Assembly Bill 531 establishes a Safe Firearm Disposal Incentive Grant Program, which will be administered by the Department of Justice. The program aims to provide grants to counties or law enforcement agencies that implement safe firearm disposal initiatives. The bill allocates $200,000 annually for these grants and creates a new position to oversee the program's administration. Eligible applicants must propose a plan that includes advertising the program, utilizing law enforcement personnel, and ensuring proper handling and destruction of firearms received through the program.

The bill outlines specific requirements for grant recipients, including the need to establish safeguards against fraud and ensure that any payment for firearms does not involve redeemable gift cards for firearms or ammunition. Additionally, grant recipients must report on the firearms received and destroyed, and the Department of Justice is required to submit a report to the legislature by July 1, 2028, detailing the program's outcomes and recommendations for improvement. The legislation also provides immunity from prosecution for individuals submitting firearms under the program, with certain conditions.