,i #aafth ,,congress #b;d ,session ,h4 ,r4 #gigg ,,in ,,the ,,house ,,of ,,representatives ,august #g1 #bjbj,ms4 ,mucarsel-,powell 7for herself1 ,ms4 ,kelly of ,illinois1 ,mr4 ,deutch1 ,mr4 ,cicilline1 ,mr4 ,langevin1 ,mr4 ,swalwell of ,california1 and ,mr4 ,crow7 introduced the following bill2 which was referred to the ,committee on the ,judiciary ,a ,,bill ,to require federally licensed firearms manufacturers1 importers1 and dealers and their employees to undergo annual training to be eligible to sell a firearm1 to require a notice to be posted at retail firearms locations that describes the signs of unlawful firearms purchases1 to require such licensees to maintain a minimum level of business liability insurance1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,firearms ,retailer ,code of ,conduct ,act of #bjbj4 #b4 ,code of conduct for firearms manufacturers1 importers1 and dealers 7a7 ,in general ,section #ibc of title #ah1 ,united ,states ,code1 is amended by adding at the end the following3 7m7 7#a7 7,a7 ,the ,attorney ,general shall annually make available to each licensed importer1 licensed manufacturer1 and licensed dealer1 and each employee of such a licensee who is authorized to engage in the transfer of firearms or ammunition in the course of the firearms business to unlicensed persons1 a training course in the conduct of firearm transfers4 7,b7 ,the training course shall describe ,federal law governing firearms transfers1 and cover1 at a minimum1 the following matters3 7i7 ,how to recognize and identify straw purchasers and fraudulent activity4 7ii7 ,the indicators that a person is attempting to purchase a firearm illegally4 7iii7 ,how to recognize and identify indicators that an individual intends to use a firearm for unlawful purposes4 7iv7 ,how to recognize and identify indicators that an individual intends to use a firearm for self-harm4 7v7 ,how to prevent theft or burglary of firearms and ammunition4 7vi7 ,how to respond in the circumstances described in clauses 7i7 through 7v71 and the applicable reporting requirements4 7vii7 ,other reasonable business practices that the ,attorney ,general determines will deter gun trafficking1 or deter the provision of a firearm to those who indicate an intent to use a firearm for unlawful purposes or for self-harm4 7,c7 ,the training course shall include an examination with not less than #bj questions derived from the course materials and intended to confirm that a course participant has learned the information covered by the course4 ,to receive certification of completion of the course1 a participant must answer at least #gj percent of the examination questions correctly4 7,d7 ,not less frequently than annually1 the ,attorney ,general shall review the training course materials1 and revise them as necessary4 7,e7 ,on successful completion of the training course by a participant-- 7i7 the participant shall attest to his or her participation in the course2 7ii7 the participant shall attest to his or her receipt of the course materials2 7iii7 if the participant is not a licensed manufacture1 licensed importer1 or licensed dealer1 the participant has submitted to the national instant criminal background check system established under section #ajc of the ,brady ,handgun ,violence ,prevention ,act sufficient information to enable the system to determine whether the participant is prohibited by subsection 7g7 or 7n7 of section #ibb or ,state law from receiving a firearm2 and 7iv7 if the system has determined that the participant is not so prohibited1 the ,attorney ,general shall immediately issue to the participant1 through ,united ,states mail or electronic means1 a certificate which indicates successful completion of the training course and includes a unique certification number1 both of which shall expire #b years after issuance unless renewed4 7,f7 ,the ,attorney ,general shall-- 7i7 create and maintain a database which identifies each individual to whom such a certificate is issued1 the date the certificate is issued1 the date the certificate expires1 and the unique certification number on the certificate2 7ii7 make readily available to persons licensed under this chapter and ,federal1 ,state1 and local law enforcement authorities1 on request1 the certification status of current or potential employees2 7iii7 on a monthly basis1 provide to the ,bureau of ,alcohol1 ,tobacco1 ,firearms and ,explosives a complete list of the certificates issued under subparagraph 7,e7 that have expired or been renewed since the most recent prior provision of information1 if any1 to the system under this clause4 7,g7 ,each licensee referred to in subparagraph 7,a7 shall keep-- 7i7 a copy of any certificate issued to the licensee under subparagraph 7,e72 and 7ii7 a copy of any such certificate issued to any employee of the licensee1 throughout the duration of employment4 7,h7 ,beginning #ede days after the date of the enactment of this subsection1 it shall be unlawful for such a licensee or an employee of such a licensee to transfer a firearm or ammunition1 unless the licensee or employee1 as the case may be1 has been issued a certificate under this paragraph which has not expired4 7#b7 ,in the course of firearms business with a person who is not such a licensee1 such a licensee-- 7,a7 shall not transfer a firearm to an individual if the licensee or an employee of the licensee knows or has reasonable cause to know that the individual is a straw purchaser or a gun trafficker2 7,b7 shall not transfer a firearm or ammunition to an individual if the licensee or an employee of the licensee knows or has reasonable cause to know that the individual is intoxicated2 7,c7 shall not transfer a firearm or ammunition to an individual if the licensee or an employee of the licensee knows or has reasonable cause to know that the individual will attempt to harm the individual or others with the firearm or ammunition2 7,d7 shall not transfer a firearm to an individual not paying in ,united ,states currency1 unless the identity of the individual matches the name on the payment method used by the individual2 and 7,e7 immediately notify the ,bureau of ,alcohol1 ,tobacco1 ,firearms and ,explosives and local law enforcement authorities if the licensee or an employee of the licensee knows or has reasonable cause to know that the individual has engaged or attempted to engage in a straw purchase or gun trafficking4 7#c7 7,a7 ,the ,attorney ,general shall make available to each licensee referred to in paragraph 7#a77;,a7 written protocols which-- 7i7 outline the indicators of straw purchasing and gun trafficking1 including the presence of a prospective firearm transferee who-- 7,i7 is accompanied by #a or more individuals2 7,,ii7 is communicating with other individuals by telephone or other means2 7,,iii7 is buying multiple firearms2 7,,iv7 has been the subject of a crime gun trace2 7,v7 has purchased a firearm in the preceding #cj days2 or 7,,vi7 otherwise indicates that a firearm is being obtained for another person2 7ii7 instruct employees to attempt to ascertain whether a prospective firearm transferee is lawfully purchasing a firearm1 including by asking questions of the prospective firearm transferee 7including whether he or she intends to transfer the firearm to another person72 and 7iii7 inform employees about how to report a suspected fraudulent firearm purchase to the ,bureau of ,alcohol1 ,tobacco1 ,firearms and ,explosives4 7,b7 ,beginning #ede days after the date of the enactment of this subsection1 each such licensee shall-- 7i7 obtain the written protocols described in subparagraph 7,a72 and 7ii7 during all business hours1 display the written protocols at each point of sale in the firearms business of the licensee1 in a manner that is clearly visible to all employees of the business4 7#d7 ,each licensee referred to in paragraph 7#a77;,a7 of this subsection shall maintain general business and liability insurance as described in subsection 7d77#a77;,f77iv7 during each day of a calendar month1 unless the licensee has certified to the ,attorney ,general1 on the #ast day of that month1 that the licensee-- 7,a7 did not transfer more than #bj firearms in the #ab-month period that precedes the date of the certification2 and 7,b7 expects to transfer not more than #bj firearms in the #ab-month period that begins with that date4 4 7b7 ,deadline for development of firearm transfer training course ,within #ahj days after the date of the enactment of this ,act1 the ,attorney ,general shall develop the training course provided for in section #ibc7m77#a7 of title #ah1 ,united ,states ,code4 7c7 ,deadline for development of written business protocols for firearms sales ,within #ahj days after the date of the enactment of this ,act1 the ,attorney ,general shall develop the written protocols provided for in section #ibc7m77#c7 of title #ah1 ,united ,states ,code4 7d7 ,business liability insurance certification required in application for firearms license ,section #ibc7;d77#a77;,f7 of title #ah1 ,united ,states ,code1 is amended-- 7#a7 by striking and at the end of clause 7ii77,,ii72 and 7#b7 by adding at the end the following3 7iv7 the applicant has applied for1 and will not conduct the business before the applicant has received1 a general business and liability insurance policy from an insurance company licensed to do business in the ,state in which the licensed premises is located1 which provides coverage for damages for the negligent or unlawful transfer of a firearm in an amount of at least #a1jjj1jjj1 unless the applicant certifies in the application that the applicant expects to transfer to persons not licensed under this chapter not more than #bj firearms per year2 and 4 7e7 ,validation of licensee and employee certifications ,section #ibb7t77#a7 of such title is amended-- 7#a7 by striking and at the end of subparagraph 7,b77ii72 7#b7 by striking the period at the end of subparagraph 7,c7 and inserting 2 and2 and 7#c7 by adding at the end the following3 7,d7 a unique certification number has been issued to the transferor under section #ibc7m77#a77;,e77iv7 and has not expired1 and the transferor has validated that number with the system4 4 #c4 ,definitions ,section #iba7;a7 of title #ah1 ,united ,states ,code1 is amended by adding at the end the following3 7#cf7 ,the term #8straw purchase' means the purchase of a firearm by an individual who conceals1 or intends to conceal1 that the purchase is being made on behalf of a third party who is identified or not yet identified4 ,the term shall not include a bona fide gift to a person who is not prohibited by law from possessing or receiving a firearm4 ,for purposes of the preceding sentence1 a gift to a person is not a bona fide gift if the person has offered or given the purchaser a service or thing of value to acquire the firearm for the person4 7#cg7 ,the term #8straw purchaser' means a person engaged in a straw purchase4 7#ch7 ,the term #8gun trafficking' means the knowing acquisition1 transfer1 or attempted acquisition or transfer of a firearm for purposes of unlawful commerce by a licensed or unlicensed person4 4 #d4 ,penalties ,section #ibd of title #ah1 ,united ,states ,code1 is amended by adding at the end the following3 7q7 7#a7 ,with respect to each violation of subparagraph 7,a71 7,b71 or 7,c7 of section #ibc7m77#b71 a person shall be fined under this title1 imprisoned not more than #ah months1 or both4 7#b7 ,with respect to each violation of section #ibc7m77#b77;,d71 a person shall be fined not more than #b1ejj1 imprisoned not more than #a year1 or both4 7#c7 ,with respect to each violation of paragraph 7#a77;,g7 or 7#c77;,b7 of section #ibc7m71 a licenced importer1 licensed manufacturer or licensed dealer shall be fined not more than #ejj4 7#d7 7,a7 ,with respect to each violation of paragraph 7#a77;,h7 or 7#b77;,e7 of section #ibc7m71 the ,attorney ,general shall1 after notice and opportunity for hearing-- 7i7 suspend for not more than #f months1 or revoke1 the license under which the firearms transfer involved was conducted2 or 7ii7 subject the licensee to a civil penalty of not more than #b1ejj4 7,b7 ,with respect to each violation of section #ibc7m77#d7 the ,attorney ,general shall1 after notice and opportunity for hearing-- 7i7 suspend for not more than #f months1 or revoke1 the license under which the firearms transfer involved was conducted2 or 7ii7 subject the licensee to a civil penalty of not more than #aj1jjj4 4 #e4 ,effective date ,the amendments made by this ,act shall take effect #ij days after the date of the enactment of this ,act4