1. Practical Privatization of HBA Timothy C. Anderson, Esq.

2. Highway Beautification Act of 1965 Requires state to regulate outdoor advertising along Interstate and Federal Aid Primary highways. State must maintain “effective control” of outdoor advertising or risk losing 10% of its annual allotment of federal highway funds.

3. Texas’ Regulatory Scheme Decentralized regulation – 25 districts within the state. 23,000 permits (est.) in state. Decentralized regulatory interpretation. Centralized enforcement – All litigation issues flow through the ROW division. Certified cities. “Red-headed stepchild” syndrome.

4. Result Disparate regulatory interpretation. Districts are subject to local politics. Personnel shortage to provide adequate enforcement and compliance. Costs outdoor advertising industry $$$.

5. How To Fix It? Steal from other states if possible. Thanks, Florida (Juanice H.) Initiate a research project to determine if other state’s regulatory schemes will work for Texas.

6. Needs: Biennial inventory. Special inspections for illegal signs. Single contractor, if possible. Phased broadening of contractor responsibilities.

7. Findings Initial inventory: $165,000 – $339,000/year. New site inspections: Additional $75,000/year Shorter term contract (5 year or less) most practical. Texas might need more than 1 provider due to size.