Conroe staff recommends one‑time development agreement for digital billboard conversion while updating sign code for future revenue options

Staff briefed the council on a request from Outfront Media to convert certain static billboards to digital and on proposed amendments to Chapter 98 (signs) that would apply to future conversions.

Lede: Outfront Media has requested converting several existing, legally permitted static billboard faces to digital; because the request falls under an older ordinance the company claims vested rights, staff presented a one‑time development agreement approach for the current applicant and proposed a revised sign ordinance that would apply to future conversions and allow the city to assess revenue based on signage location.

Nut graf: The current application would remove three conforming static faces and re‑site one north of Loop 336 on I‑45, with conversion to digital on both sides of an I‑45 location south of American Home Furnishings. Staff said the applicant came in under the prior ordinance and city attorneys and staff drafted a development agreement consistent with that ordinance while proposing a new sign code to capture location‑based revenue from future digital billboards.

Details of the request and ordinance approach Mr. Beiser (role: staff presenting) described the applicant's vested‑rights claim under the older ordinance and said staff and the applicant negotiated a draft development agreement to handle the current conversions. He noted the city’s proposed replacement ordinance would require development agreements and offer options for city compensation — a one‑time payment or a revenue share that scales by location, with higher‑visibility locations such as I‑45 generating higher values.

Staff said the three removed static faces conform to the existing ordinance and the conversions would replace those permitted signs; they characterized the item as consistent with prior council discussions and said a separate ordinance change is ready for future consideration.

Process and timing Staff suggested approving a one‑time development agreement for the current request and advancing an updated sign code to capture revenue from future conversions, with potential annual or lump‑sum payments tied to sign location. Council did not record a final vote on the conversion at the work session; staff said the development agreement and ordinance actions will be on a forthcoming agenda.

Ending Staff recommended a path that balances existing vested rights with new revenue options for the city. Council members asked procedural questions; staff said any revenue approach would be adjusted by sign geography and negotiated for specific agreements.