BILL ANALYSIS ------------------------------------------------------------ |SENATE RULES COMMITTEE | AB 1773| |Office of Senate Floor Analyses | | |1020 N Street, Suite 524 | | |(916) 651-1520 Fax: (916) | | |327-4478 | | ------------------------------------------------------------ CONSENT Bill No: AB 1773 Author: Mendoza (D) Amended: As introduced Vote: 21 SENATE GOVERNMENTAL ORG. COMMITTEE : 9-0, 6/22/10 AYES: Wright, Harman, Calderon, Denham, Florez, Negrete McLeod, Padilla, Price, Yee NO VOTE RECORDED: Oropeza, Wyland SENATE APPROPRIATIONS COMMITTEE : Senate Rule 28.8 ASSEMBLY FLOOR : 74-0, 4/29/10 - See last page for vote SUBJECT : State Fire Marshal: inspections and licensing SOURCE : Author DIGEST : This bill authorizes the State Fire Marshal to issue civil penalties wholly or partially in lieu of suspending the license of an individual or business that violates fireworks and portable fire extinguisher and automatic extinguisher laws. ANALYSIS : Existing law provides for the licensing by the State Fire Marshall (SFM) of persons to engage in various activities relating to the sale or use of fireworks, and the servicing of portable fire extinguishers and automatic extinguisher systems. CONTINUED AB 1773 Page 2 This bill: 1. Enables the SFM to issue civil penalties for fireworks and portable fire extinguisher and automatic extinguisher violations wholly or partially in lieu of taking a licensing action. 2. Makes it explicit that the provisions of this bill shall not authorize the SFM to permit a licensee to pay a monetary penalty in lieu of suspension for any violation that posed, or had the potential to pose, a significant threat or risk of harm to the public. 3. Requires the SFM, in deciding whether to accept an offer of payment of a monetary penalty in lieu of suspension, to consider the seriousness of the violation, the violator's record of compliance with the law, the impact on the licensee, the licensee's employees, or customers, and other factors deemed relevant. 4. Provides that if a licensee fails to pay the monetary penalty in accordance with the terms and conditions set by the SFM or his/her designee, the SFM may, without a hearing, immediately suspend that individual's license. 5. Places a cap on the amount of the monetary penalty payable under the provisions of this bill at $250 for each day of suspension stayed or a $10,000 per decision regardless of the number of days of suspension stayed under the decision. 6. Stipulates that any monetary penalties received pursuant to this bill shall be deposited in the SFM Licensing and Certification Fund. 7. Requires the SFM to make available to the public, on or before March 1 of each year, data showing the percentage of enforcement actions taken pursuant to the provisions of this bill that resulted in license suspension or the assessment of monetary penalties. Comments Prior to January 1, 2008, the SFM was authorized to levy a AB 1773 Page 3 monetary penalty in lieu of administrative license suspensions, AB 2401 (Harman), Chapter 424, Statutes of 2004. However, due to a sunset provision contained in AB 2401 of 2004, the SFM is not authorized to use monetary fines as an enforcement tool. This bill essentially reinstates those provisions thus enabling the SFM to levy monetary penalties in lieu of suspension relative to the Fireworks program, the Portable Fire Extinguisher program and the Automatic Extinguishing System program. The author's office states that during the period of time these sections were in statute they were effective and served both the industry and the SFM in a positive manner. The author's office points out that due to the sunset of AB 2401 of 2004, the SFM is faced with the dilemma of either suspending a license/certification at a significant cost to both the business and the state, or opting to take no action and potentially allow infractions to continue. The author's office emphasizes that this bill gives the SFM the authority to levy monetary penalties without unnecessarily suspending a license or certificate in cases of minor infractions. Prior/Related Legislation AB 2401 (Harman) Chapter 424, Statutes of 2004, authorizes the SFM, until January 1, 2008, to impose a specified monetary penalty in lieu of suspending the license or certificate of individuals or businesses that violated laws. FISCAL EFFECT : Appropriation: No Fiscal Com.: Yes Local: No SUPPORT : (Verified 8/2/10) Arrow Fire Protection California Association of Life Safety and Fire Equipment California Department of Forestry and Fire Protection FireMaster Jorgensen Company Office of Los Angeles Mayor Antonio R. Villaraigosa Orange County Fire Protection Solon Fire Control AB 1773 Page 4 ASSEMBLY FLOOR : AYES: Adams, Ammiano, Anderson, Arambula, Beall, Bill Berryhill, Tom Berryhill, Blakeslee, Block, Blumenfield, Bradford, Brownley, Buchanan, Charles Calderon, Carter, Chesbro, Conway, Cook, Coto, Davis, De La Torre, De Leon, DeVore, Emmerson, Eng, Evans, Feuer, Fletcher, Fong, Fuentes, Fuller, Furutani, Gaines, Galgiani, Garrick, Gilmore, Hagman, Hall, Harkey, Hayashi, Hernandez, Hill, Huber, Huffman, Jeffries, Knight, Lieu, Logue, Ma, Mendoza, Miller, Monning, Nava, Nestande, Niello, Nielsen, Norby, V. Manuel Perez, Portantino, Ruskin, Salas, Saldana, Silva, Skinner, Smyth, Solorio, Audra Strickland, Swanson, Torlakson, Torres, Tran, Villines, Yamada, John A. Perez NO VOTE RECORDED: Bass, Caballero, Jones, Bonnie Lowenthal, Torrico, Vacancy TSM:do 8/2/10 Senate Floor Analyses SUPPORT/OPPOSITION: SEE ABOVE **** END ****