Amended in Assembly June 23, 2016

Amended in Assembly July 13, 2015

Amended in Senate April 6, 2015

Senate Bill No. 522

Introduced by Senator Mendoza

February 26, 2015

begin delete An act to amend Sections 12505, 12555, 12558, 12561, 12562, 12563, 12564, 12565, 12566, 12570, 12580, 12581, 12585, 12586, 12587, 12590, 12604, 12605, 12637, 12643, 12645, 12648, 12649, 12670, 12673, 12686, 12688, 12706, 12722, 12724, 12725, and 12728 of, to add Chapter 6.5 (commencing with Section 12655) to Part 2 of Division 11 of, and to repeal Sections 12556, 12557, 12723, and 12726 of, the Health and Safety Code, relating to fireworks. end delete begin insert An act to amend Section 130051 of the Public Utilities Code, relating to transportation. end insert

LEGISLATIVE COUNSEL’S DIGEST

SB 522, as amended, Mendoza. begin delete State Fireworks Law: fireworks stewardship program. end delete begin insert Los Angeles County Metropolitan Transportation Authority. end insert

begin insert

Existing law creates the Los Angeles County Metropolitan Transportation Authority with specified powers and duties relative to transportation planning, programming, and operations in the County of Los Angeles. The authority is governed by a 14-member board of directors, including the Mayor of the City of Los Angeles, 2 public members and one Los Angeles City Council member appointed by the mayor, 4 members appointed from the other cities in the county, the 5 members of the board of supervisors, and one nonvoting member appointed by the Governor.

end insert begin insert

This bill would expand the board of directors to 24 members by adding 2 members who reside in the County of Los Angeles, one member appointed by the Speaker of the Assembly and one member appointed by the Senate Committee on Rules, selected from a list of candidates submitted by the Los Angeles County City Selection Committee, and would prohibit these members from residing in the same city as another member of the authority, as specified. The bill would instead provide for the appointment of 8 members from the other cities in the county, 2 from each sector, as prescribed. The bill would also add as members of the board of directors the Mayor of the City of Long Beach, one additional public member, and 2 additional City Council Members of the City of Los Angeles appointed by the Mayor of the City of Los Angeles.

end insert begin insert

By requiring the board membership to be expanded, the bill would thereby impose a state-mandated local program.

end insert begin insert

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

end insert begin insert

This bill would provide that, if the Commission on State Mandates determines that the bill contains costs mandated by the state, reimbursement for those costs shall be made pursuant to these statutory provisions.

end insert begin delete

Existing law requires various entities, including the State Fire Marshal, to seize certain prohibited fireworks. Existing law, until January 1, 2016, requires the State Fire Marshal to manage seized fireworks and contract with a federally permitted hazardous waste hauler for the hauling and disposal of seized illegal fireworks, and to store fireworks determined not to be hazardous, as provided. Existing law requires the Office of the State Fire Marshal to consult with public safety agencies and other stakeholders and develop a model ordinance that permits local jurisdictions to adopt streamlined enforcement and administrative fine procedures related to possession of 25 pounds or less of dangerous fireworks.

end delete begin delete

This bill would repeal the provisions relating to a model ordinance governing enforcement and administrative fine procedures.

end delete begin delete

Existing law authorizes the State Fire Marshal to issue and renew licenses for the manufacture, import, export, sale, and use of all fireworks and pyrotechnic devices in this state, in accordance with prescribed procedures.

end delete begin delete

The bill would, commencing January 1, 2017, prohibit the State Fire Marshal from issuing or renewing those licenses unless the applicant for a license or renewal of a license has submitted a fireworks stewardship plan, as described, that has been approved by the State Fire Marshal. The bill would establish the Fireworks Stewardship Program, which would, among other things, prescribe procedures for entities that are authorized to seize fireworks to provide for the transfer, storage, transportation, and repurposing of seized fireworks, in accordance with specified requirements, including that the fireworks are managed and transported in accordance with all applicable state and federal hazardous waste laws and regulations.

end delete begin delete

The bill would require a fireworks stewardship organization, as defined, or a manufacturer of fireworks, as described, before it may take possession of seized fireworks from the State Fire Marshal, to, not later than January 30, 2016, submit an interim fireworks plan for approval to the State Fire Marshal, containing specified components and information, and would prescribe procedures for the approval or disapproval of the plan. The bill would, no later than July 1, 2016, require a manufacturer, either individually, or through a fireworks stewardship organization acting on its behalf, to submit a fireworks stewardship plan to the State Fire Marshal that meets specified requirements. The bill would require a manufacturer or a fireworks stewardship organization, no later than July 1, 2016, and annually thereafter, to prepare and submit to the State Fire Marshal a proposed program budget for the following calendar year, with information relating the anticipated costs of the program.

end delete begin delete

The bill would require a fireworks stewardship organization to recommend to the State Fire Marshal an amount for a fireworks management charge to be added to the price of safe and sane fireworks at the point of sale, as defined, to fund the program. The bill would prescribe procedures for the conduct of audits and the reimbursement of various entities for program costs, and would impose recordkeeping and reporting requirements on a fireworks stewardship organization covered under the bill. The bill would authorize the State Fire Marshal to impose various administrative penalties for violations of program requirements, and would require that all revenues collected from those administrative penalties be deposited in the State Fire Marshal Fireworks Enforcement and Disposal Fund, as provided.

end delete begin delete

Existing law provides that criminal fines for violations of the laws regulating fireworks are distributed by the courts, with 65% allocated to a fund that supports State Fire Marshal programs relating to fireworks and explosives enforcement and education, and 35% allocated to reimbursement of the local public safety agencies for enforcement expenses.

end delete begin delete

This bill would provide, without specifying further allocation, that all of these moneys are to be deposited with the county treasurer of the county in which the court is situated.

end delete

Vote: majority. Appropriation: no. Fiscal committee: yes. State-mandated local program:  begin delete no end delete begin insert yes end insert .

The people of the State of California do enact as follows:

begin insert

begin insert SECTION 1. end insert   

end insert

begin insert Section 130051 of the end insert begin insert Public Utilities Code end insert begin insert is
amended to read: end insert

130051.  

The Los Angeles County Metropolitan Transportation
Authority consists of begin delete 14 end delete begin insert 24 end insert members, as follows:

(a) Five members of the Los Angeles County Board of
Supervisors.

If the number of members of the Los Angeles County Board of
Supervisors is increased, the authority shall, within 60 days of the
increase, submit a plan to the Legislature for revising the
composition of the authority.

(b) The Mayor of the City of Los Angeles.

(c)  begin delete Two end delete begin insert Three end insert public members and begin delete one member end delete begin insert three members end insert
of the City Council of the City of Los Angeles appointed by the
Mayor of the City of Los Angeles.

begin insert

(d) The Mayor of the City of Long Beach.

end insert begin delete

(d) Four

end delete

begin insert (e) end insert begin insert   end insert begin insert Eight end insert members, begin insert two from end insert each begin insert sector, each end insert of whom shall
be a mayor or a member of a city council, appointed by the Los
Angeles County City Selection Committee. For purposes of the
selection of these begin delete four end delete begin insert eight end insert members, the County of Los Angeles,
excluding the City of Los begin delete Angeles, end delete begin insert Angeles and the City of Long
Beach, end insert shall be divided into the following four sectors:

(1) The North County/San Fernando Valley sector.

(2) The Southwest Corridor sector.

(3) The San Gabriel Valley sector.

(4) The Southeast begin delete Long Beach end delete sector.

The League of California Cities, Los Angeles County Division,
shall define the sectors. Every city within a sector shall be entitled
to vote to nominate one or more candidates from that sector for
consideration for appointment by the Los Angeles County City
Selection Committee. A city’s vote shall be weighted in the same
proportion that its population bears to the total population of all
cities within the sector.

The members appointed pursuant to this subdivision shall be
appointed by the Los Angeles County City Selection Committee
upon an affirmative vote of its members which represent a majority
of the population of all cities within the county, excluding the City
of Los begin delete Angeles. end delete begin insert Angeles and the City of Long Beach. end insert

The members selected by the city selection committee shall serve
four-year terms with no limitation on the number of terms that
may be served by any individual. The city selection committee
may shorten the initial four-year term for one or more of the
members for the purpose of ensuring that the members will serve
staggered terms.

begin delete

(e)

end delete

begin insert (f) end insert  If the population of the City of Los Angeles, at any time,
becomes less than 35 percent of the combined population of all
cities in the county, the position of one of the begin delete two end delete begin insert three end insert public
members appointed pursuant to subdivision (c), as determined by
the Mayor of the City of Los Angeles by lot, shall be vacated, and
the vacant position shall be filled by appointment by the city
selection committee pursuant to subdivision begin delete (d) end delete begin insert (e) end insert from a city not
represented by any other member appointed pursuant to subdivision

begin delete (d). end delete begin insert (e). end insert

begin insert

(g) Two members who reside in the County of Los Angeles, one
member appointed by the Speaker of the Assembly and one member
appointed by the Senate Committee on Rules. At the time a member
is appointed pursuant to this subdivision, the member shall not
reside in the same city as another member of the authority. These
members shall be selected from a list submitted by the Los Angeles
County City Selection Committee that contains two or more
candidates from each sector. The Los Angeles County City
Selection Committee shall submit lists of candidates to the Senate
Committee on Rules and the Speaker of the Assembly until the
appointments are made.

end insert begin delete

(f)

end delete

begin insert (h) end insert  One nonvoting member appointed by the Governor.

begin insert

begin insert SEC. 2. end insert   

end insert begin insert

If the Commission on State Mandates determines that
this act contains costs mandated by the state, reimbursement to
local agencies and school districts for those costs shall be made
pursuant to Part 7 (commencing with Section 17500) of Division
4 of Title 2 of the Government Code.

end insert

begin delete

SECTION 1.  

Section 12505 of the Health and Safety Code is
amended to read:

12505.  

“Dangerous fireworks” includes all of the following:

(a)  Any fireworks which contain any of the following:

(1)  Arsenic sulfide, arsenates, or arsenites.

(2)  Boron.

(3)  Chlorates, except:

(A)  In colored smoke mixture in which an equal or greater
amount of sodium bicarbonate is included.

(B)  In caps and party poppers.

(C)  In those small items (such as ground spinners) wherein the
total powder content does not exceed 4 grams of which not greater
than 15 percent (or 600 milligrams) is potassium, sodium, or
barium chlorate.

(4)  Gallates or Gallic acid.

(5)  Magnesium (magnesium-aluminum alloys, called
magnalium, are permitted).

(6)  Mercury salts.

(7)  Phosphorous (red or white except that red phosphorus is
permissible in caps and party poppers).

(8)  Picrates or picric acid.

(9)  Thiocyanates.

(10)  Titanium, except in particle size greater than 100-mesh.

(11)  Zirconium.

(b)  Firecrackers.

(c)  Skyrockets and rockets, including all devices which employ
any combustible or explosive material and which rise in the air
during discharge.

(d)  Roman candles, including all devices which discharge balls
of fire into the air.

(e)  Chasers, including all devices which dart or travel about
the surface of the ground during discharge.

(f)  Sparklers more than 10 inches in length or one-fourth of
one inch in diameter.

(g)  All fireworks designed and intended by the manufacturer
to create the element of surprise upon the user. These items include,
but are not limited to, auto-foolers, cigarette loads, exploding golf
balls, and trick matches.

(h)  Fireworks known as devil-on-the-walk, or any other
firework which explodes through means of friction, unless
otherwise classified by the State Fire Marshal pursuant to this part.

(i)  Torpedoes of all kinds which explode on impact.

(j)  Fireworks kits.

(k)  Such other fireworks examined and tested by the State Fire
Marshal and determined by him or her, with the advice of the State
Board of Fire Services, to possess characteristics of design or
construction which make such fireworks unsafe for use by any
person not specially qualified or trained in the use of fireworks.

SEC. 2.  

Section 12555 of the Health and Safety Code is
amended to read:

12555.  

The State Fire Marshal or his or her salaried deputies
may make an examination of the books and records of any licensee
or permittee relative to fireworks, and may visit and inspect any
building or other premises subject to the control of, or used by,
the licensee or permittee for any purpose related to fireworks of
any licensee or permittee at any time he or she may deem necessary
for the purpose of enforcing the provisions of this part.

SEC. 3.  

Section 12556 of the Health and Safety Code is
repealed.

SEC. 4.  

Section 12557 of the Health and Safety Code is
repealed.

SEC. 5.  

Section 12558 of the Health and Safety Code is
amended to read:

12558.  

The licensee or permittee shall permit the chief of the
issuing authority, or his or her authorized representatives, as
qualified in Section 12721, to enter and inspect any building or
other premises subject to the control of or used by the licensee or
permittee for any purpose related to fireworks at any time for the
purpose of enforcing the provisions of this part.

SEC. 6.  

Section 12561 of the Health and Safety Code is
amended to read:

12561.  

All fireworks examined by the State Fire Marshal and
determined by him or her to come within the definition of
“dangerous fireworks” in Section 12505 shall be classified as
dangerous fireworks.

SEC. 7.  

Section 12562 of the Health and Safety Code is
amended to read:

12562.  

All fireworks examined by the State Fire Marshal and
determined by him or her to come within the definition of “safe
and sane fireworks” in Section 12529 shall be classified as safe
and sane fireworks.

SEC. 8.  

Section 12563 of the Health and Safety Code is
amended to read:

12563.  

All fireworks examined by the State Fire Marshal and
determined by him or her to come within the definition of
“agricultural and wildlife fireworks” in Section 12503 shall be
classified as agricultural and wildlife fireworks.

SEC. 9.  

Section 12564 of the Health and Safety Code is
amended to read:

12564.  

All fireworks examined by the State Fire Marshal and
determined by him or her to come within the definition of “exempt
fireworks” in Section 12508 shall be classified as exempt fireworks.

SEC. 10.  

Section 12565 of the Health and Safety Code is
amended to read:

12565.  

All fireworks or toy propellent devices containing
pyrotechnic compositions examined by the State Fire Marshal and
found by him or her to come within the definition of “model
rocket” or “model rocket engine” in Section 12519 or 12520,
respectively, shall be classified as model rocket engines.

SEC. 11.  

Section 12566 of the Health and Safety Code is
amended to read:

12566.  

All pyrotechnic devices examined by the State Fire
Marshal and found by him or her to come within the definition of
“emergency signaling devices” in Section 12506 shall be classified
by the State Fire Marshal as emergency signaling devices.

SEC. 12.  

Section 12570 of the Health and Safety Code is
amended to read:

12570.  

The State Fire Marshal may issue any license described
in this part, subject to the regulations that he or she may adopt not
inconsistent with the provisions of this part.

SEC. 13.  

Section 12580 of the Health and Safety Code is
amended to read:

12580.  

The State Fire Marshal may issue and renew licenses
for the manufacture, import, export, sale, and use of all fireworks
and pyrotechnic devices in this state. Commencing on January 1,
2017, the State Fire Marshal shall not issue wholesale licenses that
include the wholesale of safe and sane fireworks if the applicant
for a license does not have a fireworks stewardship plan that has
been approved by the State Fire Marshal pursuant to Section 12659.

SEC. 14.  

Section 12581 of the Health and Safety Code is
amended to read:

12581.  

Any person who desires to manufacture, import, export,
sell, or use fireworks shall first make written application for a
license to the State Fire Marshal on forms provided by him or her.
The application shall be accompanied by the annual license fee as
prescribed in this chapter.

SEC. 15.  

Section 12585 of the Health and Safety Code is
amended to read:

12585.  

Any applicant may withdraw his or her application for
a license or renewal of a license and the State Fire Marshal may
allow the withdrawal when he or she has determined that it is in
the best interest of public safety or the administration of this part.

SEC. 16.  

Section 12586 of the Health and Safety Code is
amended to read:

12586.  

The suspension, expiration, or forfeiture by operation
of law of a license issued by the State Fire Marshal, or its
suspension, forfeiture, or cancellation by order of the State Fire
Marshal or by a court of law, or its surrender to the State Fire
Marshal shall not, during any period in which it may be renewed,
restored, reissued, or reinstated, deprive the State Fire Marshal of
his or her authority to institute or continue disciplinary action
against the licensee upon any ground provided by law, or to enter
an order suspending or revoking a license or otherwise taking
disciplinary action against the licensee on any such ground.

SEC. 17.  

Section 12587 of the Health and Safety Code is
amended to read:

12587.  

A written report by the State Fire Marshal, any of his
or her deputies, or salaried assistants, or by the chief of any city
or county fire department or fire protection district or his or her
authorized representatives, disclosing that the applicant for a
license or for renewal of a license does not meet, or the premises
for which the license is required do not meet, the qualifications or
conditions for the license as required by this part or regulations
adopted pursuant to this part, may constitute grounds for denial of
any application for the license or renewal of the license.

SEC. 18.  

Section 12590 of the Health and Safety Code is
amended to read:

12590.  

The State Fire Marshal may deny or revoke any license
issued pursuant to this part if the State Fire Marshal finds any of
the following conditions has occurred:

(a)  The licensee has failed to pay the annual renewal license
fee provided in this chapter.

(b)  The licensee or license applicant has violated any provisions
of this part or any regulations adopted by the State Fire Marshal
pursuant to this part.

(c)  The licensee or license applicant has created or caused a
fire nuisance.

(d)  The licensee has failed to keep full, complete, and accurate
records or failed to file any required reports.

(e)  Any fact or condition exists which, if it had existed at the
time of the original application for the license reasonably would
have warranted the State Fire Marshal in refusing originally to
issue the license.

(f)  The permit issued under Section 12640 has been rescinded
or revoked by the issuing authority.

(g)  Any licensee or license applicant has refused to make
available to the State Fire Marshal full, complete, and accurate
records.

(h) The licensee does not participate in a fireworks stewardship
plan that has been approved by the State Fire Marshal pursuant to
Section 12659.

SEC. 19.  

Section 12604 of the Health and Safety Code is
amended to read:

12604.  

Following the revocation or voluntary surrender of his
or her license, or failure to renew his or her license, any person in
lawful possession of lawfully acquired fireworks for which a
license is required may sell or otherwise dispose of such fireworks
only under supervision of the State Fire Marshal and in such a
manner as the State Fire Marshal shall provide by regulations and
solely to persons who are authorized to buy, possess, sell, or use
those fireworks. That disposal shall be accomplished not later than
90 days after the legal revocation, voluntary surrender, or expiration
of the license. Any person possessing fireworks pursuant to this
section shall report the disposition of the fireworks to the local
authority who issued the storage permit within the time period
specified by this section.

SEC. 20.  

Section 12605 of the Health and Safety Code is
amended to read:

12605.  

A person found guilty of violating any of the provisions
of this part is not eligible to apply for a new license, apply for a
renewal of a license, or take an examination for any license for a
period of one year from the date of any conviction. The State Fire
Marshal may waive the provisions of this section when he or she
finds the granting of a license will not endanger public safety.

SEC. 21.  

Section 12637 of the Health and Safety Code is
amended to read:

12637.  

All fireworks or pyrotechnic devices intended for sale
in this state, which are products of nonlicensed manufacturers,
shall be examined and classified by the State Fire Marshal upon
written application on forms provided by him or her. The
application shall be accompanied by a fee as follows:

(a) Ten dollars ($10) for each label of an item of identical size
and design of a given lot or batch, provided that the lot or batch
is identifiable by a code, serial number, shipment lot, case cargo
number, etc.

(b) A separate application and fee shall be submitted for each
lot or batch.

(c) The State Fire Marshal seal and the wholesalers or importers
registration number shall not be imprinted on the label until the
lot or batch has been examined and classified.

SEC. 22.  

Section 12643 of the Health and Safety Code is
amended to read:

12643.  

Any licensee desiring to do any act specified in Section
12640 shall first make written application for a permit to the chief
of the fire department or the chief fire prevention officer of the
city or county, or to another issuing authority that may be
designated by the governing body of the city or county. In the
event there is no such officer or person appointed within the area,
application shall be made to the State Fire Marshal or his or her
deputy. Applications for permits shall be made in writing at least
10 days prior to the proposed act.

SEC. 23.  

Section 12645 of the Health and Safety Code is
amended to read:

12645.  

The officer to whom the application for a permit is
made shall undertake an investigation and submit a report of his
or her findings and his or her recommendation concerning the
issuance of the permit, together with his or her reasons therefor,
to the governing body of the city or county. The applicant for a
permit to conduct a public display shall file a certificate evidencing
the possession of a valid public display license with the officer
making the investigation.

SEC. 24.  

Section 12648 of the Health and Safety Code is
amended to read:

12648.  

The officer to whom the application for a permit for a
public display of fireworks is made shall make an investigation to
determine whether such a display as proposed will be of a character
or so located that it may be hazardous to property or dangerous to
any person. He or she shall, in the exercise of reasonable discretion,
recommend granting or denying the permit, subject to those
conditions as he or she may prescribe.

SEC. 25.  

Section 12649 of the Health and Safety Code is
amended to read:

12649.  

The applicant for a permit for any public display of
fireworks shall, at the time of application, submit his or her license
for inspection and furnish proof that he or she carries compensation
insurance for his or her employees as provided by the laws of this
state.

SEC. 26.  

Chapter 6.5 (commencing with Section 12655) is
added to Part 2 of Division 11 of the Health and Safety Code, to
read:

 

Chapter  6.5. Fireworks Stewardship Program

 

12655.  

This chapter shall be known as the Fireworks
Stewardship Program.

12656.  

For purposes of this chapter, the following definitions
apply:

(a) “Dangerous fireworks” has the same meaning as Section
12505.

(b) “Fireworks” has the same meaning as Section 12511.

(c) “Fireworks management charge” or “charge” means the
charge imposed on the sale of fireworks and collected at the retail
point of sale, the revenues from which are used to fund the
management and disposal of out-of-state fireworks.

(d) “Fireworks stewardship plan” or “fireworks plan” means a
plan submitted to the State Fire Marshal pursuant to Section 12659.

(e) “Fireworks stewardship organization” means a nonprofit
organization authorized by one or more manufacturers to act on
behalf of manufacturers to provide plans to the State Fire Marshal
pursuant to Section 12658 or 12659.

(f) “Interim fireworks plan” or “interim plan” means an interim
plan submitted to the State Fire Marshal for approval pursuant to
Section 12658.

(g) “Manufacturer” means one of the following persons:

(1) A person or entity that manufactures, and that sells, offers
for sale, or distributes, safe and sane fireworks in the state under
the person’s or entity’s own name or brand.

(2) If there is no person or entity that sells, offers for sale, or
distributes safe and sane fireworks in the state under the person’s
or entity’s own name or brand, the manufacturer of the fireworks
is the owner or licensee of a trademark or brand under which the
fireworks are sold or distributed in the state, whether or not the
trademark is registered.

(3) If there is no person who is a manufacturer pursuant to
paragraph (1) or (2), the manufacturer of the fireworks is the person
who imports the fireworks into the state for sale or distribution.

(h) “Retailer” has the same meaning as Health and Safety Code
Section 12528.

(i) “Safe and sane fireworks” has the same meaning as Section
12529.

(j) “Seizing entity” means any entity authorized to seize
fireworks pursuant to Section 12721.

12657.  

(a) The seizing entity shall separate any seized
fireworks that are no longer in their original United States
Department of Transportation certified shipping containers, as
well as any fireworks that are identified as dangerous and are not
legal for sale in California or any other state, and ensure that this
material is stored in accordance with all applicable state and federal
hazardous waste laws and regulations. The seizing entity may
transfer any seized fireworks to the fireworks stewardship
organization or a manufacturer for purposes of resale or disposal.
If a seizing entity transfers any seized fireworks to a fireworks
stewardship organization or manufacturer, it shall keep records
detailing the number of pounds of fireworks it transferred. A
stewardship organization shall accept full responsibility for the
management and handling of, and assume liability for any damage
caused as a result of, any fireworks that are transferred pursuant
to this chapter, and shall hold the State of California and the seizing
entity harmless for any damage done by those fireworks.

(b) Notwithstanding any other law, within 30 days of notification
by the seizing entity, the stewardship organization or manufacturer
shall arrange for pickup or transportation of all seized fireworks
that are held by the seizing entity in accordance with one of the
following procedures:

(1) Seized fireworks that are no longer in their original United
States Department of Transportation certified shipping containers,
and those that are identified as dangerous and are not legal for sale
in California or any other state, shall be transported by a registered
hazardous waste transporter, in accordance with all applicable state
and federal hazardous waste laws and regulations, and all
applicable United States Department of Transportation
requirements, to a facility that is authorized by the state where the
facility is located to receive fireworks that are determined to be
hazardous waste.

(2) Seized fireworks that are still in their original United States
Department of Transportation certified shipping containers shall
be transported to a location that is described in an approved plan
submitted pursuant to Section 12658 or 12659, as applicable.

(c) Any seized fireworks that are still in their original United
States Department of Transportation certified shipping containers
may be managed as follows:

(1) To the extent allowed by any applicable state and federal
laws, fireworks that may not legally be sold in California may be
repurposed, and retained by a fireworks stewardship organization
within the state for a period not exceeding 90 days. Before the
expiration of the 90-day period, the stewardship organization shall
ship those fireworks to a site operated by the stewardship
organization or another entity in another state that is authorized to
accept the shipment.

(2) To the extent allowed by any applicable state and federal
laws, any fireworks that may legally be sold in California may be
repurposed and retained by a fireworks stewardship organization
and offered for sale within the state during a legally authorized
sales period.

12658.  

(a) Before it may legally take possession of seized
fireworks from the State Fire Marshal, a fireworks stewardship
organization or manufacturer shall, not later than January 30, 2016,
submit an interim fireworks plan for approval by the State Fire
Marshal, which shall contain, at a minimum, all of the following:

(1) A plan for the collection, sorting, disposal, or other
disposition of fireworks seized over the July 4, 2016, sales period,
which is in compliance with all appropriate state and federal
hazardous waste laws.

(2) A financial plan for the fireworks stewardship organization
or manufacturer to cover any costs associated with paragraph (1)
and any reasonable costs incurred by the State Fire Marshal to
administer this section, including any required retailer fees.

(b) No later than February 28, 2016, the State Fire Marshal shall
notify the fireworks stewardship organization or manufacturer of
the approval or disapproval of the interim plan submitted pursuant
to subdivision (a). If the State Fire Marshal disapproves of the
interim plan, the State Fire Marshal may require any revision to
the plan he or she deems necessary to protect the public safety or
the fiscal solvency of the fireworks disposal program as a
precondition for approval of the interim plan. A fireworks
stewardship organization or manufacturer shall submit a revised
interim plan to the State Fire Marshal no later than ____ days after
the date of receipt of notification of a disapproved plan. If the
fireworks stewardship organization or manufacturer fails to submit
a revised interim plan to the State Fire Marshal that includes the
revisions required by the State Fire Marshal, or the State Fire
Marshal fails to approve the plan within ____ days of receipt of
the revised plan, the revised plan shall be deemed disapproved.

(c) The State Fire Marshal or a seizing entity may transfer any
fireworks held from prior fiscal years to a fireworks stewardship
organization or manufacturer during the period from January 1,
2016, to June 30, 2016. The transfer of those fireworks may only
take place if the proposed transfer is provided for in an approved
and implemented interim plan submitted pursuant to subdivision
(a).

(d) The Department of Forestry and Fire Protection may
establish positions during the 2015-16 fiscal year that are necessary
to implement and administer this chapter. Any subsequent funding
for those positions shall occur as part of the regular budget process
for the 2016-17 fiscal year, and each fiscal year thereafter,
consistent with the requirements of the annual Budget Act.

(e) No later than June 1, 2016, a fireworks stewardship
organization or manufacturer shall be required to reimburse the
Department of Forestry and Fire Protection for any actual costs
incurred in funding the positions established pursuant to
subdivision (d).

(f) Before approving the interim fireworks plan submitted
pursuant to subdivision (a), the State Fire Marshal shall consult
with Department of Toxic Substances Control to ensure that the
activities described in the interim plan will be conducted so as to
comply with all state and federal hazardous waste laws and
regulations.

12659.  

(a) No later than July 1, 2016, a manufacturer shall,
individually, or through a fireworks stewardship organization
acting on its behalf, submit for approval a fireworks stewardship
plan to the State Fire Marshal that meets the requirements of this
section and includes all of the following:

(1) A process for collaborating with the State Fire Marshal with
regard to the establishment of program goals and methods of
measuring program outcomes.

(2) A description of education and outreach efforts to nonprofit
organizations, charities, and others who sell safe and sane fireworks
regarding fire protection and prevention, the responsible use of
safe and sane fireworks, and the hazards of illegal fireworks.

(3) A consultation process with affected stakeholders regarding
the plan.

(4) The names of manufacturers and brands of fireworks covered
under the plan.

(5) Procedures to ensure the continued implementation of the
fireworks plan if the manufacturer or the stewardship organization
no longer exists due to bankruptcy, dissolution, or similar events.

(6) A process for ensuring payment to hazardous waste facilities
for the reasonable costs of collecting, storing, and processing
fireworks in the implementation of the fireworks plan pursuant to
this chapter.

(7) A methodology and audit plan for ensuring that any
fireworks that are legal under federal law, and are shipped outside
of the state, do not reenter California.

(8) Provisions requiring an annual report to the State Fire
Marshal documenting the prior year’s seizures, shipments, sales,
and disposals.

(9) A plan developed with state and local law enforcement to
reduce the volume of illegal fireworks entering California.

(10) Measures to be implemented to ensure that hazardous waste
is managed in accordance with state and federal hazardous waste
laws and regulations.

(b) Before approving the fireworks stewardship plan prepared
pursuant to subdivision (a), the State Fire Marshal shall consult
with the Department of Toxic Substances Control to ensure that
the activities described in the fireworks stewardship plan will be
conducted in compliance with all state and federal hazardous waste
laws and regulations.

(c) Commencing January 1, 2017, the State Fire Marshal shall
not issue licenses pursuant to Sections 12572 and 12573 to a
manufacturer that is not in compliance with this chapter.

12660.  

No later than July 1, 2016, and annually thereafter, a
manufacturer or a fireworks stewardship organization shall prepare
and submit to the State Fire Marshal a proposed fireworks program
budget for the following calendar year that includes all of the
following:

(a) Anticipated revenues from the sale of recuperated fireworks
and costs of implementing the program, including costs of related
programs, projects, contracts, and administrative expenses, and
including the costs of complying with state and federal hazardous
waste laws and regulations.

(b) Recommended funding levels sufficient to cover the plan’s
budgeted costs and the operating expenses of the program over a
multiyear period in a prudent and responsible manner.

(c) The amount of the fireworks disposal fee for the subsequent
July 4th sales period and an itemization of the estimated proceeds
of the fee.

(d) No later than October 1, 2016, and annually thereafter, the
State Fire Marshal shall approve or disapprove a manufacturer’s
or fireworks stewardship organization’s final program budget. If
the State Fire Marshal fails to act or does not disapprove a
manufacturer’s or fireworks stewardship organization’s final
program budget, the budget shall be deemed approved on ____ of
the applicable year.

(e) (1) If the State Fire Marshal disapproves the budget
submitted by a fireworks stewardship organization or manufacturer,
the fireworks stewardship organization or manufacturer shall
submit a revised budget addressing the State Fire Marshal’s written
reasons for its decision to disapprove within 30 days of the date
the budget is disapproved.

(2) The State Fire Marshal, within 30 days from the date the
manufacturer or a fireworks stewardship organization submits a
revised budget, shall approve or disapprove a final fireworks
program budget.

12661.  

(a) A stewardship organization shall recommend to
the State Fire Marshal the amount of a fireworks management
charge that should be added to the purchase price of safe and sane
fireworks at the point of sale.

(b) (1) The amount of the fireworks management charge shall
be sufficient to fund the revenue requirements set forth in the
approved budget.

(2) The stewardship organization shall set the fireworks
management charge as a flat rate based on the type and quantity
of the fireworks purchased and not as a percentage of the purchase
price.

(c) The fireworks management charge shall be included in the
annual program budget for approval by the State Fire Marshal
pursuant to Section 12660.

(d) Once the State Fire Marshal approves or conditionally
approves a budget pursuant to Section 12660, the State Fire
Marshal shall require that a fireworks retailer that sells safe and
sane fireworks to a consumer in the state add the fireworks
management charge to the purchase price of the fireworks sold,
and remit the proceeds of the charge to the fireworks stewardship
organization or manufacturer, as applicable.

(e) The stewardship organization or manufacturer shall
determine the rules and procedures that are necessary and proper
to implement the collection of the charge in a fair, efficient, and
lawful manner.

12662.  

(a) The fireworks stewardship organization or
manufacturer may conduct an audit of those parties that are
required to remit the fee to the manufacturer or stewardship
organization to verify that a fireworks management charge is paid
correctly and accurately, and to ensure that charges are paid and
collected pursuant to this chapter in the correct amount.

(b) An audit conducted pursuant to this section shall be carried
out in accordance with generally accepted auditing practices and
shall be limited in scope to confirming whether the fireworks
management charge has been properly collected on all sales of
safe and sane fireworks to consumers in the state.

(c) For purposes of conducting audits pursuant to this section,
a manufacturer or fireworks stewardship organization shall hire
an independent, third-party auditor.

(d) If a manufacturer or fireworks stewardship organization
conducts an audit pursuant to this section, the organization shall
provide a copy of the audit to the department.

12663.  

(a) The State Fire Marshal shall prepare a summary of
his or her costs for implementing and enforcing this chapter through
the end of the 2016-17 fiscal year, and for each fiscal year
thereafter. The estimated costs of implementation shall include
any costs incurred by the Department of Toxic Substances Control
to review an interim plan submitted pursuant to Section 12658, or
a fireworks plan submitted pursuant to Section 12659, for
compliance with state and federal hazardous waste laws and
regulations.

(b) No later than July 1, 2016, and once every three months
thereafter, and within the fiscal year ending June 30, the fireworks
stewardship organization shall reimburse the State Fire Marshal
for any costs incurred pursuant to subdivision (a).

(c) The State Fire Marshal shall deposit all moneys submitted
for reimbursement of its costs by a fireworks stewardship
organization or manufacturer pursuant to this section into the State
Fire Marshal Fireworks Enforcement and Disposal Fund, created
pursuant to Section 12728. Upon appropriation by the Legislature,
these moneys may be expended by the Department of Forestry and
Fire Prevention to administer and enforce this chapter and
reimburse any outstanding loans made from other funds used to
finance startup costs of the department’s activities pursuant to this
chapter.

12664.  

(a) A fireworks stewardship organization shall keep
minutes, books, and records that clearly reflect the activities and
transactions of the fireworks stewardship organization conducted
pursuant to this chapter.

(b) The accounting books of a manufacturer or a fireworks
stewardship organization shall be audited at the manufacturer’s or
the fireworks stewardship organization’s expense by an
independent certified public accountant retained by the
manufacturer or fireworks stewardship organization at least once
each calendar year.

(c) The fireworks stewardship organization or manufacturer
shall arrange for the audit to be delivered to the State Fire Marshal.
The State Fire Marshal shall review the audit to evaluate the
fireworks stewardship organization’s or manufacturer’s compliance
with this chapter and consistency with the plan created pursuant
to this chapter. The State Fire Marshal shall notify a manufacturer
or fireworks stewardship organization of any compliance issues
or inconsistencies. The State Fire Marshal shall not disclose any
confidential proprietary information in the audit.

(d) The State Fire Marshal may conduct its own audit if it
determines that an audit is necessary to enforce the requirements
of this chapter and that the audit conducted pursuant to subdivision
(b) is not adequate for this purpose.

12665.  

(a) The State Fire Marshal may impose an
administrative civil penalty on any manufacturer or stewardship
organization that is in violation of this chapter. The amount of the
civil penalty shall not exceed five hundred dollars ($500) per day,
but if the violation is intentional, knowing, or reckless, the State
Fire Marshal may impose a civil penalty of not more than five
thousand dollars ($5,000) per day.

(b) The State Fire Marshal may impose an administrative civil
penalty on any retailer who is in violation of this chapter. The
amount of the civil penalty shall not exceed five hundred dollars
($500) per day, but if the violation is intentional, knowing, or
reckless, the State Fire Marshal may impose a civil penalty of not
more than five thousand dollars ($5,000) per day.

(c) If more than one stewardship organization submits a plan
pursuant to this chapter, the State Fire Marshal shall determine the
manufacturer’s or retailer’s compliance with this chapter in
accordance with the plan to which the manufacturer or retailer is
subject.

(d) The State Fire Marshal may impose the administrative civil
penalties pursuant to this section in accordance with Chapter 5
(commencing with Section 11500) of Part 1 of Division 3 of Title
2 of the Government Code, except that subdivision (c) of Section
11505 of the Government Code shall not apply to the department.

(e) The State Fire Marshal shall not impose a penalty upon a
fireworks stewardship organization pursuant to this section for a
failure to comply with this chapter as a result of submitting false
or misleading information if the stewardship organization
demonstrates that it received false or misleading information from
a manufacturer that was the direct cause of its failure to comply
with this chapter.

(f) The State Fire Marshal shall deposit all penalties collected
pursuant to this section into the State Fire Marshal Fireworks
Enforcement and Disposal Fund.

12666.  

Section 12700 shall not apply to violations of this
chapter.

SEC. 27.  

Section 12670 of the Health and Safety Code is
amended to read:

12670.  

It is unlawful for any person to advertise that he or she
is in any business or venture involving fireworks or pyrotechnic
devices or to cause his or her name or business name style to be
included in any classified advertisement or directory under a
classification that includes the word fireworks, unless he or she is
licensed pursuant to this part.

SEC. 28.  

Section 12673 of the Health and Safety Code is
amended to read:

12673.  

It is unlawful for any person to store any fireworks
without having in his or her possession a valid permit as required
by this part.

SEC. 29.  

Section 12686 of the Health and Safety Code is
amended to read:

12686.  

It is unlawful for any person to use any special effects
fireworks unless he or she possesses a pyrotechnic operator license.

SEC. 30.  

Section 12688 of the Health and Safety Code is
amended to read:

12688.  

It is unlawful for any person to advertise to sell or
transfer any class of fireworks, including agricultural and wildlife
fireworks or model rocket engines, unless he or she possesses a
valid license or permit.

SEC. 31.  

Section 12706 of the Health and Safety Code is
amended to read:

12706.  

Notwithstanding Section 1463 of the Penal Code, all
fines and forfeitures imposed by or collected in any court of this
state, except for administrative fines described in Section 12557,
as a result of citations issued by a public safety agency, for any
violation of subdivision (b) of Section 12700 or of any regulation
adopted pursuant to subdivision (b) of Section 12700, shall be
deposited, as soon as practicable after the receipt of the fine or
forfeiture, with the county treasurer of the county in which the
court is situated.

SEC. 32.  

Section 12722 of the Health and Safety Code is
amended to read:

12722.  

The following fireworks may be seized pursuant to
Section 12721:

(a)  Those fireworks which are sold, offered for sale, possessed,
stored, used, or transported within this state prior to having been
examined, classified, and registered by the State Fire Marshal,
except those specific items designated as samples pending
examination, classification, and registration by the State Fire
Marshal where the licensee provides documentary evidence that
the action by the State Fire Marshal is pending.

(b)  All imported fireworks possessed without benefit of the
filing of notices as required by this part.

(c)  Safe and sane fireworks stored in violation of the conditions
required by the permit as provided in this part.

(d)  Safe and sane fireworks sold or offered for sale at retail that
do not bear the State Fire Marshal label of registration and firing
instructions.

(e)  Safe and sane fireworks sold or offered for sale at retail that
are in unsealed packages or containers that do not bear the State
Fire Marshal label of registration and firing instructions.

(f)  Safe and sane fireworks sold or offered for sale at retail
before 12 noon on the 28th day of June or after 12 noon on the
sixth day of July of each year.

(g)  Each safe and sane fireworks item sold or offered for sale
at retail that does not have its fuse or other igniting device protected
by a cap approved by the State Fire Marshal, or groups of fireworks
with exposed fuses that are not enclosed in sealed packages that
bear the State Fire Marshal label of registration. The State Fire
Marshal shall approve those caps that he or she determines provide
reasonable protection from unintentional ignition of the fireworks.

(h)  Dangerous fireworks, including fireworks kits, used,
possessed, stored, manufactured, or transported by any person who
does not possess a valid permit authorizing any activity listed in
this part.

(i)  Any fireworks stored or sold in any public garage or public
oil station, or on any premises where gasoline or any other class
1 flammable liquids are stored or dispensed.

(j)  Any fireworks still possessed by a person who has just
thrown any ignited fireworks at any person or group of persons.

(k)  Any model rocket engines or model rockets with engines
possessed by any person not holding a valid permit.

(l)  Any emergency signaling device sold, offered for sale, or
used that does not bear the State Fire Marshal label of registration
as required by this part.

(m) Any fireworks or pyrotechnic device offered for sale by
any person violating any provision of this part.

SEC. 33.  

Section 12723 of the Health and Safety Code, as
added by Section 10 of Chapter 24 of the Statutes of 2015, is
repealed.

SEC. 34.  

Section 12724 of the Health and Safety Code is
amended to read:

12724.  

(a) Any person whose fireworks are seized under the
provisions of this chapter may, within 10 days after seizure, petition
the entity seizing the fireworks to return the fireworks seized upon
the ground that the fireworks were illegally or erroneously seized.
Any petition filed pursuant to this section shall be considered by
the entity seizing the fireworks within 15 days after filing or after
a hearing granted to the petitioner, if requested. The entity seizing
the fireworks shall advise the petitioner of his or her decision in
writing. The determination of the entity seizing the fireworks is
final unless within 60 days after seizure an action is commenced
in a court of competent jurisdiction in the State of California for
the recovery of the fireworks seized pursuant to this part, except
as provided in subdivision (b).

(b) The determination of the entity seizing the fireworks is final
in the case of the seizure of dangerous fireworks, unless within 20
days after the notice of the determination is mailed to the petitioner
an action is commenced in a court of competent jurisdiction in the
State of California for the recovery of the fireworks seized pursuant
to this part.

SEC. 35.  

Section 12725 of the Health and Safety Code is
amended to read:

12725.  

The State Fire Marshal, his or her salaried deputies, or
any chief or his or her authorized representatives as qualified in
this chapter may prevent, stop, or cause to be stopped, any public
display in progress, or any proposed public display, when the
location, discharge, or firing of such public display is determined
by him or her to be hazardous to property or dangerous to the
public.

SEC. 36.  

Section 12726 of the Health and Safety Code, as
added by Section 12 of Chapter 24 of the Statutes of 2015, is
repealed.

SEC. 37.  

Section 12728 of the Health and Safety Code is
amended to read:

12728.  

(a) The State Fire Marshal Fireworks Enforcement and
Disposal Fund is hereby established in the State Treasury.

(b) All of the moneys deposited in the fund pursuant to Section
12663 shall be expended, upon appropriation by the Legislature,
only as provided in that section.

(c) All of the moneys collected pursuant to Section 12727 shall
be deposited in the fund and shall be available, upon appropriation
by the Legislature, to the State Fire Marshal for the exclusive use
in statewide programs for all of the following:

(1) To further assist in statewide programs for the enforcement,
prosecution related to, disposal, and management of seized
dangerous fireworks.

(2) The education of public safety agencies in the proper
handling and management of dangerous fireworks as well as safety
issues involving all fireworks and explosives.

(3) Assist the State Fire Marshal in identifying and evaluating
methods to capture more detailed data relating to fires, damages,
and injuries caused by both dangerous and safe and sane fireworks,
and to assist with funding the eventual development and
implementation of those methods.

(4) To further assist in public safety and education efforts within
the general public as well as public safety agencies on the proper
and responsible use of safe and sane fireworks.

end delete