AB 1405 Summary

• Requires the Department of Transportation to establish a digital sign demonstration pilot program to study safety and operational impacts of changeable message signs displaying both commercial advertising and public messaging.

• Authorizes the department to enter into lease agreements with public or private entities to install and operate up to 25 new digital signs within state highway rights-of-way, with all agreements terminating on January 1, 2024.

• Mandates that the department retains priority for emergency notifications and public service messages on digital signs, with no compensation required to contracting entities for this dedicated time.

• Requires revenue from commercial advertising be split between the contracting entity and the department, with the department receiving at least 50 percent of revenues after the contractor recovers reasonable installation costs.

• Requires the Transportation Agency to submit annual reports to the Legislature from July 1, 2019 through July 1, 2024, detailing implementation status, public safety impacts, revenues, and recommendations regarding continuation of the pilot projects.