I know I'm a little late to the party, but we use 3M 3930 HIP reflective sheeting and 3M 1170C clear UV overlaminate for making our traffic signs. We print most of our jobs with an HP Latex 365, especially street name signs.
You can also sheet both sides of the sign blanks with 3930 and use your plotter to cut and apply 3M 1170 Green EC film. We have made them both ways, and both have always turned out great for us and our customers have been very happy with both. Both options are MUTCD and FHWA approved and they do require a minimum of High Intensity Prismatic reflective for all street name signs and regulated traffic signs. Do not use Engineer Grade (AEGP and beaded EG) reflective as it has been banned by the FHWA in 2009.
Glad to give you more pointers with traffic sign production if you need some help!