CHAPTER
6.5. Fireworks Stewardship Program
12655.
(a) This chapter shall be known, and may be referred to, as the Fireworks Stewardship Program.(b) It is the intent of the Legislature to create a uniform statewide policy regarding a state, county, special district, and local government entity’s safe seizure, storage, repurposing, destruction, or disposal of 1.4G federally approved dangerous fireworks and 1.4G California, classified safe and sane fireworks.
12656.
For purposes of this chapter, the following definitions apply:(a) “Collection site” means a site recognized by the Office of the State Fire Marshal where seizing entities shall deposit fireworks for collection by the State Fire Marshal or his or her designee.
(b) “Dangerous fireworks” has the same meaning as in Section 12505.
(c) “Commercially viable” means federally approved dangerous consumer fireworks or California safe and sane fireworks that have been determined by the fireworks stewardship organization and the State Fire Marshal to be in physical condition to be repurposed or resold in states that are noncontiguous to
California.
(d) “Federally approved dangerous consumer fireworks” means dangerous fireworks, as defined in Section 12505, that are approved by the United States Consumer Product Safety Commission and comply with Part 1507 (commencing with Section 1507.1) of Subchapter C of Chapter II of Title 16 of the Code of Federal Regulations and the United States Department of Transportation requirements set forth in Title 49 of the Code of Federal Regulations.
(e) “Fireworks” has the same meaning as in Section 12511.
(f) “Fireworks management charge” or “charge” means the charge imposed on the sale of safe and sane fireworks and collected at the retail point of sale.
(g) “Fireworks stewardship plan” or “fireworks plan” means a plan submitted to the State Fire
Marshal pursuant to Section 12659.
(h) “Fireworks stewardship organization” means the nonprofit organization established by the wholesalers of safe and sane fireworks, as defined in subdivision (k), in order to implement the Fireworks Stewardship Program.
(i) “Management” or “manage” means a uniform statewide policy regarding the state’s policy on seizure, storage, repurposing, disposal, or destruction of 1.4G federally approved dangerous fireworks or 1.4G safe and sane fireworks held in trust for the State Fire Marshal, or seized by the State Fire Marshal.
(j) “Retailer” has the same meaning as Section in 12528.
(k) “Safe and sane fireworks” has the same meaning as Section 12529.
(l) “Seizing entity” means an entity authorized to seize fireworks pursuant to Section 12721 and any local or state fire or law enforcement agency that stores fireworks on that entity’s behalf.
(m) “Wholesaler” means a wholesaler, as that term is used in Section 12533, who has a license to sell safe and sane fireworks in the state and participates in the fireworks stewardship organization.
12657.
(a) A seizing entity shall separate fireworks from items listed in subdivision (f) that are not legal for sale to consumers 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 until the time when these fireworks can be disposed of by the appropriate local bomb squad.(b) A seizing entity shall notify the State Fire Marshal or his or her designee within three days of the determination that the seized product may be transferred. The notification shall include the amount of federally approved dangerous consumer fireworks and safe and sane fireworks that have been seized, and a general description of the condition of the packaging of
the fireworks.
(c) The State Fire Marshal or his or her designee shall coordinate with the seizing entity on the transportation of all seized consumer fireworks to a collection site determined by the State Fire Marshal. Only the State Fire Marshal or his or her designee shall sort the seized consumer fireworks for purposes of determining what is commercially viable fireworks and what is hazardous waste. Any waste shall be managed by the State Fire Marshal in compliance with state and federal laws.
(d) The State Fire Marshal or his or her designee shall have discretion to transfer any commercially viable fireworks to the fireworks stewardship organization. Any commercially viable fireworks shall be given to the fireworks stewardship organization after the organization complies with Section 12659. Seized fireworks shall not be accepted by the State Fire Marshal, his or her designee,
or the fireworks stewardship organization without an accompanying completed State Fire Marshal fireworks seizure form.
(e) The fireworks stewardship organization may, to the extent allowed by any applicable state and federal laws, repurpose and retain any seized federally approved dangerous consumer fireworks within the state for a period not exceeding 90 days. Before the expiration of the 90-day period, the fireworks stewardship organization shall ship those fireworks to a site operated by the fireworks stewardship organization or one of its members wholesalers it has authorized, or another entity in another state that is authorized to accept the shipment.
(f) The State Fire Marshal, his or her designee, or the fireworks stewardship organization shall not be required to accept any of the following materials:
(1) Military ordinance.
(2) Explosives, as defined by Section 12000.
(3) Blasting caps.
(4) Explosive precursor chemicals.
(5) Loose pyrotechnic powder.
(6) Black powder.
(7) Smokeless powder.
(8) Destructive devices.
(9) Improvised explosive devices.
(10) Homemade fireworks.
(11) Emergency signaling devices.
(12) Agricultural and wildlife devices.
(13) Road flares.
(14) Fuzees.
(15) Electric matches.
(16) Hobby fuses.
(17) Butane lighters.
(18) Matches.
(19) 1.3G fireworks.
(20) Wet fireworks.
(g) The fireworks stewardship organization shall only be required to accept legal transfers of commercially viable fireworks in their useable condition, which have been tested by the
American Fireworks Standards Laboratory or other organization accepted by the United States Consumer Product Safety Commission. These fireworks shall be identifiable with legitimate and active EX numbers issued by the federal Pipeline and Hazardous Materials Safety Administration or an FC number authorized by the federal Pipeline and Hazardous Materials Safety Administration.
(h) In the event of intentional destruction, damage, or conscious and voluntary disregard of the need to use reasonable care by the seizing entity, as determined by the State Fire Marshal, the seizing entity shall be exclusively responsible for the management or disposal of those fireworks. If the seizing entity desires a hearing to contest the determination by the State Fire Marshal, the entity, or one of its controlling persons, shall request a hearing by written notice to the State Fire Marshal within 30 days of the date of issuance of the determination. The hearing
shall be held pursuant to Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code.
(i) On a quarterly basis, each seizing entity shall notify the State Fire Marshal of all administrative, civil, or criminal fines or penalties levied or collected pursuant to Section 12700, 12702, or 12703 or for any violations of subdivision (b) of Section 12700, any regulation adopted pursuant to subdivision (b) of Section 12700, or any fireworks-related ordinance adopted by a local jurisdiction.
(j) On or before January 31, 2019, and annually thereafter, the State Fire Marshal shall provide advice to each seizing entity on both of the following:
(1) The total poundage of all seized fireworks the seizing entity delivered during the last calendar year.
(2) The total poundage of all seized fireworks delivered by the seizing entity in the last calendar year that could not be repurposed and the cost of disposing of those fireworks.
12657.5.
On or before January 1, 2019, and biennially thereafter, the State Fire Marshal, in consultation with the fireworks stewardship organization and representatives of local fire and law enforcement agencies, shall develop and approve a list of geographically disbursed collection sites. There shall be no additional collection sites other than those used by the State Fire Marshal in 2015, and by January 30, 2020, the number of collections sites shall not exceed 13. 12658.
(a) On or before November 1, 2019, and on or before November 1 annually thereafter, the fireworks stewardship organization shall reimburse the Department of Forestry and Fire Protection the costs necessary to implement this chapter. Funds shall be deposited into the State Fire Marshal Fireworks Enforcement and Disposal Fund, established pursuant to Section 12728, for the implementation of this chapter and for state enforcement efforts to curtail the illegal sales and use of federally approved dangerous consumer fireworks in the state.(b) The amount reimbursed to the state shall not exceed 3 percent of the annual gross retail sales of safe and sane fireworks as sold by the wholesalers that are members of the fireworks stewardship
organization.
12658.5.
(a) On or before July 1, 2019, the Department of Forestry and Fire Protection shall establish a local grant program for illegal fireworks enforcement and interdiction operations. Groups eligible for grants shall include local agencies, including cities, counties, and special districts.(b) The Director of Forestry and Fire Protection may authorize advance payments from a grant awarded pursuant to this section. The advance shall not exceed 25 percent of the total grant award.
12659.
Before it may legally take possession of seized fireworks from the State Fire Marshal, the fireworks stewardship organization shall, not later than January 30, 2019, submit a fireworks stewardship plan to the State Fire Marshal that meets the requirements of this section and includes all of the following:(a) A process for collaborating with the State Fire Marshal with regard to the establishment of program goals and methods of measuring program outcomes.
(b) 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.
(c) The names of licensees and brands of fireworks, exclusive and generic, covered under the plan.
(d) A methodology and audit plan for ensuring that any seized fireworks that are legal under federal law are shipped to a state where they are legal and, to the extent possible, to a state that is not contiguous to the State of California. The methodology and audit plan shall also document how the fireworks stewardship organization will meet the requirement for the fireworks to be shipped out of state within 90 days of the fireworks stewardship organization taking possession of them from the seizing entity.
12660.
(a) (1) On or before August 31, 2019, and before August 31 each year thereafter, each wholesaler that is a fireworks stewardship organization member shall provide the California Department of Tax and Fee Administration a list of all retailers to whom that wholesaler distributed or sold safe and sane fireworks for the current calendar year. The list shall include the appropriate name and address for each retailer and that retailer’s seller’s permit account number.(2) Any and all information submitted to the California Department of Tax and Fee Administration under this subdivision shall be subject to Section 55381 of the Revenue and Taxation Code. Notwithstanding Section 55381 of the Revenue and Taxation Code, the
California Department of Tax and Fee Administration shall provide any and all information obtained under this subdivision to the State Fire Marshal.
(b) (1) On or before March 31, 2020, and before March 31 each year thereafter, the California Department of Tax and Fee Administration shall provide to the State Fire Marshal, with regard to retailers specified in subdivision (a), the total gross sales reported by retailers on returns filed with the California Department of Tax and Fee Administration for reporting periods that include June and July.
(2) Any data submitted to or shared by the California Department of Tax and Fee Administration with the State Fire Marshal, pursuant to this section, is not public record for purposes of the California Public Records Act (Chapter 3.5 (commencing with Section 6250) of Division 7 of Title 1 of the Government Code) and
shall not be open to public inspection.
(c) For purposes of this section, “gross sales” shall have the same meaning as defined in Section 6012 of the Revenue and Taxation Code.
12661.
(a) A charge, also known as a fireworks management charge, shall be collected by a licensee at the point of retail sale of safe and sane fireworks, to be remitted to the fireworks stewardship organization. The charge shall not be subject to the state’s sales tax.(b) The fireworks stewardship organization 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.
(c) The amount of the charge shall be sufficient to fund the reimbursement required pursuant to Section 12658.
(d) The fireworks stewardship organization may
conduct an audit of those parties that are required to remit the charge to the fireworks stewardship organization to verify that a fireworks management charge is paid and collected correctly and accurately, and to ensure that charges are paid and collected pursuant to this chapter in the correct amount.
(e) 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 sold to consumers in the state.
(f) For purposes of conducting audits pursuant to this section, the fireworks stewardship organization shall hire an independent, third-party auditor.
(g) If the fireworks stewardship organization conducts an
audit pursuant to this section, the fireworks stewardship organization shall provide a copy of the audit to the State Fire Marshal.
12662.
The fireworks stewardship organization shall submit an annual report to the State Fire Marshal documenting the prior year’s revenues from the resale of the commercially viable fireworks, the locations of the resales, and any administrative costs incurred by the organization, including the implementation costs of the plan pursuant to Section 12659. 12663.
(a) The 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) Upon a showing of good cause by the State Fire Marshal, the accounting books of the fireworks stewardship organization may be audited at the fireworks stewardship organization’s expense by an independent certified public accountant retained by the fireworks stewardship organization, but at least one audit shall be conducted in the 2021–22 fiscal year.
(c) The fireworks stewardship organization 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 compliance with this chapter and consistency with the plan created pursuant to Section 12659. The State Fire Marshal shall notify the 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 his or her own audit if he or she 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.
12664.
In the 2021–22 fiscal year, the Office of State Audits and Evaluations within the Department of Finance shall conduct an audit of the Office of the State Fire Marshal’s fireworks program, including the activities conducted pursuant to this chapter.12665.
(a) The State Fire Marshal may impose an administrative civil penalty on the fireworks stewardship organization for actions that are in violation of this chapter. The amount of the administrative civil penalty shall not exceed five hundred dollars ($500) per day, but if the violation is determined to be intentional, knowing, or reckless, the State Fire Marshal may impose an administrative civil penalty of not more than five thousand dollars ($5,000) per day.(b) 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.
(c) The State Fire Marshal shall not impose a penalty upon the 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 fireworks stewardship organization demonstrates that it received false or misleading information from a wholesaler or retailer that was the direct cause of its failure to comply with this chapter.
(d) The State Fire Marshal shall deposit all penalties collected pursuant to this section into the State Fire Marshal Fireworks Enforcement and Disposal Fund, established pursuant to Section 12728.
12666.
Section 12700 shall not apply to violations of this chapter. 12667.
In the event that the retail sale of safe and sane fireworks pursuant to Section 12599 is suspended through legislative or executive action by the state, the fireworks stewardship organization shall suspend operations and the State Fire Marshal shall assume responsibility for the management of seized fireworks in accordance with Section 12657.12668.
(a) The State Fire Marshal shall convene a task force to investigate the issue of illegal fireworks sales in California. The task force shall include representatives of the office of the Attorney General and the Department of the California Highway Patrol. The task force shall also include representatives of local fire and law enforcement agencies, local district attorneys, appropriate federal agencies, and the fireworks industry. The task force shall consider methods by which the volume of illegal fireworks entering California can be reduced, including illegal fireworks being imported through the California ports as well as those being imported from neighboring states. The task force shall consider recommendations for potential license actions against wholesalers and other importers responsible for
illegal fireworks importation.(b) On or before January 1, 2021, the task force shall present a report with recommendations on reducing the volume of illegal fireworks being sold in California to the Joint Legislative Budget Committee and the appropriate policy and fiscal committees of the Legislature.
(c) This section shall remain in effect only until January 1, 2022, and as of that date is repealed, unless a later enacted statute that is enacted before January 1, 2022, deletes or extends that date.
12669.
This chapter shall remain in effect only until January 1, 2024, and as of that date is repealed, unless a later enacted statute that is enacted before January 1, 2024, deletes or extends that date.