SB 1228 California Senate · 2025-2026 Regular Session

Advertising displays: exemptions: arenas and redevelopment agency projects.

Summary
The Outdoor Advertising Act provides for the regulation by the Department of Transportation of advertising displays, as defined, within view of public highways. The act exempts from most of its provisions an advertising display used exclusively to advertise products, goods, or services that are either sold on the premises of an arena or marketed or promoted on the premises of an arena if, among other conditions, the advertising display has been authorized, as of January 1, 2021, by, or in accordance with, a local ordinance, including, but not limited to, a specific plan or sign district adopted in connection with the approval of the arena, as provided. The act requires an advertising display that is located on the premises of an arena and that was erected pursuant to the exemption also to be authorized by, or in accordance with, an ordinance, including, but not limited to, a specific plan or sign district, as provided. This bill would, on and after January 1, 2028, similarly exempt from most provisions of the act an advertising display used exclusively to advertise products, goods, or services that are either sold on the premises of an arena or marketed or promoted on the premises of the arena if, among other conditions, the advertising display has been authorized, as of January 1, 2032, by, or in accordance with a local ordinance or other discretionary approval, including, but not limited to, a specific plan or sign district that benefits the arena, as specified. The bill would define "premises of an arena" to include a public assembly building owned by the City of Los Angeles, as specified. The bill would require, before one of these advertising displays may be placed, a determination from the department or the Federal Highway Administration that the display will not cause a reduction in federal aid funds or otherwise be inconsistent with federal law, federal regulations, or an agreement between the state and a federal agency or department, as specified. This bill would limit both of these exemptions to an arena that is fully constructed or under construction on or before January 1, 2027. The bill would instead require an advertising display that is located on the premises of an arena and that was erected pursuant to either of these exemptions to be authorized by an ordinance or other discretionary approval, including, but not limited to, a specific plan, sign district, or conditional use permit, as specified. The bill would prohibit an arena from having more than a total of 2 advertising displays pursuant to these exemptions. Except for advertising displays authorized by the existing exemption, the bill would require certain advertising displays placed pursuant to the new exemption for one arena to be located at least 5,000 feet from an advertising display authorized pursuant to an exemption for another arena. The act also regulates placement of advertising displays adjacent to and within specified distances of highways that are part of the national system of interstate and defense highways and federal aid highways. The act prohibits, except as provided, placing or maintaining an advertising display on property adjacent to a portion of a freeway that has a specified coverage area of landscaping or trees at the same or elevated grade of the main-traveled way, as provided. The act does not prohibit a city, county, or city and county from designating the districts or zones in which an advertising display may be placed or prohibited as part of a land use or zoning ordinance. The act also does not prohibit a local governmental entity from entering into an agreement to relocate an advertising display for any purpose. This bill would exempt certain advertising displays developed within the boundary limits of, and as part of, an individual redevelopment agency project from the prohibition on placing or maintaining an advertising display on property adjacent to a portion of a freeway that has landscaping or trees, from a city's, county's, or city and county's land use or zoning ordinance, and from a local governmental entity's relocation agreement, as those are described above. The bill would require an advertising display subject to this exemption to remain in substantially the same location and configuration as it existed on December 31, 2025, and would prohibit the advertising display from being expanded, relocated, increased in height or display area, or modified to add additional display faces beyond those existing on December 31, 2025. This bill would make legislative findings and declarations as to the necessity of a special statute for the City of Los Angeles. This bill would incorporate additional changes to Section 5272 of the Business and Professions Code proposed by AB 2717 to be operative only if this bill and AB 2717 are enacted and this bill is enacted last.
Bill status passed 4 of 5 stages cleared
Introduction
Feb 2026
Committee Review
Aug 2026
Senate Passage
May 2026
Assembly Passage
Aug 2026
Governor
Introduced Feb 19, 2026 Last action Aug 30, 2026
Maddy AI version diff · 5 comparisons

What changed between versions

08/20/26 - Amended Assembly 08/28/26 - Amended Assembly · 11 edits · Aug 28, 2026
MAJOR
SB 1228 was substantially expanded from a narrow redevelopment agency advertising display exemption to also create a comprehensive arena advertising display exemption under Section 5272 of the Business and Professions Code. The bill now allows large professional sports arenas (15,000+ seats) to have up to two exempted advertising displays visible from highway offramps, subject to federal compliance, local ordinance requirements, and content restrictions. A special provision addresses a unique situation in Los Angeles where a city-owned public assembly building straddles the 1,000-foot arena boundary.
Scope change
The bill expanded from a single narrow exemption for advertising displays in redevelopment agency projects to a comprehensive framework that also creates a new arena advertising display exemption with detailed eligibility criteria, local ordinance requirements, federal compliance mechanisms, content restrictions, and enforcement provisions. The scope now covers large professional sports venues statewide while including a targeted special provision for a specific Los Angeles city-owned building.
SCOPE

Added a new arena advertising display exemption (Section 5272) allowing professional sports arenas with 15,000+ seats to have up to two exempted advertising displays visible from interstate, primary, or state highway offramps. Arenas must be fully constructed or under construction by January 1, 2027.

The bill's title and digest were expanded from covering only 'redevelopment agency projects' to also cover 'arenas.' The act now amends, repeals, and adds Section 5272 in addition to adding Section 5440.5.

Added a legislative finding that a special statute is necessary for the City of Los Angeles due to a unique configuration where a city-owned public assembly building's ground-floor footprint extends across the 1,000-foot arena boundary, and no other qualifying arena has this configuration.

ELIGIBILITY

Established eligibility criteria for arena exemption: venue must be capable of hosting professional sports permanently, have 15,000+ seats, and displays must bear the arena's name or logo. Displays authorized after January 1, 2032 require a local ordinance or discretionary approval that benefits the arena.

REQUIREMENT

Required local ordinances to specify minimum regulations including number of signs, total signage area, maximum individual sign area, minimum separation, illumination restrictions (refresh rate, scrolling, brightness), and hours of operation. The state department must certify compliance before authorization.

Prohibited arena-exempted displays from advertising tobacco, firearms, or sexually explicit material. Required message center displays to be available on a space-available basis for public service messages (Amber Alerts, commute times, accident reports) or require the owner to fund installation of an alternative display.

ENFORCEMENT

Added a federal compliance mechanism: if the U.S. DOT or FHWA notifies the state that a display will reduce federal aid highway funds, authorization ceases and the owner must remove advertising copy within 60 days or face a $10,000 per day civil fine. Local governments must indemnify the state if they fail to ensure compliance after 30 days' notice.

DEFINITION

Defined 'premises of an arena' to include the venue plus any contiguous development district not extending more than 1,000 feet beyond the arena structure. Added a special provision allowing an existing Los Angeles city-owned public assembly building to be fully included if more than 50% of its ground-floor footprint is within 1,000 feet of the arena.

TIMELINE

The arena exemption in Section 2 expires January 1, 2028. A replacement version (Section 2.5) becomes operative on that date with additional provisions including a 5,000-foot separation requirement between displays for different arenas and a federal determination requirement before new displays can be placed.

TECHNICAL

In the redevelopment agency provision (Section 5440.5), the word 'modified' was removed from the list of prohibited actions to displays (which now lists: expanded, relocated, increased in height or display area, or modified to add additional display faces).

Added coordination language with AB 2717, which also proposes to add Section 5272. The bill's Section 2.5 only becomes operative if both bills are enacted and become effective on or before January 1, 2027, and specific conditions regarding which bill is enacted last are met.

Floor votes · Senate May 18, 2026 · Assembly Aug 30, 2026

How they voted

380
Passed · 2 other
Total votes 40
May 18, 2026
D Democratic30
29 Yea 1
96% Yea
R Republican10
9 Yea 1
90% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
24
Key actions
11
Committee
8
Amendments
5
Aug 30, 2026
Assembly · Passed
Assembly Vote: pass (20-1-1)
assembly
Aug 30, 2026
Lower · Passed
From committee: Do pass. (Ayes 20. Noes 1.) (August 30).
lower
Aug 28, 2026
Lower · Passed
From committee with author's amendments. Read second time and amended. Re-referred to Com. on G.O.
lower
Aug 26, 2026
Committee
Re-referred to Com. on G.O. pursuant to Assembly Rule 77.2.
lower
Aug 20, 2026
Lower · Passed
Read third time and amended.
lower
Aug 5, 2026
Lower · Passed
From committee: Do pass. (Ayes 15. Noes 0.) (August 5).
lower
Jun 30, 2026
Lower · Passed
Read second time and amended. Re-referred to Com. on APPR.
lower
Jun 29, 2026
Lower · Passed
From committee: Do pass as amended and re-refer to Com. on APPR. (Ayes 20. Noes 0.) (June 24).
lower
May 26, 2026
Committee
Referred to Com. on G.O.
lower
May 18, 2026
Upper · Passed
Read third time. Passed. (Ayes 38. Noes 0. Page 4305.) Ordered to the Assembly.
upper
Apr 27, 2026
Upper · Passed
From committee: Be ordered to second reading pursuant to Senate Rule 28.8.
upper
Apr 15, 2026
Upper · Passed
From committee: Do pass and re-refer to Com. on APPR. (Ayes 12. Noes 0. Page 3873.) (April 14). Re-referred to Com. on APPR.
upper
Apr 8, 2026
Committee
Re-referred to Com. on TRANS.
upper
Mar 25, 2026
Upper · Passed
From committee with author's amendments. Read second time and amended. Re-referred to Com. on RLS.
upper
Mar 4, 2026
Committee
Referred to Com. on RLS.
upper
Feb 19, 2026
Introduced
Introduced. Read first time. To Com. on RLS. for assignment. To print.
upper
1 primary · 2 co-sponsors

Sponsors