(a) The department will cancel a permit for a commercial sign if the sign:
  (1) is removed, unless the sign is removed and re-erected at the request of a condemning authority;
  (2) is not maintained in accordance with this subchapter or Transportation Code, Chapter 391;
  (3) is damaged beyond repair, as determined under §21.197 of this subchapter (relating to Discontinuance of Nonconforming Commercial Sign Due to Destruction);
  (4) is abandoned, as determined under §21.181 of this subchapter (relating to Abandonment of Sign);
  (5) has substantial changes made to a non-conforming sign in violation of this subchapter or Transportation Code, Chapter 391;
  (6) is built by an applicant who uses false information on a material issue of the permit application;
  (7) is erected, repaired, or maintained in violation of §21.199 of this subchapter (relating to Destruction of Vegetation and Access from Right of Way Prohibited);
  (8) has been made more visible by the permit holder clearing vegetation from the highway right of way in violation of §21.199 of this subchapter;
  (9) is located in an unzoned commercial or industrial area and the department has evidence that an activity supporting the unzoned commercial or industrial area was created primarily or exclusively to qualify the area as an unzoned commercial or industrial area; or
  (10) is accessed, erected, repaired, or maintained from the right of way.
(b) The department will cancel a permit for a commercial sign if the sign owner:
  (1) fails to cure a violation in accordance with §21.205 of this subchapter, (relating to Curable Commercial Sign Permit Violations); or
  (2) fails to pay an administrative penalty under §21.204 of this subchapter, (relating to Administrative Penalties for Commercial Signs).
(c) Upon determination that a permit should be canceled, the department will mail a notice of cancellation to the address of the record permit holder. The notice must state:
  (1) the reason for the cancellation;
  (2) the effective date of the cancellation;
  (3) the right of the permit holder to request an administrative hearing on the cancellation; and
  (4) the procedure for requesting a hearing and the period for filing the request.
(d) A request for an administrative hearing under this section must be in writing and delivered to the department within 45 days after the date that the notice of cancellation is received.
(e) If timely requested, an administrative hearing will be conducted in accordance with Chapter 1, Subchapter E of this title (relating to Procedures in Contested Case) and the cancellation is abated until the cancellation is affirmed by order of the commission.
(f) A permit holder may voluntarily cancel a permit by submitting a request in writing after the sign has been removed. Subsections (c)-(e) of this section do not apply to a permit voluntarily canceled under this subsection.

Source Note: The provisions of this §21.176 adopted to be effective July 1, 2011, 36 TexReg 2418; amended to be effective June 19, 2014, 39 TexReg 4668; amended to be effective March 14, 2018, 43 TexReg 1446