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Outdoor Advertising Report
The California Department of Transportation (Caltrans) has prepared this report in response to Senate Bill 853 (Committee on Budget and Fiscal Review, Chapter 27, Statutes of 2014) regarding advertising on changeable message signs (CMS) on the State highway system. The report examines only the feasibility of conducting a pilot to place commercial outdoor advertising on State-owned CMS and includes net revenue estimates for such an effort. The report identifies the critical factors and approaches for developing a comprehensive pilot program from a historical and contemporary perspective. It provides a potential business model to be evaluated to accomplish the anticipated and appropriate cost recovery for Caltrans personnel and oversight of the construction and maintenance of CMS activated by the private industry partner as well as the operation of the CMS locations in the demonstration project while generating the highest possible net revenue. In addition, the report examines the potential of advertising revenues to fund the next generation of CMS at existing and planned locations.
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