Senator J. Stuart Adams proposes the following substitute bill:


1     
HIGHWAY SIGNAGE AMENDMENTS

2     
2016 GENERAL SESSION

3     
STATE OF UTAH

4     
Chief Sponsor: J. Stuart Adams

5     
House Sponsor: Mike Schultz

6     

7     LONG TITLE
8     General Description:
9          This bill modifies the Transportation Code by amending provisions related to outdoor
10     advertising.
11     Highlighted Provisions:
12          This bill:
13          ▸     provides and amends definitions;
14          ▸     amends requirements for advertising within a certain distance of a public highway;
15          ▸     clarifies restrictions and requirements for on-premise advertising;
16          ▸     specifies circumstances when certain on-premise signs are being used for unlawful
17     outdoor advertising;
18          ▸     specifies enforcement procedures and requirements for certain unlawful outdoor
19     advertising; and
20          ▸     makes conforming and technical changes.
21     Money Appropriated in this Bill:
22          None
23     Other Special Clauses:
24          None
25     Utah Code Sections Affected:
26     AMENDS:
27          72-7-502, as last amended by Laws of Utah 2011, Chapter 346
28          72-7-503, as renumbered and amended by Laws of Utah 1998, Chapter 270
29          72-7-504, as last amended by Laws of Utah 2015, Chapter 402
30          72-7-508, as last amended by Laws of Utah 2011, Chapter 346
31     ENACTS:
32          72-7-504.6, Utah Code Annotated 1953
33     

34     Be it enacted by the Legislature of the state of Utah:
35          Section 1. Section 72-7-502 is amended to read:
36          72-7-502. Definitions.
37          As used in this part:
38          (1) "Clearly visible" means capable of being read without obstruction by an occupant
39     of a vehicle traveling on the main traveled way of a street or highway within the visibility area.
40          (2) "Commercial or industrial activities" means those activities generally recognized as
41     commercial or industrial by zoning authorities in this state, except that none of the following
42     are commercial or industrial activities:
43          (a) agricultural, forestry, grazing, farming, and related activities, including wayside
44     fresh produce stands;
45          (b) transient or temporary activities;
46          (c) activities not visible from the main-traveled way;
47          (d) activities conducted in a building principally used as a residence; and
48          (e) railroad tracks and minor sidings.
49          (3) (a) "Commercial or industrial zone" means only:
50          (i) those areas within the boundaries of cities or towns that are used or reserved for
51     business, commerce, or trade, or zoned as a highway service zone, under enabling state
52     legislation or comprehensive local zoning ordinances or regulations;
53          (ii) those areas within the boundaries of urbanized counties that are used or reserved
54     for business, commerce, or trade, or zoned as a highway service zone, under enabling state
55     legislation or comprehensive local zoning ordinances or regulations;
56          (iii) those areas outside the boundaries of urbanized counties and outside the
57     boundaries of cities and towns that:
58          (A) are used or reserved for business, commerce, or trade, or zoned as a highway
59     service zone, under comprehensive local zoning ordinances or regulations or enabling state
60     legislation; and
61          (B) are within 8420 feet of an interstate highway exit, off-ramp, or turnoff as measured
62     from the nearest point of the beginning or ending of the pavement widening at the exit from or
63     entrance to the main-traveled way; or
64          (iv) those areas outside the boundaries of urbanized counties and outside the
65     boundaries of cities and towns and not within 8420 feet of an interstate highway exit, off-ramp,
66     or turnoff as measured from the nearest point of the beginning or ending of the pavement
67     widening at the exit from or entrance to the main-traveled way that are reserved for business,
68     commerce, or trade under enabling state legislation or comprehensive local zoning ordinances
69     or regulations, and are actually used for commercial or industrial purposes.
70          (b) "Commercial or industrial zone" does not mean areas zoned for the sole purpose of
71     allowing outdoor advertising.
72          (4) "Comprehensive local zoning ordinances or regulations" means a municipality's
73     comprehensive plan required by Section 10-9a-401, the municipal zoning plan authorized by
74     Section 10-9a-501, and the county master plan authorized by Sections 17-27a-401 and
75     17-27a-501. Property that is rezoned by comprehensive local zoning ordinances or regulations
76     is rebuttably presumed to have not been zoned for the sole purpose of allowing outdoor
77     advertising.
78          (5) "Contiguous" means that a portion of one parcel of land is situated immediately
79     adjacent to, and shares a common boundary with, a portion of another parcel of land.
80          (6) "Controlled route" means any route where outdoor advertising control is mandated
81     by state or federal law, including under this part and under the Utah-Federal Agreements
82     described in Section 72-7-501.
83          [(5)] (7) "Directional signs" means signs containing information about public places
84     owned or operated by federal, state, or local governments or their agencies, publicly or
85     privately owned natural phenomena, historic, cultural, scientific, educational, or religious sites,
86     and areas of natural scenic beauty or naturally suited for outdoor recreation, that the department
87     considers to be in the interest of the traveling public.
88          [(6)] (8) (a) "Erect" means to construct, build, raise, assemble, place, affix, attach,
89     create, paint, draw, or in any other way bring into being.
90          (b) "Erect" does not include any activities defined in Subsection [(6)] (8)(a) if they are
91     performed incident to the change of an advertising message or customary maintenance of a
92     sign.
93          [(7)] (9) "Highway service zone" means a highway service area where the primary use
94     of the land is used or reserved for commercial and roadside services other than outdoor
95     advertising to serve the traveling public.
96          [(8)] (10) "Information center" means an area or site established and maintained at rest
97     areas for the purpose of informing the public of:
98          (a) places of interest within the state; or
99          (b) any other information that the department considers desirable.
100          [(9)] (11) "Interchange or intersection" means those areas and their approaches where
101     traffic is channeled off or onto an interstate route, excluding the deceleration lanes, acceleration
102     lanes, or feeder systems, from or to another federal, state, county, city, or other route.
103          [(10)] (12) "Maintain" means to allow to exist, subject to the provisions of this chapter.
104          [(11)] (13) "Maintenance" means to repair, refurbish, repaint, or otherwise keep an
105     existing sign structure safe and in a state suitable for use, including signs destroyed by
106     vandalism or an act of God.
107          [(12)] (14) "Main-traveled way" means the through traffic lanes, including auxiliary
108     lanes, acceleration lanes, deceleration lanes, and feeder systems, exclusive of frontage roads
109     and ramps. For a divided highway, there is a separate main-traveled way for the traffic in each
110     direction.
111          [(13)] (15) "Major sponsor" means a sponsor of a public assembly facility or of a team
112     or event held at the facility where the amount paid by the sponsor to the owner of the facility,
113     to the team, or for the event is at least $100,000 per year.
114          [(14)] (16) "Official signs and notices" means signs and notices erected and maintained
115     by public agencies within their territorial or zoning jurisdictions for the purpose of carrying out
116     official duties or responsibilities in accordance with direction or authorization contained in
117     federal, state, or local law.
118          [(15) "Off-premise signs" means signs]
119          (17) "Off-premise sign" means a sign located in [areas] an area zoned industrial,
120     commercial, or H-1 and in [areas] an area determined by the department to be unzoned
121     industrial or commercial that [advertise] advertises an activity, service, event, person, or
122     product located on premises other than the premises [at] on which the [advertising occurs] sign
123     is located.
124          [(16) "On-premise signs" means signs]
125          (18) "On-premise sign" means a sign used to advertise the [major] sale or lease of, or
126     activities conducted on, the property [where the] on which the sign is located.
127          [(17)] (19) "Outdoor advertising" means any outdoor advertising structure or outdoor
128     structure used in combination with an outdoor advertising sign or outdoor sign within the
129     outdoor advertising corridor which is visible from a place on the main-traveled way of a
130     controlled route.
131          [(18)] (20) "Outdoor advertising corridor" means a strip of land [350] 660 feet wide,
132     measured perpendicular from the edge of a controlled highway right-of-way.
133          [(19)] (21) "Outdoor advertising structure" or "outdoor structure" means any sign
134     structure, including any necessary devices, supports, appurtenances, and lighting that is part of
135     or supports an outdoor sign.
136          [(20)] (22) "Point of widening" means the point of the gore or the point where the
137     intersecting lane begins to parallel the other lanes of traffic, but the point of widening may
138     never be greater than 2,640 feet from the center line of the intersecting highway of the
139     interchange or intersection at grade.
140          [(21)] (23) "Public assembly facility" means a convention facility as defined under
141     Section 59-12-602 [and] that:
142          (a) includes all contiguous interests in land, improvements, and utilities acquired,
143     constructed, and used in connection with the operation of the public assembly facility, whether
144     the interests are owned or held in fee title or a lease or easement for a term of at least 40 years,
145     and regardless of whether the interests are owned or operated by separate governmental
146     authorities or districts;
147          (b) is wholly or partially funded by public money;
148          (c) requires a person attending an event at the public assembly facility to purchase a
149     ticket or that otherwise charges for the use of the public assembly facility as part of its regular
150     operation; and
151          (d) has a minimum and permanent seating capacity of at least 10,000 people.
152          [(22)] (24) "Public assembly facility sign" means a sign located on a public assembly
153     facility that only advertises the public assembly facility, major sponsors, events, the sponsors of
154     events held or teams playing at the facility, and products sold or services conducted at the
155     facility.
156          [(23)] (25) "Relocation" includes the removal of a sign from one situs together with the
157     erection of a new sign upon another situs in a commercial or industrial zoned area as a
158     substitute.
159          [(24)] (26) "Relocation and replacement" means allowing all outdoor advertising signs
160     or permits the right to maintain outdoor advertising along the interstate, federal aid primary
161     highway existing as of June 1, 1991, and national highway system highways to be maintained
162     in a commercial or industrial zoned area to accommodate the displacement, remodeling, or
163     widening of the highway systems.
164          [(25)] (27) "Remodel" means the upgrading, changing, alteration, refurbishment,
165     modification, or complete substitution of a new outdoor advertising structure for one permitted
166     pursuant to this part and that is located in a commercial or industrial area.
167          [(26)] (28) "Rest area" means an area or site established and maintained within or
168     adjacent to the right-of-way by or under public supervision or control for the convenience of
169     the traveling public.
170          [(27)] (29) "Scenic or natural area" means an area determined by the department to
171     have aesthetic value.
172          [(28)] (30) "Traveled way" means that portion of the roadway used for the movement
173     of vehicles, exclusive of shoulders and auxiliary lanes.
174          [(29)] (31) (a) "Unzoned commercial or industrial area" means:
175          (i) those areas not zoned by state law or local law, regulation, or ordinance that are
176     occupied by one or more industrial or commercial activities other than outdoor advertising
177     signs;
178          (ii) the lands along the highway for a distance of 600 feet immediately adjacent to
179     those activities; and
180          (iii) lands covering the same dimensions that are directly opposite those activities on
181     the other side of the highway, if the department determines that those lands on the opposite side
182     of the highway do not have scenic or aesthetic value.
183          (b) In measuring the scope of the unzoned commercial or industrial area, all
184     measurements shall be made from the outer edge of the regularly used buildings, parking lots,
185     storage, or processing areas of the activities and shall be along or parallel to the edge of
186     pavement of the highway.
187          (c) All signs located within an unzoned commercial or industrial area become
188     nonconforming if the commercial or industrial activity used in defining the area ceases for a
189     continuous period of 12 months.
190          [(30)] (32) "Urbanized county" means a county with a population of at least 125,000
191     persons.
192          [(31)] (33) "Visibility area" means the area on a street or highway that is:
193          (a) defined at one end by a line extending from the base of the billboard across all lanes
194     of traffic of the street or highway in a plane that is perpendicular to the street or highway; and
195          (b) defined on the other end by a line extending across all lanes of traffic of the street
196     or highway in a plane that is:
197          (i) perpendicular to the street or highway; and
198          (ii) 500 feet from the base of the billboard.
199          Section 2. Section 72-7-503 is amended to read:
200          72-7-503. Advertising -- Permit required -- Penalty for violation.
201          (1) It is unlawful for any person to place any form of advertising upon any part of the
202     public domain, or within [300] 660 feet of a public highway, except within the corporate limits
203     of a city or town, and except upon land in private ownership situated along the highway,
204     without first receiving a permit from the department, if a state highway, or from the county
205     executive, if a county road.
206          (2) Any person who violates this section is guilty of a class B misdemeanor.
207          Section 3. Section 72-7-504 is amended to read:
208          72-7-504. Advertising prohibited near interstate or primary system -- Exceptions
209     -- Logo advertising -- Department rules.
210          (1) As used in this section, "specific service trailblazer sign" means a guide sign that
211     provides users with business identification or directional information for services and eligible
212     activities that are advertised on a logo advertising sign authorized under Subsection (3)(a)(i).
213          (2) Outdoor advertising that is capable of being read or comprehended from any place
214     on the main-traveled way of an interstate or primary system may not be erected or maintained,
215     except:
216          (a) directional and other official signs and notices authorized or required by law,
217     including signs and notices pertaining to natural wonders and scenic and historic attractions,
218     informational or directional signs regarding utility service, emergency telephone signs, buried
219     or underground utility markers, and above ground utility closure signs;
220          (b) on-premise signs advertising the sale or lease of property upon which [they] the
221     on-premise signs are located;
222          (c) on-premise signs advertising major activities conducted on the property where
223     [they] the on-premise signs are located[, including signs on the premises of a public assembly
224     facility as provided in Section 72-7-504.5];
225          (d) public assembly facility signs;
226          (e) on-premise signs within a unified commercial development as described in Section
227     72-7-504.6;
228          [(d)] (f) signs located in a commercial or industrial zone;
229          [(e)] (g) signs located in unzoned industrial or commercial areas as determined from
230     actual land uses; and
231          [(f)] (h) logo advertising under Subsection (3).
232          (3) (a) The department may itself or by contract erect, administer, and maintain
233     informational signs:
234          (i) on the main-traveled way of an interstate or primary system, as it existed on June 1,
235     1991, specific service signs for the display of logo advertising and information of interest,
236     excluding specific service trailblazer signs as defined in rules adopted in accordance with
237     Section 41-6a-301, to the traveling public if:
238          (A) the department complies with Title 63G, Chapter 6a, Utah Procurement Code, in
239     the lease or other contract agreement with a private party for the sign or sign space; and
240          (B) the private party for the lease of the sign or sign space pays an amount set by the
241     department to be paid to the department or the party under contract with the department under
242     this Subsection (3); and
243          (ii) only on rural conventional roads as defined in rules adopted in accordance with
244     Section 41-6a-301 in a county of the fourth, fifth, or sixth class for tourist-oriented directional
245     signs that display logo advertising and information of interest to the traveling public if:
246          (A) the department complies with Title 63G, Chapter 6a, Utah Procurement Code, in
247     the lease or other contract agreement with a private party for the tourist-oriented directional
248     sign or sign space; and
249          (B) the private party for the lease of the sign or sign space pays an amount set by the
250     department to be paid to the department or the party under contract with the department under
251     this Subsection (3).
252          (b) The amount shall be sufficient to cover the costs of erecting, administering, and
253     maintaining the signs or sign spaces.
254          (c) (i) Any sign erected pursuant to this Subsection (3) which was existing as of March
255     1, 2015, shall be permitted as if it were in compliance with this Subsection (3).
256          (ii) A noncompliant sign shall only be permitted for the contract period of the
257     advertising contract.
258          (iii) A new advertising contract may not be issued for a noncompliant sign.
259          (d) The department may consult the Governor's Office of Economic Development in
260     carrying out this Subsection (3).
261          (4) (a) Revenue generated under Subsection (3) shall be:
262          (i) applied first to cover department costs under Subsection (3); and
263          (ii) deposited in the Transportation Fund.
264          (b) Revenue in excess of costs under Subsection (3)(a) shall be deposited in the
265     General Fund as a dedicated credit for use by the Governor's Office of Economic Development
266     no later than the following fiscal year.
267          (5) Outdoor advertising under Subsections (2)(a), [(d), (e), and] (f), (g), and (h) shall
268     conform to the rules made by the department under Sections 72-7-506 and 72-7-507.
269          Section 4. Section 72-7-504.6 is enacted to read:
270          72-7-504.6. Unified commercial development.
271          (1) As used in this section:
272          (a) (i) "Contiguous" includes parcels that are otherwise contiguous, as defined in
273     Section 72-7-502, that are considered to be contiguous notwithstanding a survey error or
274     discrepancy in a legal boundary description or the presence of any of the following intervening
275     features, including land reasonably related to those features:
276          (A) a road, other than a controlled route;
277          (B) a railway right-of-way of a public transit district that provides, or may provide,
278     access to the development;
279          (C) a utility line; or
280          (D) land that is undevelopable.
281          (ii) "Contiguous" does not include a parcel of land that is only physically connected to
282     another parcel of land by a long, narrow strip.
283          (b) "Property," for purposes of the definition of "on-premise sign," includes all
284     property within a unified commercial development.
285          (c) "Unified commercial development" means a development that:
286          (i) is used primarily for commercial or industrial activities;
287          (ii) is developed by a single developer, including successors, under a common
288     development plan;
289          (iii) may include phased development;
290          (iv) consists solely of land that is contiguous;
291          (v) holds itself out to the public as a common development through signs or other
292     marketing efforts;
293          (vi) includes one or more retail outlet stores;
294          (vii) includes a railway right-of-way of a public transit district that provides, or may
295     provide, access to the development;
296          (viii) is located wholly or partially within a planned community or similar zone;
297          (ix) includes a hotel;
298          (x) is located in a county other than a county of the first class;
299          (xi) received planning approval from the local land use authority for some or all of the
300     development prior to December 31, 2012; and
301          (xii) is located in a city that, at the time of approval under Subsection (1)(c)(xi),
302     included a resort community zone.
303          (2) An on-premise sign within a unified commercial development may advertise:
304          (a) the sale or lease of land within the unified commercial development where the sign
305     is located;
306          (b) activities conducted at venues or stores within the unified commercial development
307     where the sign is located;
308          (c) the name of identifiable venues or stores within the unified commercial
309     development; and
310          (d) products for sale or services provided at venues or stores within the unified
311     commercial development.
312          Section 5. Section 72-7-508 is amended to read:
313          72-7-508. Unlawful outdoor advertising -- Adjudicative proceedings -- Judicial
314     review -- Costs of removal -- Civil and criminal liability for damaging regulated signs --
315     Immunity for Department of Transportation.
316          (1) Outdoor advertising is unlawful when:
317          (a) erected after May 9, 1967, contrary to the provisions of this chapter;
318          (b) a permit is not obtained as required by this part;
319          (c) a false or misleading statement has been made in the application for a permit that
320     was material to obtaining the permit; [or]
321          (d) the sign for which a permit was issued is not in a reasonable state of repair, is
322     unsafe, or is otherwise in violation of this part[.]; or
323          (e) a sign in the outdoor advertising corridor is permitted by the local zoning authority
324     as an on-premise sign and the sign, from time to time or continuously, advertises an activity,
325     service, event, person, or product located on property other than the property on which the sign
326     is located.
327          (2) The establishment, operation, repair, maintenance, or alteration of any sign contrary
328     to this chapter is also a public nuisance.
329          (3) Except as provided in [Subsection] Subsections (4) and (10), in its enforcement of
330     this section, the department shall comply with the procedures and requirements of Title 63G,
331     Chapter 4, Administrative Procedures Act.
332          (4) (a) The district courts shall have jurisdiction to review by trial de novo all final
333     orders of the department under this part resulting from formal and informal adjudicative
334     proceedings.
335          (b) Venue for judicial review of final orders of the department shall be in the county in
336     which the sign is located.
337          (5) If the department is granted a judgment in an action brought under Subsection (4),
338     the department is entitled to have any nuisance abated and recover from the responsible person,
339     firm, or corporation, jointly and severally:
340          (a) the costs and expenses incurred in removing the sign; and
341          (b) (i) $500 for each day the sign was maintained following the expiration of 10 days
342     after notice of agency action was filed and served under Section 63G-4-201;
343          (ii) $750 for each day the sign was maintained following the expiration of 40 days after
344     notice of agency action was filed and served under Section 63G-4-201;
345          (iii) $1,000 for each day the sign was maintained following the expiration of 70 days
346     after notice of agency action was filed and served under Section 63G-4-201; and
347          (iv) $1,500 for each day the sign was maintained following the expiration of 100 days
348     after notice of agency action was filed and served under Section 63G-4-201.
349          (6) (a) Any person, partnership, firm, or corporation who vandalizes, damages, defaces,
350     destroys, or uses any sign controlled under this chapter without the owner's permission is liable
351     to the owner of the sign for treble the amount of damage sustained and all costs of court,
352     including a reasonable attorney's fee, and is guilty of a class C misdemeanor.
353          (b) This Subsection (6) does not apply to the department, its agents, or employees if
354     acting to enforce this part.
355          (7) The following criteria shall be used for determining whether an existing sign within
356     an interstate outdoor advertising corridor has as its purpose unlawful off-premise outdoor
357     advertising:
358          (a) whether the sign complies with this part;
359          (b) whether the premise includes an area:
360          (i) from which the general public is serviced according to normal industry practices for
361     organizations of that type; or
362          (ii) that is directly connected to or is involved in carrying out the activities and normal
363     industry practices of the advertised activities, services, events, persons, or products;
364          (c) whether the sign generates revenue:
365          (i) arising from the advertisement of activities, services, events, or products not
366     available on the premise according to normal industry practices for organizations of that type;
367          (ii) arising from the advertisement of activities, services, events, persons, or products
368     that are incidental to the principal activities, services, events, or products available on the
369     premise; and
370          (iii) including the following:
371          (A) money;
372          (B) securities;
373          (C) real property interest;
374          (D) personal property interest;
375          (E) barter of goods or services;
376          (F) promise of future payment or compensation; or
377          (G) forbearance of debt;
378          (d) whether the purveyor of the activities, services, events, persons, or products being
379     advertised:
380          (i) carries on hours of operation on the premise comparable to the normal industry
381     practice for a business, service, or operation of that type, or posts the hours of operation on the
382     premise in public view;
383          (ii) has available utilities comparable to the normal industry practice for an entity of
384     that type; and
385          (iii) has a current valid business license or permit under applicable local ordinances,
386     state law, and federal law to conduct business on the premise upon which the sign is located;
387          (e) whether the advertisement is located on the site of any auxiliary facility that is not
388     essential to, or customarily used in, the ordinary course of business for the activities, services,
389     events, persons, or products being advertised; or
390          (f) whether the sign or advertisement is located on property that is not contiguous to a
391     property that is essential and customarily used for conducting the business of the activities,
392     services, events, persons, or products being advertised.
393          (8) The following do not qualify as a business under Subsection (7):
394          (a) public or private utility corridors or easements;
395          (b) railroad tracks;
396          (c) outdoor advertising signs or structures;
397          (d) vacant lots;
398          (e) transient or temporary activities; or
399          (f) storage of accessory products.
400          (9) The sign owner has the burden of proving, by a preponderance of the evidence, that
401     the advertised activity is conducted on the premise.
402          (10) (a) If the department has issued two or more notices of violation of Subsection
403     (1)(e) for an existing sign within the last three years, the department may bring an action to
404     enforce in any state court of competent jurisdiction against a person, firm, or corporation that
405     satisfies one or more of the following prerequisites:
406          (i) has a present ownership interest in the sign;
407          (ii) had an ownership interest in the sign on one or more of the days the sign was in
408     violation of Subsection (1)(e);
409          (iii) has a present ownership interest in the property upon which the sign is located, or
410     in contiguous property as defined in Subsection 72-7-504.6(1);
411          (iv) had an ownership interest in the property upon which the sign is located, or in
412     contiguous property as defined in Subsection 72-7-504.6(1), on one or more of the days the
413     sign was in violation of Subsection (1)(e);
414          (v) received or became entitled to receive compensation in any form for the unlawful
415     outdoor advertising; or
416          (vi) solicited the advertising.
417          (b) In an action under Subsection (10)(a):
418          (i) except as provided in Subsection (10)(c), the provisions of Subsections (7) and (8)
419     apply; and
420          (ii) the defendants have the burden of proving, by a preponderance of the evidence, that
421     the advertising in question is lawful under this part.
422          (c) In an action under Subsection (10)(a), for an on-premise sign within a unified
423     commercial development Section 72-7-504.6 applies.
424          (d) If the department is granted judgment in an action under this Subsection (10), the
425     department is entitled to recover from the defendants, jointly and severally, $1,500 for each day
426     on which the sign was used for unlawful off-premises outdoor advertising.