538g.  (a) Any person, other than a state, county, city, special
district, or city and county officer or employee, who willfully
wears, exhibits, or uses the authorized badge, photographic
identification card, or insignia of a state, county, city, special
district, or city and county officer or employee,
with the intent of
fraudulently impersonating
a state, county, city, special district, or
city and county officer or employee, or of fraudulently inducing the
belief that he or she is a state, county, city, special district, or
city and county officer or employee, is guilty of a misdemeanor.
(b) Any person who willfully wears, exhibits, or uses, or
willfully makes, sells, loans, gives, or transfers to another, any
badge, photographic identification card, or insignia, which falsely
purports to be for the use of a state, county, city, special
district, or city and county officer or employee, or which so
resembles the authorized badge, photographic identification card, or
insignia of a state, county, city, special district, or city and
county officer or employee as would deceive an ordinary reasonable
person into believing that it is authorized for use by a state,
county, city, special district, or city and county officer or
employee, is guilty of a misdemeanor, except that any person who
makes or sells any badge under the circumstances described in this
subdivision is subject to a fine not to exceed fifteen thousand
dollars ($15,000).

Notwithstanding the above, I believe that individuals from the Department,
both active and retired,  and known law enforcement collectors should be
exempt from the above when pursuing the hobby of badge collecting.  
Several members, both active and retired, put on displays promoting the
history of the Department and creating a greater awareness among the
public of the role of the Sheriff's Department.
These members do not sell Department badges and, in fact, attempt to
remove from the market place any Department badges being offered for
sale to the public.  The items in these members collections will remain
intact and preserved for future generations.  Confiscated items usually end
up being destroyed or buried in a box and never seen again.
A good example is the items and pictures found of this website.  Many of
these items and pictures would never be publicized if not for this website.
Many of the contributors to this site have items they wish to share and, up
to now, have had no other way to do so.
I welcome any and all photos and other items which will never be sold and
will be displayed for all to see here and at various collectors shows.
California Penal Code 538g
The operative word to be aware of are: with the intent
of faudulently impersonating.