In CA that may be the case, but in Indiana is is illegal to transmit and receive on those channels. This applies to scanners as well.
I think its governed by federal law that covers all 50 states by the fcc.
Hmm let me clarify it is always illegal to transmit on police fire etc. It is legal to have a scanner that can recieve a range of frequencies as well as police etc as long as there is no decryption. There is one caveat that you need a amateur radio license, but it is not illegal to have or use according to the fcc rules.
Heres the specific Indiana Code 35-44-3:
IC 35-44-3-12
Unlawful use of a police radio; exemptions; "police radio" defined
Sec. 12. (a) A person who knowingly or intentionally:
(1) possesses a police radio;
(2) transmits over a frequency assigned for police emergency purposes; or
(3) possesses or uses a police radio:
(A) while committing a crime;
(B) to further the commission of a crime; or
(C) to avoid detection by a law enforcement agency;
commits unlawful use of a police radio, a Class B misdemeanor.
(b) Subsection (a)(1) and (a)(2) do not apply to:
(1) a governmental entity;
(2) a regularly employed law enforcement officer;
(3) a common carrier of persons for hire whose vehicles are used in emergency service;
(4) a public service or utility company whose vehicles are used in emergency service;
(5) a person who has written permission from the chief executive officer of a law enforcement agency to possess a police radio;
(6) a person who holds an amateur radio license issued by the Federal Communications Commission if the person is not transmitting over a frequency assigned for police emergency purposes;
(7) a person who uses a police radio only in the person's dwelling or place of business;
(8) a person:
(A) who is regularly engaged in newsgathering activities;
(B) who is employed by a newspaper qualified to receive legal advertisements under IC 5-3-1, a wire service, or a licensed commercial or public radio or television station; and
(C) whose name is furnished by his employer to the chief executive officer of a law enforcement agency in the county