Are Lexington’s sign rules ‘government overreach’? Some small businesses say yes
As the Town of Lexington rethinks rules regulating signage, some feel tighter rules could amount to “government overreach” and could drive small businesses away.
The town is asking for stakeholder input on March 30 at the town hall conference center to “ensure the ordinance reflects community needs,.” Business owners can share feedback between 11 a.m. until 1 p.m., sign contractors between 3-4:30 p.m. and residents from 5-6:30 p.m.
No specific regulations are being discussed, town spokesperson Laurin Barnes said. But it harkens back to contentious debates last year that led nowhere.
Lexington adopted a sign ordinance more than 25 years ago to regulate the aesthetics, safety and standards of signage within the town and has remained largely the same ever since. But after an increase in code violations related to window violations several years ago, Town Council asked staff in to research local signage regulations in August 2024, according to a January 2025 agenda documents.
A report later listed ideas for adjusting the current signage ordinance, like guidelines for placement, lighting, materials and more.
Town Council and the Planning Commission passed around considerations, and the town’s Small Business Advisory Committee also drafted ordinance suggestions.
While the committee preferred no ordinance at all, it also made suggestions aimed at making the ordinance “less invasive and more business-friendly,” according to a presentation made to town council in July 2025. Those suggestions included allowances for temporary signage, allow window signage to some extent and make provisions for digital displays.
Recommendations for ordinance changes were ultimately never adopted.
What are the concerns?
Town Councilman Gavin Smith fears fostering a hostile environment for businesses in Lexington, the revenue from which accounts for a large portion of the town’s general fund budget.
“This is a government telling business owners what they can and cannot display inside their own property. For me, that infringes on personal property rights,” town Councilman Gavin Smith said. “I think it’s a slippery slope, and that once we start regulating what’s inside a storefront window, where does that stop? To me, that is a road that I don’t believe we should go down.”
Smith said sign ordinance disproportionately impacts small businesses, which use signage as an essential function to advertise and attract customers.
“Many of these businesses rely on simple, affordable ways to attract and communicate with their customers,” Smith said. “I do not believe the town should foster an environment that makes it harder for small businesses to succeed.”
Matt Thompson, chair of the town’s Small Business Advisory Committee and owner of local marketing agency Splash Omnimedia, said most businesses don’t take issue with a sign ordinance — within reason. It keeps things professional, it looks good, it ensures consistency. But he said that additional rules could be a problem, and that limiting business can be “government overreach.”
“It’s really starting to become overbearing and controlling,” Thompson said. “I believe that it is burdensome, and I honestly believe that it will have some liability for the town.”
Business spend thousands of dollars to be compliant with the existing ordinance, Thompson explained, to expect them to spend more money is a problem.
Thompson said the town could lose businesses to Lexington County and benefit from similar clientele without the same signage restrictions, nor the same taxation and licensing fees.
Lori Moroz, who owns Pine Press Printing and is a sign vendor, said that she’s “negotiable” when it comes to signage rules. If there are restrictions, she said she wants a dialogue so that all parties involved have a say.
“Our town is great to be in, and it’s great to do business in, but I think this is a little overreach,” Moroz said.
This story was originally published March 27, 2026 at 12:11 PM.