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Council eases some sign rules for businesses, declines new banner program

Lakeway City Council · February 17, 2026

Summary

Council voted 5–2 to approve significant sign-code updates — streamlined administrative approvals and larger building signs — but removed proposed new banner locations and restricted full-color real-estate signs to neutral tones after resident concerns about visual clutter.

Council considered a redlined sign ordinance recommended by the Economic Development Committee to speed permitting and help local businesses. The proposal included shifting approvals for code-compliant signs to the code official, permitting full-color building logos, raising some size limits, and allowing conditional, short-term banners at larger shopping centers.

After public comment and council discussion about scope creep and visual impacts, the council removed the new banner program and limited full-color real-estate signs (adopting an earth-tone requirement). A motion to approve the ordinance with those changes passed 5–2. Supporters in the business community said the changes will help visibility and small-business viability; opponents said banners and expanded colors risk eroding Lakeway’s character.

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