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HomeMy Public PortalAbout07) 7D - Fireworks Stand Permitting ProcessAGENDA ITEM 7.D. ADMINISTRATIVE SERVICES DEPARTMENT MEMORANDUM DATE: June 16, 2020 TO: The Honorable City Council FROM: Gregory Murphy, City Attorney SUBJECT: FIREWORKS STAND PERMITTING PROCESS RECOMMENDATION: It is recommended that the City Council: 1. Generally discuss, if desired, the current permitting process for temporary fireworks stands in the City of Temple City and the proposed changes to the process presented by City staff and the City Attorney; and 2. Receive and file this report. BACKGROUND: 1. On March 4, 2020, the Health Officer of Los Angeles County declared a local health emergency regarding Novel Coronavirus 2019 (COVID-19) and the Los Angeles County Board of Supervisors concurrently proclaimed the existence of a local emergency for the County of Los Angeles. 2. On March 4, 2020, Governor Newsom of the State of California declared a State of Emergency in response to the COVID-19. 3. On March 13, 2020, the President of the United States declared a national state of emergency regarding COVID-19. On this same day, the City Council adopted Resolution No. 20-5457, declaring a local state of emergency which gave authority to the City Manager in his role as Director of Emergency Services to implement measures in line with state and county health officials’ recommendations to slow the spread of COVID-19 while not impacting critical services. 4. On April 21, 2020 as part of the consent calendar at its regular meeting, the City Council approved permits for nine (9) charitable organizations that wished to sell City Council June 16, 2020 Page 2 fireworks within the City on the condition the County Health order did not prohibit such activity and retail operation. 5. On June 2, 2020 at the regular meeting of the City Council, City staff was asked by the Mayor to bring back the matter of the fireworks sales permits due to concerns about the demands on the City’s public safety forces (Sheriff’s office and County Fire). 6. This report provides an update on the status of the fireworks sales permits and on City staff’s proposed course of action for future permits. ANALYSIS: The sale and use of fireworks in Temple City is authorized pursuant to Chapter 3-1 of the City’s Municipal Code. Only “safe and sane” fireworks are allowed to be sold or displayed and discharged within the City except that the fire chief may allow “dangerous” fireworks to be displayed by licensed pyrotechnic operators. As to the “safe and sane” fireworks, they may be sold from July 1 through July 4 and may only be displayed and discharged on July 4 between noon and 10:00 pm. These “safe and sane” fireworks are generally sold at stands within the City (though some other nearby jurisdictions also authorize sales). Section 3-1-7 of the Municipal Code makes it illegal to sell fireworks within the City without a valid permit. Sections 3-1-13 through 3-1-16 govern the process for issuance of permits to sell fireworks and Sections 3-1-17 and 3-1-28 govern the sale of fireworks and the stands built for that purpose. Specifically, section 3-1-17 requires the operators of a fireworks stand to be members of the charitable organization and section 3-1-18 provides details for the construction and operation of a stand. Upon applying for and receiving a permit from the City, charitable organizations contract with a professional fireworks company to supply the stand and inventory for them to sell. In Temple City, TNT Fireworks generally serves as that supplier. TNT incurs costs for inventory and supplies at the start of the process and recoups those costs from the contracting organizations as fireworks are sold and the organizations remit payment on their contract terms. The charitable organizations then keep the remainder of their revenues to support their activities. There is nothing in any section of Chapter 3-1 that authorizes the City to revoke fireworks permits in the event of an emergency. W hile Section 3-1-13 states in part that “Any permit granted by the city council may be subject to such reasonable conditions and restrictions as may be imposed by the city council and such conditions and restrictions shall be complied with by the permittee,” this provision has not been used at any time that City staff can find to affirmatively impose conditions of approval on the permits such that they might be revoked in an emergency. In fact, upon research staff found that the longstanding practice is not to issue paper permits at all but to rely on sections 3-1-17 City Council June 16, 2020 Page 3 and 3-1-18 as supplying the conditions for operations. This absence of paper permits has not been an issue in the past, as the only issues with the fireworks permits that have arisen from structural matters with the stands or personnel matters with sales forces, and both of these are clearly covered by the Code provisions. Nevertheless, City staff will recommend for Council’s consideration that next year’s permits must be written documents that could have additional conditions attached to them which will be approved by the City Council. City staff conferred with the permittees and it appears that all but two of them have committed to move forward with their fireworks sales this year. Further, TNT has advised City staff that because they annually incur significant up-front costs in preparing for the sale of fireworks under their name, the charitable organizations are contractually bound to make certain payments if they decide not to move forward with the fireworks sales. Without voluntary abandonment and without permit conditions that allow for revocation in case of emergency, revocation by the City could be interpreted as giving rise to liability on the part of the City for TNT’s costs incurred and their expected profit. CONCLUSION The City Council is asked to discuss generally, if desired, the permitting process for “safe and sane” fireworks sales in the City, including procedural improvements that City staff is planning for future years, and to receive and file this report. CITY STRATEGIC GOALS: Receiving and filing this report would align with the City’s strategic goal of good governance. FISCAL IMPACT : There is no fiscal impact arising from this report.