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HomeMy WebLinkAboutRPT 1 OUTDR ADVER. 06-16-80DATE: JUNE 6, 1980 REPORT No. 1 6-16-80 Inter-Corn FROM: SUBJECT: 'HONORABT.~. MAYOR AND CITY COUNCIL JAMES G. ROURKE, CITY ATTORNEY DANIEL K. SPRADLIN, DEPUTY CITY ATTORNEY REGULATION OF OUTDOOR ADVERTISING STRUCTURES AND THE REMOVAL THEREOF - SUPPLEMENTAL MEMORANDUM Introduction On October 4, 1979, this office submitted to The Honorable Mayor and City Council an Inter-Com on the subject of regulating outdoor advertising structures and requiring the removal of such signs. Subsequent to the submission of that Inter-Com, the California Supreme Court has rendered its decision in the rehearing granted in Metromedia, Inc. v. City of San Diego, (1980), 26 Cal.3d 848. In the aftermath of that decision we are submitting the following Inter-Com as a supplement to our previous opinion. Recent Developments As we indicated in our earlier opinion, in March, 1979 the California Supreme Court, when first considering Metromedia, Inc. v. City of San Diego, concluded that the california Outdoor Advertising Act did not preempt a local ordinance from requiring the removal of all outdoor advertising structures. In our opinion we noted that the Supreme Court, in rendering its decision, had based its decision in part on Subdivision K, Section 131, of the Federal Highway Beautification Act without considering the amendment of the Subdivision which had occurred on November 6, 1978 by Public Law No. 95-599. Accordingly, we opined that despite the court's conclusion that no compensation was required for the removal of billboards within 660 feet of an interstate highway, we questioned whether this was good law. In granting a rehearing on the case, the court reconsidered its opinion in that regard and has now concluded that compensation must be paid as a prerequisite to the removal of all billboards existing or subject to litigation on November 6, 1978 located within 660 feet of a federal interstate or primary highway. The court has further concluded that compensation need not be paid for billboards not within 660 feet of a federal interstate or primary highway if the ordinance allows a reasonable period for amortization of the value of the sign. The court specifically concluded that an amortization period ranging from one to four years is not, upon its face, unreasonable. Furthermore, the individual challenging the city ordinance has the burden of proving.the invalidity of the amortization period. In addition to the recent judicial reinterpretation of a municipality's ability to terminate outdoor advertising uses, the Legislature is Inter-Com Page Two June 6, 1980 still considering SB 462 which would require the payment of compensation by the terminating governmental entity as a prerequisite to eliminating any billboard. The matter is still before the Assembly Committee on Local Government. Conclusion The ambiguity concerning the ability of the City of Tustin to terminate non-conforming, off-premise signs, including billboards, has been eliminated by the California Supreme Court's most recent decision in Metromedia, Inc. The City of Tustin may not, however, terminate any billboards within 660 feet of a federal or primary highway. We can move forward to eliminate billboards elsewhere in the City without the payment of compensation if adequate time has been provided for amortization of the physical structure. As we proposed in our original opinion, in proceeding to terminate such uses, the City should retain the services of an expert competent to make an appraisal of all advertising structures sought to be terminated. This individual can advise the City whether or not sufficient time has elapsed to allow for a complete amortization of any investment in such structures. If there is still remaining value in such signs, the City would then have to make a determination as to its willingness to pay compensation for the removal thereof. JGR:DKS:cs:D:05/23/80 JGR:DKS:cs:R:06/06/80 JGR:DKS:cs:R:06/06/80 Mr. Dan Blankenship, City Administrator Mr. George Reid, Building Official Mr. Michael Brotemarkle, Community Development Director