TWT H.B. 254 75(R)BILL ANALYSIS TRANSPORTATION H.B. 254 By: Denny 4-9-97 Committee Report (Unamended) BACKGROUND Congress passed the Highway Beautification Act in 1965. Among its many provisions, the act is intended to regulate the erection and maintenance of outdoor advertising. The Texas Department of Transportation (TXDOT) is the agency responsible for regulating and controlling outdoor advertising in Texas. The effect of the law is that many small businesses along state highways are being forced to take down directional signs to their establishments. Many businesses depend on directional signs to bring in customers or clients and are hurt when these signs are removed. PURPOSE The purpose of H.B. 254 is to allow small businesses to have directional signs to the business if the sign is on private property and is not larger than 50 square feet. Small business is defined by Sec. 2006.011, Government Code, as a legal entity, including a corporation, partnership, or sole proprietorship that: (A) is formed for the purpose of making a profit; (B) is independently owned and operated; (C) is not a publicly held corporation; and (D) has fewer than 100 employees or less than $1 million in annual gross receipts at the end of the fiscal year of the filing of an administrative adjudicatory proceeding or civil action in which the entity is seeking recovery. RULEMAKING AUTHORITY It is the committee's opinion that this bill does not expressly grant any additional rulemaking authority to a state officer, department, agency or institution. SECTION BY SECTION ANALYSIS SECTION 1. Amends Section 394.003, Transportation Code, by adding Subsection (c) which expands the exemption from regulation of outdoor signs on rural roads to signs for small businesses as defined in Sec. 2006.011, Government Code, if the sign: (1) is on private property; and (2) has a surface area not larger than 50 square feet. SECTION 2. Emergency Clause.