Audit: Change to privatization in highway sign program a struggling journey
(The Center Square) – Written agreements could not be located, others were not in the digital system, and the Department of Transportation in North Carolina has been recommended to standardize and improve its LOGO Program with its vendor.
(The Center Square) – Written agreements could not be located, others were not in the digital system, and the Department of Transportation in North Carolina has been recommended to standardize and improve its LOGO Program with its vendor.
The findings were shared by the office of first-term Republican state Auditor Dave Boliek following auditing review in what is commonly called a rapid response analysis. DOT oversight is through the appointment of the governor; former two-term Democratic Gov. Roy Cooper, now a U.S. Senate candidate, appointed Joey Hopkins as secretary of the department and upon his retirement first-term Democratic Gov. Josh Stein in October appointed Daniel Johnson.
The LOGO Program involves blue specific-service highway signs along the state’s roadways adorned with corporate logos, helping travelers know what is available at the exit. The program was managed by the Department of Transportation through June 30, 2025, then shifted to a privatized contract with North Carolina Signing Program with continued oversight by DOT.
The auditing was to review the program under management by DOT and the progress since going to the vendor NCSP.
On Sept. 9, 2025, there were 981 outstanding payments to the program at a total of $1.2 million. DOT did not have a map of precise locations for all signs.
A first recommendation, addressing inefficient record keeping, suggests payments and refunds be monitored in a timely manner. Establishment and enforcement of a deadline for delinquent payments is needed.
A second recommendation includes department consistency on record keeping, waiting lists for spots on signs and a comprehensive map of sign locations. This addresses revenues and expenditures of the revenue-earning program where 14 divisions and the administration in fiscal years 2023, 2024 and 2025 have yearly profits ranging from just over $500 in Division 3 to losses of more than $1.7 million in Division 8.
A third recommendation is policy on revenues and expenditures.
North Carolina Signing Program was awarded a contract of eight years with total guaranteed remittance of $55 million over the life of the deal.
The auditor’s office said the Department of Transportation should collaborate with the vendor to address identified issues, and support “administering the program efficiently and effectively.”
