   Creates an exemption from the Outdoor  
          Advertising Act for one sign in the County of Sacramento.   
          (Vetoed by Governor)

          AB 2441 (Klehs) of 2006.  Authorizes an advertising display in  
          the redevelopment zone of the City of San Leandro subject to  
          specified conditions. (Vetoed by Governor)

          AB 1518 (J.Horton) of 2006.  Exempts, from the prohibition  
          against placing advertising displays adjacent to landscaped  
          freeways, any billboard located on property owned by the Lennox  
          School District, subject to certain conditions. (Died pending  
          Concurrence in Assembly)

          AB 762 (Nunez), Chapter 725, Statutes of 2003, creates an  
          exemption to the Act by allowing the National Latino Arts  








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          Council to place an advertisement on the roof of a  
          not-for-profit educational academy.

          SB 190 (Perata) Chapter 54, Statutes of 2001.  Exempted a  
          certain development of highway advertising in Oakland from  
          existing laws protecting landscaped highways permitted the City  
          of Artesia to erect an advertising display alongside a  
          landscaped highway.  Permitted the City of Artesia to lease one  
          billboard space adjacent to the 91 Freeway on city property.  

           REGISTERED SUPPORT / OPPOSITION  :   

           Support 
           
          City of Riverside
          Greater Riverside Chambers of Commerce
          Riverside Plaza
          Southwest California Legislative Council
           
          Opposition 
           
          None on file.
           
          Analysis Prepared by  :    Eric Johnson / G. O. / (916) 319-2531