Senate Research Center   S.B. 1407
78R8334 JRJ-DBy: Estes
Infrastructure Development and Security
As Filed


Currently, Texas law restricts logo reader boards, the blue signs on the
side of the highway that indicate the businesses at that exit, to areas
outside an urbanized area with a population of more than 50,000. It is
believed that these signs are instrumental in bringing travelers off the
highway into a community and impacting that community in a positive
economic manner.  Additionally, five percent of the fees related to these
signs are remitted to the state by Texas Logos, which holds the current
contract.  As proposed, S.B. 1407 expands the definition of "eligible
highway" and increases the remittance to the state from five to 10
percent.  This bill also authorizes the Texas Transportation Commission to
enter into a contract with certain entities at appropriate locations, and
for a major shopping area to pay the assessment of fees to a contractor. 


This bill does not expressly grant any additional rulemaking authority to
a state officer, institution, or agency. 


SECTION 1.  Amends Section 391.001(2), Transportation Code, to redefine
"eligible highway." 

SECTION 2.  Amends Section 391.091, Transportation Code, as follows:

Sec. 391.091.  ERECTION AND MAINTENANCE OF SIGNS.  (a) Creates this
subsection from existing text. 

(b) Requires a contract under this section to provide for the assessment
of fees paid to a contractor by a commercial establishment eligible for
display on the specific information logo sign, and remittance to the Texas
Department of Transportation (TxDOT) of 10 percent of fees collected by

SECTION 3.  Amends Section 391.0935, Transportation Code, by amending
Subsection (c) and adding Subsections (f) and (g), as follows: 

(c) Includes an exemption for when the Texas Transportation Commission
(TTC) has entered into a contract under Subsection (f). 

(f) Authorizes TTC to contract with certain entities to erect and maintain
major shopping area guide signs at appropriate locations along an eligible
urban highway. 

(g) Requires a contract under this section to provide for a major shopping
area paying the assessment of fees to the contractor.  Makes a conforming

SECTION 4.  Amends Section 391.097(c), Transportation Code, to make a
conforming change. 

SECTION 5.  (a) Effective date: September 1, 2003.

(b) Makes application of this Act prospective.