The locals just like them. It's not rude if you refuse, but they are a bit persistent.

[ But wow, this guy got off the wrong side of the bed this morning. Maybe that's just how he's coping with this whole situation, so Steve's not judging. ]

It's okay. We're all a bit new here. I'm Steve.

[ Then he comes over to accept one of the flower crowns on Erik's behalf, and put it on himself instead. The NPCs look at him confused, but then shrug and walk off, because it's not worth the effort communicating to them that this isn't how this works. ]