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1. The City Council may adopt, by resolution, a street classification system for the city. Whenever such a system is adopted, it shall be the duty of said City Council to have stop signs placed and maintained, or if deemed more appropriate at any intersection, yield signs, on each and every street involved in the implementation of the classification system (unless traffic at any intersection is controlled at all times by traffic-control signals).
2. The City Council is hereby authorized to determine and designate intersections where a particular hazard exists and to determine:
a. Whether vehicles shall stop at one or more entrances to any such intersection, in which event it shall cause to be erected a stop sign at every such place where a stop is required; or
b. Whether vehicles shall yield the right-of-way to vehicles on a different street at such intersection, in which event, it shall cause to be erected a yield sign at every place where obedience thereto is required.
3. Every stop and yield sign shall be erected as near as practicable to the nearest line of the crosswalk on the near side of the intersection or, if there is not crosswalk, then as near as practicable to the nearest line of the intersecting roadway.