6.21.2009

Signposts Blog

~ Jun2 David Hicky, ISA Director of Government Relations

A highly contentious battle rages in one of our nation’s most prominent cities, threatening huge consequences for the sign industry. In Los Angeles, California, the city council is considering a proposal to completely ban all new digital signs, and greatly restrict the number, size and height of new signs all over the city.

This proposed ordinance overtly attacks on-premise signs and the businesses that depend on them for their livelihood. With our economy in a state of crisis, now is definitely not the time for any city to take away the ability of local retailers and national franchises to effectively and inexpensively identify their business and advertise their goods and services.

What does this sign code mean for any sign companies that do business in the Los Angeles area? Obviously business will suffer, not only because the biggest and most technologically-advanced types of signs would be reduced or banned altogether, but because the code will harm the ability of retail shops and other customers of the sign industry to remain economically viable or start up new businesses.

But it won’t just be sign companies that conduct business in the southern California region that will be adversely impacted. Other cities are looking at what happens in Los Angeles and may consider adopting similarly restrictive sign code provisions in their own communities. After all, we’ve seen legislation that begins in California spread like wildfire to other states. Many cities across America are looking for justification to ban electronic message centers; the Los Angeles proposal could serve as an example for these localities to follow.

This sign code was originally introduced in January 2009, without sign industry input or consultation, but if local officials thought that it would be an easy or quick process, they were mistaken. Thanks to the California Sign Association (CSA) and other groups, opposition was immediately mobilized against the proposed code. Here it is, six months later, and the city’s new sign code has been effectively picked apart and publicly opposed. Hearings in front of the city’s planning commission, the Planning and Land Use Management Committee and the full L.A. City Council have resulted in significant challenges and delays. In fact, no further action will be taken by elected officials until September 2009 in order to allow staff to work with stakeholders and other affected groups over the summer.

The situation the sign industry faces in Los Angeles is dire, but some progress has been made throughout the last few months. Whereas the original proposal was drafted without any input from sign companies, now representatives from CSA have been heavily involved and end user groups such as the International Franchise Association are alerting their members about this critical issue. Several other groups have come out in opposition to the proposal, including local unions, the L.A. and regional chambers of commerce, the hotel/motel/restaurant associations, the L.A. Dodgers, NBC/Universal Studios, and the Motion Picture Assn of America, among others. Whereas it once appeared that passage of the sign code would receive a rubber stamp from the city council, now council members are becoming more aware of the impact that it will have on small businesses and their constituents. In late May, one city councilwoman even spoke out against the proposed code. This is definitely progress! With the continued input of the sign industry and our constituents, we can help Los Angeles devise a sign code that is reasonable, effective and beneficial for the entire community.


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Insignia is keeping up to date on the latest going on in the industry!