BILL NUMBER: SB 777	AMENDED
	BILL TEXT

	AMENDED IN ASSEMBLY  FEBRUARY 4, 2014
	AMENDED IN SENATE  MAY 29, 2013
	AMENDED IN SENATE  MAY 28, 2013
	AMENDED IN SENATE  MAY 15, 2013
	AMENDED IN SENATE  MAY 7, 2013
	AMENDED IN SENATE  APRIL 23, 2013
	AMENDED IN SENATE  APRIL 15, 2013

INTRODUCED BY   Senator  Calderon   Hernandez

    (   Coauthors:   Senators  
Calderon,   Cannella,   Correa,   Evans,
  Galgiani,   Hancock,   and Vidak 
 ) 
    (   Coauthor:   Assembly Member  
Chesbro   ) 

                        FEBRUARY 22, 2013

    An act to amend Sections 12556 and 12726 of, to add
Sections 12599.5 and 12635.5 to, and to add Chapter 3.5 (commencing
with Section 12559) to Part 2 of Division 11 of, the Health and
Safety Code, and to amend Section 15301 of the Vehicle Code, relating
to public safety.   An act to amend Section 19605.75
of, and to add Sections 19605.76, 19605.77, and 19605.78 to, the B
  usiness and Professions Code, relating to horse racing.




	LEGISLATIVE COUNSEL'S DIGEST


   SB 777, as amended,  Calderon   Hernandez
 .  Public safety: fireworks.   Horse
racing: workers' compensation.  
   Until January 1, 2014, the provisions of the Horse Racing Law
required a thoroughbred racing association and fair that conducts a
racing meeting to deduct a percentage of the total amount handled in
exotic parimutuel pools of thoroughbred racing, to be distributed to
a specified organization for the purpose of defraying costs of
workers' compensation insurance in connection with thoroughbred horse
racing. Until January 1, 2014, provisions of the Horse Racing Law
authorized similar deductions from the total amount handled for races
for quarter horses and other breeds, and for harness races, to be
distributed to specified organizations for defraying workers'
compensation for trainers and owners in connection with those races.
 
   This bill would reestablish those provisions requiring the
deduction specified above to be made by a thoroughbred racing
association, and would reestablish those provisions authorizing the
deductions to be made for races for quarter horses and other breeds,
and for harness races. Because a violation of the Horse Racing Law is
generally a misdemeanor, the bill would create new crimes, thereby
imposing a state-mandated local program.  
   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.  
   This bill would provide that no reimbursement is required by this
act for a specified reason.  
   Existing law authorizes the retail sale of safe and sane fireworks
from June 28 to July 6, annually, pursuant to a license issued by
the State Fire Marshal, unless otherwise prohibited or regulated by
law or ordinance. Existing law requires various entities, including
the State Fire Marshal, to seize certain prohibited fireworks.
Existing law requires an authority that seizes fireworks to notify
the State Fire Marshal of the seizure and provide specified
information. Existing law requires the State Fire Marshal to dispose
of the fireworks and requires dangerous fireworks to be disposed of
according to specified procedures. Existing law requires the State
Fire Marshal to acquire and use statewide mobile dangerous fireworks
destruction units to collect and destroy dangerous fireworks from
local and state agencies.  
   This bill would require the State Fire Marshal, by January 1,
2015, to establish and have operational regional collection centers
for the purpose of receiving seized safe and sane and federally
approved fireworks. The bill would authorize the State Fire Marshal
to permit a state licensed fireworks importer and exporter or
wholesaler to purchase any fireworks the State Fire Marshal, the
Department of Toxic Substances Control, and a recognized 3rd-party
testing entity, as defined, deem to be commercially viable, from the
State Fire Marshal. The bill would require any revenue received from
the sale to belong to the seizing local authority and would authorize
the State Fire Marshal to enter into a revenue sharing agreement
with that local authority, as provided. The bill would require the
fireworks stored at the regional collection facility to be subject to
certain requirements, including that they be stored for a period of
not more than 90 days. The bill would require the Department of Toxic
Substances Control to develop and publish guidelines for the
implementation of these provisions, as provided.  
   This bill would authorize, beginning January 1, 2015, the sale of
certified safe and sane fireworks from 9 a.m. on December 26 to 11:59
p.m. on January 1 of the following year pursuant to a license issued
by the State Fire Marshal, if authorized by a charter city, city,
county, fire protection district, or city and county ordinance or
resolution that may also restrict the hours of use of those
fireworks. Since a violation of this provision or other existing
related provisions in connection with the sale of those fireworks
would be a misdemeanor, the bill would impose a state-mandated local
program by creating new crimes.  
   The bill would also authorize a charter city, city, county, fire
protection district, or city and county that adopts an ordinance or
resolution authorizing the sale of safe and sane fireworks to require
each applicant receiving a permit to pay a fee to the charter city,
city, county, fire protection district, or city and county of a pro
rata portion of the actual and reasonable costs incurred by the
charter city, city, county, fire protection district, or city and
county for, among other things, processing and issuing fireworks
permits, inspection of fireworks stands, public awareness and
education campaigns regarding the safe and responsible use of safe
and sane fireworks, and related fire operation and suppression
efforts, as specified. The bill would specify that the pro rata
portion of those costs shall be based on a percentage of the
permittee's sales and use tax return for the applicable permit
period, not to exceed 7% of the gross sales of the fireworks sold in
the charter city, city, county, fire protection district, or city and
county, except that a cost recovery ordinance or resolution in
effect on or before January 1, 2015, would be authorized to supersede
that provision.  
   Existing law provides that if dangerous fireworks are seized
pursuant to a local ordinance that provides for administrative fines
or penalties and these fines or penalties are collected, the local
government entity collecting the fines or penalties shall forward 65%
of the collected moneys to the Controller for deposit in the State
Fire Marshal Fireworks Enforcement and Disposal Fund. 

   This bill would delete this provision.  
   The bill would require, not later than January 1, 2015, the State
Fire Marshal to collect and analyze data relating to fires, damages,
seizures, arrests, administrative citations, and fireworks disposal
issues caused by the sale and use of both dangerous illegal fireworks
and safe and sane fireworks, as provided.  
   Existing law requires the Department of Motor Vehicles to suspend
the commercial license of a person transporting dangerous fireworks,
as specified.  
   This bill would clarify that those provisions do not apply to a
person with a valid license under the State Fireworks Law, as
specified.  
   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.  
   This bill would provide that no reimbursement is required by this
act for a specified reason. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

   SECTION 1.    Section 19605.75 of the  
Business and Professions Code   is amended to read: 
   19605.75.  (a) The Legislature finds and declares that the
existence of high caliber thoroughbred racing in California is
important to this state's agricultural economy. The California horse
racing industry is being threatened by the escalating costs of doing
business in California, including, but not limited to, workers'
compensation insurance costs, in that these costs are not only
causing thoroughbred horses and trainers to leave this state, but are
also discouraging owners and trainers from bringing horses into this
state to compete. It is the intent of the Legislature to provide
some relief from these escalating costs through the redistribution of
the parimutuel handle on exotic wagers.
   (b) Notwithstanding Section 19610, every thoroughbred association
and fair that conducts a racing meet shall deduct an additional 0.5
percent of the total amount handled in exotic parimutuel pools of
thoroughbred races.
   (c) The funds collected pursuant to subdivision (b) from exotic
parimutuel pools on thoroughbred races within the inclosure of a
thoroughbred association or fair conducting a race meeting, at
satellite wagering facilities within this state, and through advance
deposit wagering by residents of this state, shall be distributed to
the organization described in subdivision (f) to be used in
accordance with subdivision (e).
   (d) Any thoroughbred association or fair that authorizes a betting
system located outside of this state to accept exotic wagers on its
races and to combine those wagers in the association's or fair's
exotic parimutuel pools, including, but not limited to, a
multijurisdictional wagering hub as to exotic wagers made by
residents other than those of this state, shall deduct the amount
specified in subdivision (b) in addition to any other applicable
deductions specified in law. The amount deducted pursuant to this
subdivision shall be distributed to the organization described in
subdivision (f) to be used in accordance with subdivision (e). This
additional deduction shall not be included in the amount on which
license fees are determined pursuant to Section 19602.
   (e) The amounts distributed to the organization described in
subdivision (f) shall be deposited by that organization in a separate
account to defray the costs of workers' compensation insurance
incurred in connection with thoroughbred horses that race in this
state at thoroughbred associations and racing fairs through the
payment of supplemental premiums that reduce rates, payment to or for
the benefit of trainers and owners of such thoroughbreds, based on
the number of such thoroughbreds they start, in order to reimburse
them for the costs of workers' compensation insurance directly or
indirectly incurred by them, and other appropriate payments. Any
funds that are not used for the purposes set forth in this
subdivision shall, after an affirmative vote of at least 25 of the
voting interests of the organization described in subdivision (f),
either be carried forward to the subsequent year, or be used to
reimburse racing associations for the actual cost of health and
safety programs, research or safety equipment, or making capital
improvements that are designed to prevent workplace accidents and
increase the safety of jockeys, exercise riders, backstretch
employees, and other racetrack personnel. Those capital improvements
shall include, but not be limited to, safety improvements to racing
and training surfaces. All requests for reimbursements shall be
approved by the board. In developing proposals for approval by the
board, the association shall confer with their horsemen's
organizations and all affected labor organizations or associations.
   (f) The thoroughbred racing associations and the owners'
organization described in subdivision (b) of Section 19613 shall form
an organization to which funds shall be distributed pursuant to
subdivisions (c) and (d). This organization shall have a total of 34
voting interests, of which 16 shall be allocated to the organization
representing thoroughbred owners pursuant to Section 19613, one shall
be allocated to the official registering agency for thoroughbreds in
California, and one shall be allocated to the organization
representing thoroughbred trainers pursuant to Section 19613. The
remaining 16 votes shall be allocated among the licensed racing
associations and racing fairs in the state. Each racing association
and fair shall receive the portion of these remaining votes
represented by the sum of exotic wagering on its races divided by the
statewide total of exotic wagering in the preceding calendar year,
excluding  Breeders   Breeders'  Cup races.
Fractional voting shall be permitted. Any decision of this
organization with respect to the allocation of funds pursuant to
subdivisions (c) and (d) shall require the affirmative vote of 25 of
these voting interests. In the event that the required number of
affirmative votes cannot be obtained, the matter shall be submitted
to the board for a decision consistent with subdivision (e), and the
decision of the board shall be final.
   (g)  (1)    The organization
formed pursuant to this section shall account annually to the board
with respect to the expenditure and distribution of funds received by
the organization pursuant to subdivisions (c) and (d), and shall
obtain an independent audit of fund generation and distribution. A
copy of the completed audit shall be forwarded to the board within 45
days of its receipt by the organization. 
   (2) No earlier than 18 months and no later than two years
following the effective date of this section, the organization
described in subdivision (f) shall commission an independent
evaluation of the effectiveness of the distributions under this
section along with recommendations for any improvements or
modifications regarding the program created in this section. A copy
of that evaluation along with a report detailing the organization's
response to the evaluation shall be filed with the board within 30
days of the receipt of the final evaluation.  
   (h) Between January 1, 2014, and July 1, 2014, any unexpended
funds collected under this section shall be distributed to
organizations formed and operated pursuant to Sections 19607 and
19607.2 based upon the total thoroughbred handle in their respective
zones in the year 2013.  
   (i) Except for subdivision (h), this section shall become
inoperative on January 1, 2014, and as of January 1, 2015, this
entire section is repealed, unless a later enacted statute, that is
enacted before January 1, 2015, deletes or extends that date.

   SEC. 2.    Section 19605.76 is added to the 
 Business and Professions Code   , to read:  
   19605.76.  (a) Notwithstanding Section 19610, a quarter horse
racing association may deduct an additional 0.5 percent of the total
amount handled in its exotic parimutuel pools. This additional
deduction shall only be permitted with the approval of the
organization representing quarter horsemen and horsewomen at the
applicable racing association meet.
   (b) Any funds collected pursuant to subdivision (a) from exotic
parimutuel pools on races within the inclosure of a racetrack, at
satellite wagering facilities within this state, and through advance
deposit wagering by residents of this state, shall be distributed to
the organization described in subdivision (e) to be used in
accordance with subdivision (d).
   (c) Any quarter horse racing association that authorizes a betting
system located outside of this state to accept exotic wagers on its
races and to combine those wagers in the association's exotic
parimutuel pools, including, but not limited to, a
multijurisdictional wagering hub as to exotic wagers made by
residents other than those of this state, may deduct the amount
specified in subdivision (a) in addition to any other applicable
deductions specified in law. Any amount deducted pursuant to this
subdivision shall be distributed to the organization described in
subdivision (e) to be used in accordance with the provisions of
subdivision (d). This additional deduction shall not be included in
the amount on which license fees are determined pursuant to Section
19602.
   (d) The amounts distributed to the organization described in
subdivision (e) shall be deposited by that organization in a separate
account to defray workers' compensation insurance costs for trainers
and owners who are racing horses at the applicable quarter horse
racing association meet. Any funds not expended for this purpose in
the calendar year in which they are collected may either be used for
the following year's workers' compensation costs, as specified above,
or to benefit the purse pools at the track where the funds are
generated. Funds to benefit purse pools shall be allocated by breed,
in the same proportions as each breed generated in deductions under
this section at the track in the year the funds were collected.
   (e) The quarter horse racing association and the organization
representing quarter horsemen and horsewomen shall form an
organization to which any funds deducted pursuant to subdivisions (b)
and (c) shall be distributed. The quarter horse associations
collectively shall have representation equal to that of the
organization representing quarter horsemen and horsewomen on the
governing board of the organization formed pursuant to this
subdivision.
   (f) If the quarter horse racing association and the organization
representing quarter horsemen and horsewomen cannot agree on the
manner for distributing these funds to defray the costs of workers'
compensation insurance, the matter shall be submitted to the board
for a decision consistent with subdivision (d), and the decision of
the board shall be final. 
   SEC. 3.    Section 19605.77 is added to the 
 Business and Professions Code   , to read:  
   19605.77.  (a) Notwithstanding Section 19610, a harness racing
association may deduct an additional 1 percent of the total amount
handled in conventional parimutuel pools of harness races. This
additional deduction shall only be permitted with the approval of the
organization representing harness horsemen and horsewomen at the
applicable racing association meeting.
   (b) Any funds collected pursuant to subdivision (a) from
conventional parimutuel pools on harness races within the inclosure
of a racetrack, at satellite wagering facilities within this state,
and through advance deposit wagering by residents of this state,
shall be distributed to the organization described in subdivision (e)
to be used in accordance with subdivision (d).
   (c) Any harness racing association that authorizes a betting
system located outside of this state to accept conventional wagers on
its races and to combine those wagers in the association's
conventional parimutuel pools, including, but not limited to, a
multijurisdictional wagering hub as to conventional wagers made by
residents other than those of this state, may deduct the amount
specified in subdivision (a) in addition to any other applicable
deductions specified in law. Any amount deducted pursuant to this
subdivision shall be distributed to the organization described in
subdivision (e) to be used in accordance with the provisions of
subdivision (d). This additional deduction shall not be included in
the amount on which license fees are determined pursuant to Section
19602.
   (d) The amounts distributed to the organization described in
subdivision (e) shall be deposited by that organization in a separate
account and used to reduce the workers' compensation insurance costs
for trainers who are racing horses at the applicable harness racing
association meet. Any funds not expended for this purpose in the
calendar year in which they are collected may either be used for the
following year's workers' compensation costs, as specified above, or
to benefit the harness purse pool at the track where the funds are
generated.
   (e) The harness racing association and the organization
representing harness horsemen and horsewomen shall form an
organization to which any funds deducted pursuant to subdivisions (b)
and (c) shall be distributed. The harness associations collectively
shall have representation equal to that of the organization
representing harness horsemen and horsewomen on the governing board
of the organization formed pursuant to this subdivision.
   (f) If the harness racing association and the organization
representing harness horsemen and horsewomen cannot agree on the
manner for distributing these funds to defray the costs of workers'
compensation insurance, the matter shall be submitted to the board
for a decision consistent with subdivision (d), and the decision of
the board shall be final. 
   SEC. 4.    Section 19605.78 is added to the 
 Business and Professions Code   , to read:  
   19605.78.  (a) Notwithstanding Section 19610 and in addition to
the deduction specified in subdivision (b) of Section 19605.75, a
fair may deduct an additional 0.5 percent of the total amount handled
in exotic parimutuel pools of races for any breed, other than races
solely for thoroughbreds. This additional deduction shall only be
permitted for a breed's races with the approval of the organization
representing the horsemen and horsewomen of that breed at the fair.
   (b) Any funds collected pursuant to subdivision (a) from exotic
parimutuel pools on races within the inclosure of a racetrack, at
satellite wagering facilities within this state, and through advance
deposit wagering by residents of this state, shall be distributed to
the organization described in subdivision (e) to be used in
accordance with subdivision (d).
   (c) Any fair that authorizes a betting system located outside of
this state to accept exotic wagers on its races and to combine those
wagers in the association's exotic parimutuel pools, including, but
not limited to, a multijurisdictional wagering hub as to exotic
wagers made by residents other than those of this state, may deduct
the amount specified in subdivision (a) in addition to any other
applicable deductions specified in law. Any amount deducted pursuant
to this subdivision shall be distributed to the organization
described in subdivision (e) to be used in accordance with the
provisions of subdivision (d). This additional deduction shall not be
included in the amount on which license fees are determined pursuant
to Section 19602.
   (d) The amounts distributed to the organization described in
subdivision (e) shall be deposited by that organization in a separate
account to defray workers' compensation insurance costs for trainers
and owners who are racing breeds other than thoroughbreds at the
applicable fair. Any funds not expended for this purpose in the
calendar year in which they are collected may either be used for the
following year's workers' compensation costs, as specified above, or
to benefit the purse pool of each breed at the particular fair where
the funds are generated in the same proportions as each breed
generated at that fair in the year the funds are collected.
   (e) The fairs and the organizations representing the horsemen and
horsewomen of each breed for which deductions have been approved
under subdivision (a) shall form an organization to which any funds
deducted pursuant to subdivisions (b) and (c) shall be distributed.
The fairs collectively shall have representation equal to the
collective representation of the organizations representing horsemen
and horsewomen on the governing board of the organization formed
pursuant to this subdivision.
   (f) If the fairs and the organizations representing horsemen and
horsewomen cannot agree on the manner for distributing these funds to
defray the costs of workers' compensation insurance, the matter
shall be submitted to the board for a decision consistent with
subdivision (d), and the decision of the board shall be final. 
   SEC. 5.    No reimbursement is required by this act
pursuant to Section 6 of Article XIII B of the California
Constitution because the only costs that may be incurred by a local
agency or school district will be incurred because this act creates a
new crime or infraction, eliminates a crime or infraction, or
changes the penalty for a crime or infraction, within the meaning of
Section 17556 of the Government Code, or changes the definition of a
crime within the meaning of Section 6 of Article XIII B of the
California Constitution.  
       
  SECTION 1.    Section 12556 of the Health and
Safety Code is amended to read:
   12556.  (a) In addition to the obligations described in Section
13110.5, on or before July 1, 2008, the State Fire Marshal shall
identify and evaluate methods to capture more detailed data relating
to fires, damages, and injuries caused by both dangerous fireworks
and safe and sane fireworks. These evaluation methods shall include a
cost analysis related to capturing and reporting the data and shall
meet or exceed the specificity, detail, and reliability of the data
captured under the former California Fire Incident Reporting System
(CFIRS). The State Fire Marshal shall furnish a copy of these
evaluation methods to any interested person upon request.
   (b) Not later than January 1, 2015, the State Fire Marshal shall
collect and analyze data relating to fires, damages, seizures,
arrests, administrative citations, and fireworks disposal issues
caused by the sale and use of both dangerous illegal fireworks and
safe and sane fireworks. The State Fire Marshal shall collect data
pursuant to a methodology developed in consultation with the State
Fire Marshal's General Fireworks Advisory Committee, which consists
of representatives from local fire service and law enforcement
agencies and the fireworks industry.  
  SEC. 2.    Chapter 3.5 (commencing with Section
12559) is added to Part 2 of Division 11 of the Health and Safety
Code, to read:
      CHAPTER 3.5.  FIREWORKS SELL-BACK PROGRAM


   12559.  (a) By January 1, 2015, the State Fire Marshal shall
establish and have operational regional collection centers for
purposes of receiving safe and sane fireworks and federally approved
consumer fireworks seized by local authorities.
   (b) The regional collection centers shall be located throughout
the state in an amount and in locations determined by the State Fire
Marshal.
   12559.1.  (a) Notwithstanding Section 12723, and upon compliance
with Section 12726, a local authority or the State Fire Marshal may
transfer seized safe and sane fireworks and federally approved
fireworks to a regional collection center. Any fireworks transferred
pursuant to this subdivision shall remain under the ownership of the
seizing local authority.
   (b) Safe and sane or federally approved fireworks transferred to a
regional collection center shall be deemed "hazardous material"
until the State Fire Marshal, Department of Toxic Substances Control,
and a recognized third-party testing entity make the determination
pursuant to subdivision (c).
   (c) (1) The State Fire Marshal is authorized to permit a
recognized third-party testing entity to enter the regional
collection center for purposes of making a determination with the
State Fire Marshal and the Department of Toxic Substances Control as
to whether any seized fireworks are either commercially viable or
hazardous waste.
   (2) Any firework deemed commercially viable may be repackaged by
the State Fire Marshal or the State Fire Marshal's designee,
including, but not limited to, a state licensed fireworks importer
and exporter, a wholesaler purchasing the product pursuant to
subdivision (d), the recognized third-party testing authority, or a
licensed hazardous materials or hazardous waste hauler.
   (3) Any product deemed not commercially viable by the State Fire
Marshal, the Department of Toxic Substances Control, and the
third-party testing authority shall be removed from the regional
collection center by the State Fire Marshal or the State Fire Marshal'
s designee and transported and disposed of within 72 hours of the
determination in accordance with all federal and state hazardous
waste laws and regulations.
   (d) (1) The State Fire Marshal shall authorize a state licensed
fireworks importer and exporter or wholesaler to purchase any
fireworks deemed to be commercially viable pursuant to subdivision
(c) from the State Fire Marshal. Revenue received from the sale shall
belong to the seizing local authority.
   (2) The State Fire Marshal may enter into an agreement with a
local authority for purposes of sharing revenue from the sale of
fireworks pursuant to paragraph (1). The agreement shall allocate no
less than 65 percent of the revenues to that local authority with the
balance going to the state.
   (e) For purposes of this section, "recognized third-party testing
entity" means an independent third-party testing entity recognized by
the federal Consumer Product Safety Commission as an acceptable
testing entity for consumer fireworks.
   (f) Upon the purchase of fireworks, pursuant to this chapter, a
state-licensed fireworks importer and exporter or wholesaler shall
accept full liability for any damage done by the fireworks and the
State of California shall be indemnified.
   12559.2.  Any fireworks stored at a regional collection center
shall be subject to the requirements of Article 8 (commencing with
Section 989) of Chapter 6 of Title 19 of the California Code of
Regulations and to the requirements of the National Fire Protection
Association (NFPA) 1124: Code for the Manufacture, Transportation,
Storage, and Retail Sales of Fireworks and Pyrotechnic Articles of
2013, and may be stored for a period not to exceed 90 days. The
regional collection centers shall not be considered a storage
facility for purposes of subdivision (b) of Section 25123.3.
   12559.3.  (a) The State Fire Marshal and the Department of Toxic
Substances Control shall train local fire and law enforcement
personnel on the requirements of this chapter.
   (b) The State Fire Marshal shall, in consultation with relevant
state and local public agencies, the fireworks industry, and other
relevant stakeholders, develop, publish, and provide necessary
guidance and training to local agencies that seize, collect,
transport, store, and treat seized fireworks. This training and
education may include, but is not limited to, the following specific
areas:
   (1) Standards for the transportation, storage, and handling of
fireworks and pyrotechnic articles in accordance with Chapter 6
(commencing with Section 975) of Division 1 of Title 19 of the
California Code of Regulations and the National Fire Protection
Association (NFPA) 1124: Code for the Manufacture, Transportation,
Storage, and Retail Sales of Fireworks and Pyrotechnic Articles of
2013.
   (2) Recognition of explosive materials and isolation procedures in
accordance with Chapter 10 (commencing with Section 1550) of
Division 1 of Title 19 of the California Code of Regulations and the
National Fire Protection Association (NFPA) 495: Explosive Materials
Code of 2013.
   (3) Recognition of commercial, consumer, and illegal fireworks in
accordance with Chapter 6 (commencing with Section 975) of Division 1
of Title 19 of the California Code of Regulations and the National
Fire Protection Association (NFPA) 1124: Code for the Manufacture,
Transportation, Storage, and Retail Sales of Fireworks and
Pyrotechnic Articles of 2013.
   12559.4.  The Department of Toxic Substances Control shall develop
and publish guidelines for the implementation of this chapter that
includes, but is not limited to, the following specific areas:
   (a) Standards for the proper handling, transport, and storage of
fireworks that are hazardous materials for the purposes of this
chapter.
   (b) Standards for the proper handling, transport, and disposal of
fireworks that are hazardous waste.
   (c) A determination of the type of facility that qualifies as a
regional collection center.
       (d) A definition of "commercially viable" for the purposes of
this chapter that ensures that fireworks that should be disposed of
as waste are not resold.  
  SEC. 3.    Section 12599.5 is added to the Health
and Safety Code, to read:
   12599.5.  (a) Notwithstanding Sections 12599 and 12672, the State
Fire Marshal shall issue separate one-time retail licenses pursuant
to this section that shall authorize the retail sale of safe and sane
fireworks within this state only from 9 a.m. on December 26 to 11:59
p.m. on January 1 of the following year, inclusive. A license issued
pursuant to this section shall be valid for only one seven-day
period and shall expire at the end of the period for which it is
valid. All fireworks sold pursuant to a license issued pursuant to
this section shall have been certified as safe and sane by the State
Fire Marshal on or before June 15 of the year in which the validity
of the license commences. No other license issued pursuant to this
chapter shall authorize the sale of fireworks during that period.
   (b) A retail license shall not be issued for the license period
authorized by this section unless the charter city, city, county,
fire district, or city and county having jurisdiction over the fixed
location where the fireworks would be sold adopts an ordinance or
resolution allowing that sale, and the application for that license
is received by the State Fire Marshal on or before December 15 of the
year in which the validity of the license is to commence. The
ordinance or resolution authorizing the sale of those fireworks may
limit the period of use of those fireworks to specified days and
hours within the period during which the sale is authorized by this
section.
   (c) This section shall become operative on January 1, 2015.
 
  SEC. 4.    Section 12635.5 is added to the Health
and Safety Code, to read:
   12635.5.  (a) A charter city, city, county, fire protection
district, or city and county that adopts an ordinance or resolution
pursuant to Section 12599 or 12599.5 may, through adoption of an
ordinance or resolution by the governing body, require each applicant
receiving a permit to pay a fee to the charter city, city, county,
fire district, or city and county of a pro rata portion of the actual
and reasonable costs the charter city, city, county, fire protection
district, or city and county incurs that is related to any of the
following:
   (1) Processing and issuing permits.
   (2) Inspection of fireworks stands.
   (3) Public education and awareness campaigns regarding the safe
and responsible use of safe and sane fireworks, and the dangers and
risks posed by the use of illegal fireworks.
   (4) Enforcing the provisions of the code of the charter city,
city, county, fire protection district, or city and county with
respect to the sale and use of safe and sane fireworks, including
extra personnel time and cleanup of the fireworks trash and debris.
"Extra personnel time" means employee or contracted employee time
that the charter city, city, county, fire protection district, or
city and county would not otherwise incur but for the sale and use of
safe and sane fireworks.
   (5) Fire operation and suppression efforts that are directly
related to safe and sane fireworks.
   (b) The pro rata share of the costs shall be specified in the
ordinance or resolution and calculated using gross sales as shown on
each permittee's sales and use tax return for the applicable period.
The pro rata share of costs shall not exceed 7 percent of the gross
sales of the fireworks sold in the charter city, city, county, fire
protection district, or city and county during the applicable period.
A cost recovery ordinance or resolution in effect on or before
January 1, 2015, may supersede this subdivision.  
  SEC. 5.    Section 12726 of the Health and Safety
Code is amended to read:
   12726.  (a) The dangerous fireworks seized pursuant to this part
shall be disposed of by the State Fire Marshal in the manner
prescribed by the State Fire Marshal at any time after the final
determination of proceedings under Section 12724, or upon final
termination of proceedings under Section 12593, whichever is later.
If no proceedings are commenced pursuant to Section 12724, the State
Fire Marshal may dispose of the fireworks after all of the following
requirements are satisfied:
   (1) A random sampling of the dangerous fireworks has been taken,
as defined by regulations adopted by the State Fire Marshal pursuant
to Section 12552.
   (2) The analysis of the random sampling has been completed.
   (3) Photographs have been taken of the dangerous fireworks to be
destroyed.
   (4) The State Fire Marshal has given written approval for the
destruction of the dangerous fireworks. This approval shall specify
the total weight of the dangerous fireworks seized, the total weight
of the dangerous fireworks to be destroyed, and the total weight of
the dangerous fireworks not to be destroyed.
   (b) To carry out the purposes of this section, the State Fire
Marshal shall acquire and use statewide mobile dangerous fireworks
destruction units to collect and destroy seized dangerous fireworks
from local and state agencies.  
  SEC. 6.    Section 15301 of the Vehicle Code is
amended to read:
   15301.  (a) The Department of Motor Vehicles, in conjunction with
the State Fire Marshal, shall develop regulations and procedures to
temporarily suspend the commercial motor vehicle license of a person
who is operating a commercial motor vehicle while transporting
dangerous fireworks having a gross weight of 10,000 pounds or more.
   (b) A driver of a commercial motor vehicle shall not operate a
commercial motor vehicle for three years if the driver is convicted
of transporting dangerous fireworks having a gross weight of 10,000
pounds or more.
   (c) This section shall not apply to a person who holds and is
operating within the scope of a valid license as described in Section
12516 of the Health and Safety Code or valid permit as described in
Section 12522 of the Health and Safety Code.  
  SEC. 7.    The provisions of this act are
severable. If any provision of this act or its application is held
invalid pursuant to the federal Resource Conservation and Recovery
Act, that invalidity shall not affect other provisions or
applications that can be given effect without the invalid provision
or application.  
  SEC. 8.    No reimbursement is required by this
act pursuant to Section 6 of Article XIII B of the California
Constitution because the only costs that may be incurred by a local
agency or school district will be incurred because this act creates a
new crime or infraction, eliminates a crime or infraction, or
changes the penalty for a crime or infraction, within the meaning of
Section 17556 of the Government Code, or changes the definition of a
crime within the meaning of Section 6 of Article XIII B of the
California Constitution.