SENATE BILL REPORT

REHB 1093

BYRepresentatives Zellinsky, Lux, Chandler, Schmidt and P. King 

Revising deposit, permit, and insurance requirements for public fireworks displays.

House Committe on Financial Institutions & Insurance

Senate Committee on Financial Institutions & Insurance

Senate Hearing Date(s):February 22, 1988

Senate Staff:Benson Porter (786-7470)

AS OF FEBRUARY 22, 1988

BACKGROUND:

Any person desiring to put on a public display of fireworks must obtain a permit from the local fire official.  No permit may be issued until the applicant obtains a bond or liability insurance policy to cover injuries or property damage that may result from the fireworks display.  The statute requires that the limit of insurance coverage be a minimum of $50,000 per person and $1 million per event for bodily injury and $25,000 per event for property damage.

The maximum charge for a permit is $100 for any one year.  The fee is to represent the administrative costs of the local public agency issuing the permit.

SUMMARY:

Liability insurance or bond requirements for public fireworks displays are amended by deleting provisions relating to bonds and inserting provisions allowing cash deposits.

A person seeking a permit for a public fireworks display must deposit $50,000 in an escrow account for each display up to a maximum deposit of $100,000 for multiple displays.  The deposit must be returned to the depositor 30 days after the display if no claim for damages has been made. 

A city or county may waive the deposit and insurance requirements.

The liability insurance limits for bodily injuries caused by fireworks displays are lowered to an aggregate amount of $500,000 per display and the limits for property damage caused by fireworks displays are increased to $100,000.

The maximum fee for a local permit is increased to $300 for each event.  Any amount over $100 must be deposited in a self-insurance or indemnification fund for the agency.  These fees may be waived by the agency.

Appropriation:    none

Revenue:    none

Fiscal Note:      none requested