*HB1262.1*
January 20, 2022
HOUSE BILL No. 1262
_____
DIGEST OF HB 1262 (Updated January 19, 2022 8:07 pm - DI 75)
Citations Affected: IC 8-23.
Synopsis: Outdoor advertising signs. Provides that if a conforming
outdoor advertising sign (sign) cannot be elevated or relocated within
the market area due to a change along the interstate and primary system
or any other highway, it is considered a total taking of a real property
interest in the sign, including the sign structure. Provides that an owner
is entitled to full and just compensation for the taking of a sign in the
amount of the fair market value of the sign and any other property right
associated with the sign. Requires an appraiser to calculate the fair
market value of a sign using more than one valuation approach.
Effective: July 1, 2022.
Cherry, Pressel, Austin, Morris
January 10, 2022, read first time and referred to Committee on Commerce, Small Business
and Economic Development.
January 20, 2022, amended, reported — Do Pass.
HB 1262—LS 7030/DI 137 January 20, 2022
Second Regular Session of the 122nd General Assembly (2022)
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana
Constitution) is being amended, the text of the existing provision will appear in this style type,
additions will appear in this style type, and deletions will appear in this style type.
Additions: Whenever a new statutory provision is being enacted (or a new constitutional
provision adopted), the text of the new provision will appear in this style type. Also, the
word NEW will appear in that style type in the introductory clause of each SECTION that adds
a new provision to the Indiana Code or the Indiana Constitution.
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts
between statutes enacted by the 2021 Regular Session of the General Assembly.
HOUSE BILL No. 1262
A BILL FOR AN ACT to amend the Indiana Code concerning
utilities and transportation.
Be it enacted by the General Assembly of the State of Indiana:
1 SECTION 1. IC 8-23-20-25.6, AS ADDED BY P.L.222-2017,
2 SECTION 2, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
3 JULY 1, 2022]: Sec. 25.6. (a) As used in this section, "market area"
4 means a point within five hundred (500) feet of the prior location
5 of an outdoor advertising sign.
6 (a) (b) This section applies only to a conforming outdoor advertising
7 sign located along the interstate and primary system, as defined in 23
8 U.S.C. 131(t) on June 1, 1991, or any other highway where control of
9 outdoor advertising signs is required under 23 U.S.C. 131.
10 (b) (c) If a conforming outdoor advertising sign is no longer visible
11 or becomes obstructed, or must be moved or removed, due to a noise
12 abatement or safety measure, grade changes, construction, directional
13 sign, highway widening, or aesthetic improvement made by any agency
14 of the state along the interstate and primary system or any other
15 highway, the owner or operator of the outdoor advertising sign, to the
16 extent allowed by federal or state law, may:
17 (1) elevate the outdoor advertising sign; or
HB 1262—LS 7030/DI 137 2
1 (2) relocate the outdoor advertising sign to a point within five
2 hundred (500) feet of its prior location, if the outdoor advertising
3 sign complies with the applicable spacing requirements and is
4 located in land zoned for commercial or industrial purposes or
5 unzoned areas used for commercial or industrial purposes.
6 Notwithstanding subsections (d) and (g), if a conforming outdoor
7 advertising sign cannot be elevated or relocated within the market
8 area, the removal or relocation of the conforming outdoor
9 advertising sign constitutes a total taking of a real property
10 interest, including the sign structure, and the owner must be
11 compensated under section 27 of this chapter.
12 (c) (d) Subject to subsection (f), (g), the county or municipality,
13 under IC 36-7-4, may, if necessary, provide for the elevation or
14 relocation by ordinance for a special exception to the zoning ordinance
15 of the county or municipality.
16 (d) (e) The elevated outdoor advertising sign or outdoor advertising
17 sign to be relocated shall be the same size as the previous outdoor
18 advertising sign and, to the extent allowed by federal or state law, may
19 be modified to:
20 (1) elevate the sign to make the entire advertising content of the
21 sign visible; and
22 (2) an angle to make the entire advertising content of the sign
23 visible.
24 (e) (f) This section does not exempt an owner or operator of a sign
25 from submitting to the department any application or fee required by
26 law.
27 (f) (g) If the county or municipality does not amend its zoning
28 ordinance as necessary to provide for a special exception to the zoning
29 ordinance under subsection (c), (d), notwithstanding IC 8-23-20-10, the
30 county or municipality is responsible for the payment for just and full
31 compensation to an owner under IC 32-24.
32 SECTION 2. IC 8-23-20-27 IS ADDED TO THE INDIANA CODE
33 AS A NEW SECTION TO READ AS FOLLOWS [EFFECTIVE JULY
34 1, 2022]: Sec. 27. (a) This section applies to a taking of an outdoor
35 advertising sign through:
36 (1) the power of eminent domain under IC 32-24; or
37 (2) a change that prohibits a conforming outdoor advertising
38 sign from being elevated or relocated under section 25.6 of
39 this chapter.
40 (b) As used in this section, "condemnor" means:
41 (1) any person authorized by Indiana law to exercise the
42 power of eminent domain; and
HB 1262—LS 7030/DI 137 3
1 (2) an agency of the state that must provide compensation to
2 the owner of a conforming outdoor advertising sign under
3 section 25.6 of this chapter.
4 (c) As used in this section, "outdoor advertising sign" means a
5 sign that is located along the interstate and primary system, as
6 defined in 23 U.S.C. 131(t) on June 1, 1991, or any other highway
7 where control of outdoor advertising signs is required under 23
8 U.S.C. 131.
9 (d) A condemnor that acquires an outdoor advertising sign and
10 its associated rights under this section shall pay full and just
11 compensation to the owner of the outdoor advertising sign in an
12 amount equal to:
13 (1) the fair market value of the outdoor advertising sign; and
14 (2) the fair market value of any other property right
15 associated with the outdoor advertising sign, including, but
16 not limited to, leasehold interests and access rights.
17 (e) An appraiser shall calculate the fair market value under
18 subsection (d) using:
19 (1) more than one (1) valuation approach; and
20 (2) the standards governing recognized valuation approaches
21 to fair market value.
HB 1262—LS 7030/DI 137 4
COMMITTEE REPORT
Mr. Speaker: Your Committee on Commerce, Small Business and
Economic Development, to which was referred House Bill 1262, has
had the same under consideration and begs leave to report the same
back to the House with the recommendation that said bill be amended
as follows:
Page 2, line 9, after "taking" insert "of a real property interest,
including the sign structure,".
and when so amended that said bill do pass.
(Reference is to HB 1262 as introduced.)
MORRIS
Committee Vote: yeas 12, nays 0.
HB 1262—LS 7030/DI 137