(a) Nothing in this subchapter shall be construed as applying to the shipping, sale, possession, and use of fireworks for public displays by holders of a permit for a public display to be conducted in accordance with the rules and regulations promulgated by the Director of the Department of Arkansas State Police. Such items of fireworks which are to be used for public display only and which are otherwise prohibited for sale and use within the state shall include display shells designed to be fired from mortars and display set pieces of fireworks classified by the regulations of the Surface Transportation Board as Class B special fireworks and shall not include such items of commercial fireworks as cherry bombs, tubular salutes, repeating bombs, aerial bombs, and torpedoes.

(b)

(1) Public displays shall be performed only under competent supervision and after the persons or organizations making the displays have applied for and received a permit for the displays issued by the director.

(2) Applications for permits for public displays shall be made in writing at least five (5) days in advance of the proposed display, and the application shall show that the proposed display is to be so located and supervised that it shall not be hazardous to life, limb, or property.

(3) If the display is to be performed within the limits of a municipality, the application shall so state and shall bear the signed approval of the chief supervisory officials of the fire and police departments of the municipality.

(c)

(1) Permits issued shall be limited to the time specified therein and shall not be transferable.

(2) Only licensed distributors who are licensed importers or who purchase from licensed importers may possess special fireworks for resale to holders of a permit for a public fireworks display.

(d)

(1) The Department of Arkansas State Police may charge a fee not to exceed fifty dollars ($50.00) for each permit issued under this section.

(2) The total fee for all permits issued during a school year to an educational institution that provides instruction for grades kindergarten through twelve (K-12) shall not exceed twenty-five dollars ($25.00).

(3) All permit fees shall be remitted to the department and shall be deposited into the State Treasury as special revenues to the credit of the Department of Arkansas State Police Fund.