BILL ANALYSIS

 

 

Senate Research Center

C.S.S.B. 1383

83R11303 JTS-F

By: Hancock

 

Intergovernmental Relations

 

4/25/2013

 

Committee Report (Substituted)

 

 

 

AUTHOR'S / SPONSOR'S STATEMENT OF INTENT

 

Currently, if a billboard is required to be removed because of the widening, construction, or reconstruction of a road by the Texas Department of Transportation (TxDOT), TxDOT will either relocate the billboard to another location in the municipality or pay just compensation to the owner for removing the billboard.  Typically relocation is preferred by both parties because the owner is able to maintain their business asset and TxDOT can save time and money by not having to pay just compensation.

 

While cities regulate billboards independently, some cities are either refusing relocation entirely, or restricting it to such a degree that relocation is physically or economically impractical for the billboard owner.  When this happens, the owner seeks the fair market value of the asset, which is then paid by TxDOT and state taxpayers. 

 

C.S.S.B. 1383 amends current law relating to requiring municipalities to reimburse the Texas Department of Transportation for compensation paid for certain signs required to be relocated due to road construction.

 

RULEMAKING AUTHORITY

 

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

 

SECTION BY SECTION ANALYSIS

 

SECTION 1. Amends Subchapter A, Chapter 216, Local Government Code, by adding Section 216.016, as follows:

 

Sec. 216.016.  COSTS OF REMOVAL DUE TO ROAD CONSTRUCTION.  (a) Requires a municipality, if a sign located in the municipality is required to be removed because of the widening, construction, or reconstruction of a road by the Texas Department of Transportation (TxDOT) and if relocation of the sign in the municipality would be allowed under TxDOT rules but is restricted or prohibited by charter, ordinance, or a decision of the municipality, to reimburse TxDOT for any just compensation paid to the owner or lessee of the sign in a condemnation proceeding.

 

(b) Provides that, for purposes of this section, a sign located in the extraterritorial jurisdiction of a municipality is considered located in the municipality.

 

SECTION 2. Provides that the change in law made by this Act applies only to the removal of a sign that occurs on or after the effective date of this Act.

 

SECTION 3. Effective date: September 1, 2013.