1. (a) Commercial establishment and retail shopping mall application.

   1. (1) Applications for commercial establishments or retail shopping malls desiring to participate in the information logo sign program are available upon request from the Texas Department of Transportation, Traffic Operations, 125 E. 11th Street, Austin, Texas 78701-2483.
   2. (2) A commercial establishment or retail shopping malls desiring to participate in the information logo sign program must submit an application to the contractor and verify that all requirements are met. Applications must be submitted to the location as stated on the application form. The contractor will verify the eligibility of each applicant.
   3. (3) For commercial establishments, a separate application is required for each primary motorist service per interchange per direction of travel. Only one application per commercial establishment per primary motorist service per direction of travel per interchange will be accepted.
   4. (4) Applications will be reviewed by the contractor and applicants notified in writing of being qualified or rejected. Rejected applications will be returned and deficiencies noted.
   5. (5) Rejected applicants may resubmit their application when the noted deficiencies have been corrected.
   6. (6) To be eligible for the selection process for the available business logo space(s), available first alternate position, or available second alternate position, a commercial establishment must have submitted a qualified application before the commercial establishment application deadline.
   7. (7) The commercial establishment application deadline for the annual random drawing in the following calendar year is 5 p.m. of the second Tuesday in August, received at the location as stated on the application. The commercial establishment application deadline for an emergency random drawing is 14 calendar days after the business logo space(s), the first alternate position, or the second alternate position becomes available. If no qualified applications are on file or received, the contractor may postpone the commercial establishment application deadline until 14 calendar days after a qualified application is received.
   8. (8) Qualified applications received after the commercial establishment application deadline will be placed on file and considered eligible for future annual and emergency random drawings.

2. (b) Commercial establishment selection.

   1. (1) Available business logo space(s) and relative placement of business logos on the specific information logo sign, available first alternate position, and available second alternate position for each primary motorist service for each direction of travel at an interchange will be awarded by the annual or emergency random drawing of the qualified applications received before the commercial establishment application deadline. The relative placement of business logos in available space(s), in order of selection, is upper left, upper middle, upper right, lower left, lower middle, and lower right. For a specific information logo sign that includes more than one service, the relative placement of business logos in available space(s), in order of selection, is left to right and top to bottom for each portion of the sign designated for each service.
   2. (2) The annual random drawing will be held publicly by the contractor on the second Tuesday of September in the presence of two or more department employees. Emergency random drawings will be held publicly as needed in the presence of two or more department employees. Emergency random drawings of qualified applicants will be held no earlier than 20 days nor later than 45 days after the commercial establishment application deadline. Emergency random drawings will not be held within 45 days prior to the annual random drawings.
   3. (3) When a business logo space(s) becomes available, the first and second alternates have first right of refusal, respectively, for the available business logo space. If the first alternate accepts an available business logo space, the second alternate then becomes the first alternate with first right of refusal for any existing or future available business logo space. Any remaining available business logo space(s), available first alternate position, or available second alternate position are awarded by the annual or emergency random drawings.
   4. (4) If the number of qualified applicants is less than or equal to the number of available business logo space(s) at the time of the commercial application deadline, the available spaces will be awarded to the qualified applicants. The random drawing will determine only the relative placement of the business logo signs in the available space(s).
   5. (5) The contractor shall notify the commercial establishment by certified mail of the award of specific information business logo sign space within ten calendar days of the date of the award. To accept the award, the commercial establishment must execute a written participation agreement with the contractor within 30 calendar days of the date of the award. The participation agreement shall be in a form as prescribed by the department and shall, at a minimum, contain all applicable provisions prescribed by this undesignated head.

3. (c) Responsibilities and rights of commercial establishment.

   1. (1) The commercial establishment must provide a business logo and, if necessary, ramp business logo(s) within 60 days of notification by the contractor of the contractor's intent to erect the specific information logo signs or ramp signs.
   2. (2) A commercial establishment may renew its participation agreement with the contractor on an annual or multi-year basis no later than July 31 of the last year of the contract. If the commercial establishment does not renew the agreement with the contractor, the contractor will remove the business logo at the end of the participation agreement, and will make the vacated space(s) available to other commercial establishments pursuant to subsection (b) of this section.
4. (d) Covering of business logo. A business logo and the ramp business logo(s) of a commercial establishment may be covered by the contractor if the commercial establishment is temporarily closed for a period not exceeding 30 calendar days. Unless removed pursuant to subsection (e) of this section, the business logo and ramp business logo(s) will remain covered until the commercial establishment reopens.

5. (e) Removal of business logo.

   1. (1) A business logo of a participating commercial establishment shall be removed by the contractor if the commercial establishment:

      1. (A) ceases to exist;
      2. (B) fails to pay the annual rental fee or other fees within 30 calendar days of the due date as specified on the agreement;
      3. (C) is temporarily closed for more than 30 calendar days;
      4. (D) does not meet the minimum requirements as stated herein, and all corrections are not made within 30 calendar days of written notification;
      5. (E) is sold, and the new commercial establishment does not continue the original primary motorist service or does not meet the minimum requirements for the primary motorist service; or
      6. (F) has not provided a replacement business logo sign within 60 calendar days of written notification that the business logo is missing, damaged, broken, or faded.
   2. (2) Removal of a business logo by the contractor will include the removal of the commercial establishment's ramp business logo sign(s).
   3. (3) If the business logo is removed due to the default of the commercial establishment to perform within the terms of the participation agreement and this undesignated head, the participation agreement is terminated between the commercial establishment and the contractor. All funds paid to the contractor by the commercial establishment are forfeited. Upon removal of a business logo, the vacated space becomes available pursuant to subsection (b) of this section. A replacement commercial business is selected, as stated in the commercial establishment selection process.
   4. (4) If the business logo is removed permanently due to actions of the department, the participation agreement is terminated between the commercial establishment and the contractor. Advance funds paid to the contractor by the commercial establishment will be pro-rated as per the date of removal, and any remaining amounts refunded to the commercial establishment.

6. (f) Responsibilities and rights of the retail shopping mall.

   1. (1) The retail shopping mall may renew its participation agreement with the contractor on an annual or multi-year basis no later than 60 days from the termination date of the contract. If the retail shopping mall does not renew the agreement with the contractor, the contractor will remove the major shopping area guide signs and ramp signs at the end of the participation agreement.

   2. (2) A major shopping area guide sign(s) of a retail shopping mall may be covered by the contractor if:

      1. (A) the retail shopping mall is temporarily closed for a period not exceeding 30 calendar days; or
      2. (B) the department finds the parking is so insufficient that it causes undue congestion of the state highway system.

   3. (3) A major shopping area guide sign of a retail shopping mall may be covered until:

      1. (A) the mall reopens; or
      2. (B) the department finds there is now sufficient parking.

7. (g) Removal of major shopping area guide sign.

   1. (1) A major shopping area guide sign of a participating retail shopping mall shall be removed by the contractor if the retail shopping mall:

      1. (A) ceases to exist;
      2. (B) fails to pay the annual rental fee or other fees within 30 calendar days of the due date as specified on the agreement;
      3. (C) is temporarily closed for more than 30 calendar days;
      4. (D) does not meet the minimum requirements as stated herein, and all corrections are not made within 30 calendar days of written notification;
      5. (E) is sold, and the new retail shopping mall does not continue as a public retail business; or
      6. (F) does not correct the parking insufficiency within 90-days notice by the department.
   2. (2) Removal of a major shopping area guide sign by the contractor will include the removal of the major shopping area's ramp sign(s).
   3. (3) If the major shopping area guide sign is removed due to the default of the retail shopping mall to perform within the terms of the participation agreement and the requirements as stated herein, the participation agreement is terminated between the retail shopping mall and the contractor. All funds paid to the contractor by the retail shopping mall are forfeited.

Source Note:The provisions of this §25.407 adopted to be effective October 21, 1992, 17 TexReg 7106; amended to be effective October 27, 1995, 20 TexReg 8485; amended to be effective March 19, 1998, 23 TexReg 2830.