BILL ANALYSIS
Bill No: AB
1773
SENATE COMMITTEE ON GOVERNMENTAL ORGANIZATION
Senator Roderick D. Wright, Chair
2009-2010 Regular Session
Staff Analysis
AB 1773 Author: Mendoza
As Introduced: February 9, 2010
Hearing Date: June 22, 2010
Consultant: Art Terzakis
SUBJECT
State Fire Marshal: inspections and licensing
DESCRIPTION
AB 1773 authorizes the State Fire Marshal (SFM) 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. Specifically, this measure:
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
AB 1773 (Mendoza) continued
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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 two hundred
fifty dollars ($250) for each day of suspension stayed or
a total of ten thousand dollars ($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.
EXISTING LAW
Existing law provides for the licensing by the State Fire
Marshall 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.
BACKGROUND
Purpose of AB 1773: Prior to January 1, 2008, the SFM was
authorized to levy a 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 measure would essentially reinstate 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
AB 1773 (Mendoza) continued
Page 3
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 measure will give 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. Among
other things, authorized 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.
SUPPORT: As of June 18, 2010:
California Department of Forestry and Fire Protection (CAL
FIRE)
California Association of Life Safety and Fire Equipment
Arrow Fire Protection
FireMaster
Office of Los Angeles Mayor Antonio R. Villaraigosa
Jorgensen Company
Orange County Fire Protection
Solon Fire Control
OPPOSE: None on file as of June 18, 2010.
FISCAL COMMITTEE: Senate Appropriations Committee