City Council approves two‑year pilot allowing digital media displays in select areas

San Antonio City Council on Thursday approved a two‑year Digital Media and Arts pilot program to allow off‑premise digital displays at up to 10 locations across eight designated areas of the city.

The ordinance, which amends Chapter 28 (Signs) of the city code, sets a limit of 10 signs citywide, requires each permittee to contribute $100,000 per sign upfront to fund artwork and local artist stipends, gives the city a 10% share of gross revenue during the pilot (15% if extended), and reserves a 20% timeshare for the city to display public messages or art. The ordinance also bars digital displays on historic structures and within view corridors of the River Walk and requires compliance with TxDOT rules where applicable.

Supporters said the program can create steady revenue for arts projects and provide venues for digital and moving‑image artists. David Ehrlich, who said he has worked on similar programs in other cities, told council: "These screens serve as one of the rare professionalizing opportunities for digital and moving image artists." Development Services staff presented examples from other cities and described mitigation tools for brightness, content and operation hours.

Opponents and preservation advocates said the displays would hurt San Antonio's historic character and risk visual pollution. Elaine Vetter, a member of the local preservation community, said the pilot "does not have an end date nor provisions in writing for the expense for the removal of these signs" and warned of ongoing maintenance problems. Tour guide and Mission San José volunteer Bonnie Simons told council: "There is no place in our 300‑year‑old city for digital billboards." Several speakers urged the council to reject the proposal or tighten limits on locations and revenue splits.

Council debate focused on location limits, revenue shares and safeguards. Some councilmembers said the pilot should be narrowly deployed to help activate underused areas — including parts of the south side and Brooks City‑Base — and argued for a larger city revenue share; others said public opposition, reflected in city surveys, counseled a no vote. Development Services said the program would not allow displays covering more than 25% of a building face and that display specifics (brightness, dwell time, content restrictions, hours of operation) would be set in the permit process.

The council ultimately voted to approve the ordinance after public comment and extended discussion. The record in the meeting does not include a roll‑call vote total. Staff said the pilot would take effect Sept. 15 and that permit applications and contractual terms would be developed before displays are installed. The Department of Arts & Culture will receive pilot revenues to support artist fees, fabrication, installation and maintenance.

Councilmembers and staff said contracts between display companies and private property owners will be handled privately, and the city will review each permit application for code compliance before a sign is installed. Legal staff noted limits on content controls under the First Amendment and advised the council it may face legal constraints on some restrictions. City staff and some councilmembers said they expect mitigation language — including dimming and turn‑off requirements — to be included in permit terms.

The pilot passed after debate that ranged from concerns about downtown and historic districts to arguments that the program could provide stable funding for artists and activate underused public space. Councilmembers who sought tighter revenue shares and clearer removal provisions asked staff to include stronger contract terms as permits are drafted.

The council's action authorizes Development Services to proceed with the pilot program and directs city departments to draft permit and contract terms; staff said they will return to council with implementation details as permits are filed.

Votes at a glance: Ordinance amending Chapter 28 to implement the Digital Media and Arts pilot program — approved (motion and second recorded; specific yea/nay counts not specified in the meeting transcript).