REPORT TO COUNCIL
SUBJECT
Title
Action to Adopt a Billboard Relocation Agreement (PLN24-00424) with Outfront Media LLC to Install a Single-Sided Digital LED Billboard, Located at 1700 Duane Avenue
Report
BACKGROUND
The applicant, Outfront Media, filed an application on August 19, 2024, to construct a new 672 square-foot (14 feet tall by 48 feet wide) single-sided, light-emitting diode (LED) digital billboard (also known as “digital display” and used interchangeably in this report) at 1700 Duane Avenue (File No. PLN24-00424). The display on the billboard would be mounted on a new 46-foot-tall supporting column (approximately four feet in diameter). The proposed billboard would be 60 feet in height overall from the grade to the top of the sign.
The project requires approval of a Conditional Use Permit and a Minor Modification from Planning Commission, and approval of a Billboard Relocation Agreement from City Council. A Conditional Use Permit is required to erect an electronic billboard. A Minor Modification is proposed to reduce the required 1,500 linear foot separation distance from another existing electronic digital display message sign by up to 25%. The Billboard Relocation Agreement would require the removal of three billboard faces on El Camino Real to allow the erection of the subject new electronic billboard.
In accordance with the City Code, the Planning Commission can act on the Conditional Use Permit and Minor Modification requests and make a recommendation to the City Council for action on the Billboard Relocation Agreement. The Planning Commission approved the Conditional Use Permit and Minor Modification, and recommended City Council approval of the Billboard Relocation Agreement at their August 13, 2025, Planning Commission meeting. The City Council is now being asked to take action on the Billboard Relocation Agreement. A draft of the proposed Billboard Relocation Agreement is included as Attachment 2 to this report.
DISCUSSION
The proposed project is to construct a new LED billboard located within an existing paved area near the northern boundary of the subject property located at 1700 Duane Avenue. The structure would include a single-sided west facing display that would be visible to vehicles traveling southbound on US Highway 101. The existing on-premise sign with two faces advertising the on-site COCO Home business will remain in place. The existing site is 0.66 acres and has the General Plan Designation of Low-Intensity Office/Research and Development and LO-RD - Low-Intensity Office/R&D zoning. The surrounding use to the north is US 101, and to the south, east, and west, the existing uses are also LO-RD. The proposed billboard display would cycle through a rotation of static images and would be used primarily for commercial advertisements. The sign would operate constantly, rotating advertisements every eight seconds. Other uses for the sign could include promoting community events, highlighting public awareness campaigns, and broadcasting emergency messages when necessary. The billboard would not show video or motion, nor would it emit noise or audio. The project does not require a change of the existing land use of the project property.
Billboard Relocation Agreement
The City has had a policy since 1978 (Ordinance No. 1365) to limit the number of billboards within City boundaries to improve the quality of life for its citizens. In 2004, the City Council established a policy statement for billboard relocation with minimum criteria, later revised in 2011 (Attachment 3). The City determined that billboards, by their very nature, constitute visual clutter and blight to the appearance of the City (Santa Clara City Code (SCCC) Section 18.42.090.A.). SCCC Section 18.42.090.C stipulates that the City may enter into agreements to allow for the relocation of existing outdoor advertising displays, at a 3:1 ratio (three removed, one new).
The Billboard Relocation Agreement for the proposed project requires, ultimately, the removal of three existing billboard faces in exchange for the installation of the proposed single-sided digital billboard at a new location within the City. The draft Billboard Relocation Agreement is attached to this report (Attachment 2).
To construct a new single-sided digital billboard, OutFront Media proposes to remove three existing billboard faces. The west side face of the billboard located at 2983 El Camino Real, Santa Clara (6321) is proposed to be removed. The other two billboard faces proposed to be removed are located at 3362 El Camino Real, Santa Clara, CA (6208/6209). Hand tools and small crane rigs would be used to remove the billboard faces and the structure. The top of the billboards would first be disassembled and removed, and then any supporting equipment.
There are currently 17 billboards in the City. With the proposed removal of three billboard faces and the installation of the proposed digital billboard, the total number of billboards in the City will be 15. This complies with SCCC Section 18.42.090.B.5, which imposes a cap of 17 billboards in the City.
Planning Commission Meeting Summary
At the April 16, 2025, Planning Commission hearing, staff provided a presentation on the details of the proposal, and its conformance to the City’s General Plan and Zoning Code, as well as details about the Billboard Relocation Agreement. Following staff and applicant presentations, Planning Commission expressed safety concerns and requested staff and applicant to conduct further research on the proposed billboard’s impact on public safety. The Commission voted to reopen the public hearing and continue the item to the June 11, 2025, Planning Commission hearing to allow for this research. A link to the Planning Commission staff report and supporting documents for this item is provided as Attachment 4.
The continued Planning Commission Hearing was scheduled for June 11, 2025, where staff requested an additional continuance of this item to August 13, 2025, to allow for additional time to complete the requested research and analysis. The Planning Commission reconvened the Public Hearing and then voted to continue the item to the August 13, 2025, Planning Commission meeting.
At the meeting on August 13, 2025, staff and applicant presented the requested research on the frequency of billboards/electronic message signs, message hold time, and illumination, including local, national and international safety studies review, expert review, industry guidance, and review of the studies recommended by the Planning Commission. A link to the staff report and supporting documents for this item is included in Attachment 4.
Planning Commission Meeting Summary and Action
After staff and applicant presentation, Planning Commission noted and agreed with the applicant’s summary of the studies that there are too many factors that contribute to traffic and public safety concerns to make any conclusion about safety effects. The Planning Commission had questions regarding the limited research, local data, and contextual differences which were clarified by the applicant.
In four motions, the Commission voted to determine the project categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15303 (6-0-0-1, Bhatnagar absent), approve the Conditional Use Permit (5-0-1-1, Crutchlow abstaining, Bhatnagar absent), approve the Minor Modification (5-0-1-1, Crutchlow abstaining, Bhatnagar absent), and recommend to the City Council approval of the Billboard Relocation Agreement (5-0-1-1, Crutchlow abstaining, Bhatnagar absent). Attachments 5 and 6 include the approved billboard plan and the adopted conditions of approval.
Approval of a billboard relocation agreement is a discretionary policy decision for the City Council; no specific findings are required. Staff recommends approval of the proposed agreement because it is consistent with the City Council Policy Statement for Billboard Relocation Agreements adopted in April 2011 (Attachment 3), in that (1) the agreement complies with the ratio of 3 faces removed for each new face installed, (2) the billboard provides 10% public service announcement use to the City, free of charge, and (3) the agreement consideration to the City in the amount of $70,000. Approving the agreement will improve the aesthetics of the City by removing three obsolete signs and replacing them with a new, modern installation.
If the Council disapproves the Agreement, the three existing billboard faces will remain in place and the new sign will not be installed. The Minor Modification and Conditional Use Permit approved by the Planning Commission on August 13 were both made contingent upon the Council’s approval of this Relocation Agreement, and so both the CUP and Minor Modification will be void if the Council disapproves the Agreement. The Council also has the option of continuing the item, if there are specific terms of the Agreement that the Council would like staff to renegotiate.
ENVIRONMENTAL REVIEW
The action being considered is categorically exempt from the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15303 (Class 3 -- New Construction or Conversion of Small Structures), in that the proposed agreement implements a project that consists of the removal of existing billboards and the construction of new, small structures or where only minor modifications are made in the exterior of a structure.
FISCAL IMPACT
Pursuant to the City Council Policy for Billboard Relocation Agreements, as further consideration for the New Billboard installation, the Advertiser agrees to pay City $70,000 per new billboard face. The Advertiser shall pay the total amount due prior to the issuance of the building permit for the new billboard. The administrative staff time and expense related to the City’s processing of the requested application is covered by processing fees paid by the applicant.
COORDINATION
This report was coordinated with the City Attorney’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
Based on the Planning Commission recommendation, consistency with the City policy and the Santa Clara City Code, staff recommends that the City Council approve the Billboard Relocation Agreement for the Single-Sided Digital LED Billboard Located at 1700 Duane Avenue on the terms and in substantially the form presented in a final form approved by the City Attorney.
Staff
Reviewed by: Afshan Hamid, Community Development Director
Approved by: Jovan Grogan, City Manager
ATTACHMENTS
1. Vicinity Map
2. Draft Billboard Relocation Agreement
3. City Council Policy Statement
4. Web Links - PC Staff Reports
5. Approved Development Plans
6. Adopted Conditions of Approval