1.1                          A bill for an act 
  1.2             relating to fire safety; requiring certain places of 
  1.3             public assembly to have automatic sprinkler systems 
  1.4             and prohibiting those places from conducting fireworks 
  1.5             displays; imposing a surcharge on fire insurance 
  1.6             policies and appropriating money raised by the 
  1.7             surcharge to the state fire marshal; authorizing the 
  1.8             state fire marshal to impose civil penalties for fire 
  1.9             safety violations; imposing criminal and civil 
  1.10            penalties; authorizing the adoption of rules; 
  1.11            appropriating money; proposing coding for new law in 
  1.12            Minnesota Statutes, chapter 299F. 
  1.13  BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.14     Section 1.  [299F.0115] [PLACES OF PUBLIC ASSEMBLY; 
  1.15  AUTOMATIC SPRINKLER SYSTEMS REQUIRED; FIREWORKS PROHIBITED.] 
  1.16     Subdivision 1.  [DEFINITION.] As used in this section, a 
  1.17  "place of public assembly" means a privately owned building that 
  1.18  contains an arena, auditorium, stadium, hall, bar, club, or 
  1.19  other similar area that is open to the public where 
  1.20  entertainment events occur, regardless of: 
  1.21     (1) whether an admission fee is charged; 
  1.22     (2) its occupancy capacity or total square footage; and 
  1.23     (3) when it was constructed. 
  1.24     Subd. 2.  [AUTOMATIC SPRINKLER SYSTEM REQUIRED.] An owner 
  1.25  or manager of a place of public assembly having a total square 
  1.26  footage of more than 3,500 square feet shall ensure that it has 
  1.27  an operational automatic sprinkler system in place. 
  1.28     Subd. 3.  [FIREWORKS PROHIBITED.] (a) A person may not 
  1.29  conduct a fireworks display or use fireworks in a place of 
  2.1   public assembly. 
  2.2      (b) This subdivision does not apply to the use of smoke 
  2.3   pots, flash pots, or theatrical flash powder for ceremonial, 
  2.4   theatrical, or musical productions conducted in accordance with 
  2.5   sections 624.20 to 624.24 and Minnesota Rules, chapter 7510. 
  2.6      Subd. 4.  [PENALTY.] A person who violates this section is 
  2.7   guilty of a misdemeanor.  If the violation results in another 
  2.8   person suffering great bodily harm or death, then unless a 
  2.9   greater penalty is provided elsewhere, a person who violates 
  2.10  this section is guilty of a felony and may be sentenced to 
  2.11  imprisonment for not more than five years, or to payment of a 
  2.12  fine of not more than $10,000, or both.  
  2.13     Subd. 5.  [RULES SUPERSEDED.] Any provision of Minnesota 
  2.14  Rules, chapters 1300 to 1370 and 7510, are superseded to the 
  2.15  degree it is inconsistent with this section. 
  2.16     Subd. 6.  [RULES REQUIRED.] The state fire marshal may 
  2.17  adopt rules and amend existing rules to implement and conform to 
  2.18  this section. 
  2.19     Sec. 2.  [299F.0116] [FIRE SAFETY VIOLATIONS; CIVIL 
  2.20  PENALTIES.] 
  2.21     Subdivision 1.  [MONEY PENALTY.] A person who violates any 
  2.22  provision of section 299F.0115, or any rule issued under it, or 
  2.23  any provision of Minnesota Rules, chapter 7510, shall be subject 
  2.24  to a civil penalty to be imposed by the state fire marshal not 
  2.25  to exceed $1,000 for each violation for each day that the 
  2.26  violation persists, except that the maximum civil penalty shall 
  2.27  not exceed $100,000 for any related series of violations.  
  2.28     Subd. 2.  [COMPROMISE SETTLEMENT.] The state fire marshal 
  2.29  may negotiate a compromise settlement of a civil penalty.  In 
  2.30  determining the amount of the penalty or the amount of the 
  2.31  compromise settlement, the state fire marshal shall consider the 
  2.32  appropriateness of the penalty to the size of the business of 
  2.33  the person charged, the gravity of the violation, and the good 
  2.34  faith of the person charged in attempting to achieve compliance 
  2.35  after notification of a violation.  The contested case and 
  2.36  judicial review provisions of chapter 14 shall apply to all 
  3.1   orders of the state fire marshal imposing any penalty under this 
  3.2   section.  The amount of the penalty, when determined, may be 
  3.3   deducted from any sums owing by the state of Minnesota to the 
  3.4   person charged.  
  3.5      Subd. 3.  [PENALTIES PAID INTO ACCOUNT.] All penalties 
  3.6   collected under this section shall be deposited in the state 
  3.7   treasury and credited to the state fire marshal account. 
  3.8      Subd. 4.  [RULES.] The state fire marshal may adopt rules 
  3.9   establishing reasonable guidelines for imposing penalties.  If 
  3.10  adopted, the rules must provide for notice that a penalty is 
  3.11  assessed and may exempt activities from penalties unless the 
  3.12  person has evidenced a course of action in disregard of this 
  3.13  chapter. 
  3.14     Sec. 3.  [299F.211] [SURCHARGE ON FIRE INSURANCE PREMIUMS; 
  3.15  STATE FIRE MARSHAL ACCOUNT.] 
  3.16     Subdivision 1.  [SURCHARGE.] Each insurer engaged in the 
  3.17  writing of policies of fire insurance shall collect a surcharge, 
  3.18  at the rate of $....... for every 12 months of coverage, on each 
  3.19  policy of fire insurance issued or renewed in this state.  The 
  3.20  surcharge may not be considered premium for any purpose, 
  3.21  including the computation of tax or agents' commissions.  The 
  3.22  amount of the surcharge must be separately stated on either a 
  3.23  billing or policy declaration sent to an insured.  Insurers 
  3.24  shall remit the revenue derived from this surcharge at least 
  3.25  quarterly to the state fire marshal for deposit into the account 
  3.26  described in subdivision 2.  
  3.27     Subd. 2.  [ACCOUNT CREATED.] (a) A special revenue account 
  3.28  is created in the state treasury known as the state fire marshal 
  3.29  account.  The account consists of the surcharge deposited into 
  3.30  the account under subdivision 1, penalties collected and 
  3.31  deposited into the account under section 299F.0116, and money 
  3.32  appropriated to the account by the legislature.  
  3.33     (b) Funds in the account are annually appropriated to the 
  3.34  state fire marshal for administering and maintaining the 
  3.35  division of fire marshal and funding program responsibilities 
  3.36  and activities of the office.  
  4.1      Sec. 4.  [EFFECTIVE DATE.] 
  4.2      Sections 1 to 3 are effective August 1, 2003, and apply to 
  4.3   violations committed on or after that date.