Sal, both the Target and Zinsser shellac will accept Trans-Tint dyes if you want to use them for toning or shading. The Target shellac does have an amber tone to it but not as much as Zinsser. (It is available in garnet and golden red also but I haven't tried them) Unless you are spraying in an enclosed room with no air movement, I wouldn't be concerned about explosion with shellac either.
As far as sandpaper, I have had good results with 3M 216U sheets, purchased from Homestead Finishing. I use it for sanding raw wood before finishing and also for between coat sanding. Never had any contamination problems using it with waterborne finishes.
Bill- How did you like the EM-8000? Did it spray and level out well?