California Code, Penal Code - PEN § 26720

(a) The Department of Justice may conduct inspections of dealers at least every three years to ensure compliance with Section 16575.

(b) The department may assess an annual fee, not to exceed one hundred fifteen dollars ($115), to cover the reasonable cost of maintaining the list described in Section 26715, including the cost of inspections.

(c) A dealer whose place of business is located in a jurisdiction that has adopted an inspection program to ensure compliance with firearms law is exempt from that portion of the department's fee that relates to the cost of inspections. The applicant is responsible for providing evidence to the department that the jurisdiction in which the business is located has the inspection program.The department may inspect a dealer who is exempt from mandatory inspections under subdivision (b) to ensure compliance with Section 16575.