(1) Each road authority may do any of the following on its own highways:

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(a) Designate a main traveled or through highway by placing traffic control devices at the entrances to the highway from intersecting highways to notify drivers to stop or yield the right of way before entering or crossing the designated highway.

(b) Designate intersections or other roadway junctions at which vehicle traffic on one or more of the highways should yield or stop before entering the intersection or junction.

(2) The Oregon Transportation Commission shall act as road authority under this section in lieu of the Department of Transportation. [1983 c.338 § 155]