119-hr1740

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1740 Introduced in House

    (IH) ]

<DOC>

119th CONGRESS
 1st Session
 H. R. 1740

 To improve the procedures of the national instant criminal background 
 check system in the case of firearm transfers by federally licensed 
firearms importers, manufacturers, and dealers before the completion of 
 the related criminal background check, and to provide for annual 
 reports on default firearm transfers.

_______________________________________________________________________

 IN THE HOUSE OF REPRESENTATIVES

 February 27, 2025

 Mr. Schneider (for himself, Mr. Quigley, and Mr. Panetta) introduced 
 the following bill; which was referred to the Committee on the 
 Judiciary

_______________________________________________________________________

 A BILL

 To improve the procedures of the national instant criminal background 
 check system in the case of firearm transfers by federally licensed 
firearms importers, manufacturers, and dealers before the completion of 
 the related criminal background check, and to provide for annual 
 reports on default firearm transfers.

 Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

 This Act may be cited as the ``Default Proceed Sale Transparency 
Act''.

SEC. 2. IMPROVEMENT OF NICS PROCEDURES IN THE CASE OF DEFAULT FIREARM 
 TRANSFERS.

    (a) Requirement That Federally Licensed Firearm Importers, 
Manufacturers, and Dealers Report Default Firearm Transfers.--

    (1) In general.--

Section 922

    (t) of title 18, United States 
 Code, is amended by adding at the end the following:
 ``

    (7) A licensed importer, licensed manufacturer, or licensed 
dealer who transfers a firearm in compliance with paragraph

    (1) , but 
before the national instant criminal background check system provides 
the licensee with a unique identification number, shall report the 
transfer to the Federal Bureau of Investigation within 24 hours. If a 
State or local law enforcement authority is conducting the related 
background check, the Federal Bureau of Investigation shall transmit 
the report to that authority.''.

    (2) Creation of online portal and telephone hotline.--
 Within 180 days after the date of the enactment of this Act, 
 the Attorney General shall create an online portal and 
 telephone hotline, that are to be used exclusively for the 
 purpose of reporting sufficient information to allow the 
 Federal Bureau of Investigation to prioritize background checks 
 in accordance with 

section 40901 of title 34, United States 
 Code.

    (b) Prioritization of NICS Background Checks Relating to Default 
Firearm Transfers.--

Section 103 of the Brady Handgun Violence 
Prevention Act (34 U.S.C. 40901) is amended by adding at the end the 
following:
 ``
            (m) Prioritization of Background Checks Related to Default 
Firearm Transfers.--In the case of a transfer referred to in 

section 922

    (t)

    (7) of title 18, United States Code, the system established under 
this section shall give priority to completing the background check 
relating to the transfer.''.
            (c) Prohibition on Destruction of Records Relating to Firearm 
Transfer Before Completion of Background Check.--

Section 103 of the 
Brady Handgun Violence Prevention Act (34 U.S.C. 40901), as amended by 
subsection

    (b) of this section, is amended by adding at the end the 
following:
 ``

    (n) Prohibition on Destruction of Records Relating to Firearm 
Transfer Before Completion of Related Background Check.--The system 
established under this section may not destroy any records of the 
system relating to a proposed or completed firearm transfer, before 
completion of the criminal background check with respect to the 
prospective or actual transferee.''.

SEC. 3. ANNUAL REPORTS ON DEFAULT FIREARM TRANSFERS.

    (a) In General.--Within 300 days after the date of the enactment of 
this Act and annually thereafter, the Director of the Federal Bureau of 
Investigation shall make accessible to the public a written report on--

    (1) the number of firearms transferred as described in 
 

section 922

    (t)

    (7) of title 18, United States Code, during the 
 period covered by the report, disaggregated by State;

    (2) the number of the firearms described in paragraph

    (1) of this subsection with respect to which the national instant 
 criminal background check system established under 

section 103 
 of the Brady Handgun Violence Prevention Act completed the 
 background check;

    (3) of the number described by paragraph

    (2) of this 
 subsection--
        (A) the number with respect to which the system 
 provided the unique identification number under 
 subparagraph
        (B)
            (i) or
            (C) 
            (i) of 

section 922

    (t)

    (1) of 
 such title;
        (B) the number with respect to which information 
 available to the system demonstrated that transfer of a 
 firearm to, or receipt of a firearm by, the transferee 
 would violate subsection
            (d) ,

    (g) , or

    (n) of 

section 922 of such title or State, local, or tribal law; and
            (C) in each case described by subparagraph
        (B) of 
 this paragraph, the reason for indicating that the 
 receipt would be a violation referred to in such 
 subparagraph
        (B) , including any specific prohibiting 
 criteria that would bar the transferee from receipt of 
 a firearm or a licensee from transferring a firearm;

    (4) of the number described by paragraph

    (3)
        (B) of this 
 subsection, the number of firearms that were retrieved from the 
 transferee, and the number of firearms that were not retrieved 
 from the transferee, with each number disaggregated by the 
 field division of the Bureau of Alcohol, Tobacco, Firearms and 
 Explosives and the State involved;

    (5) in the case of the first report under this section, the 
 number of requests for criminal background checks received by 
 the system in the preceding 5 years the records of which were 
 purged from the system without resolution; and

    (6) the number of licensed importers, licensed 
 manufacturers, or licensed dealers who transferred firearms as 
 described in 

section 922

    (t)

    (7) of such title during the period 
 covered by the report, disaggregated by the State of sale.

    (b) In General.--Within 300 days after the date of the enactment of 
this Act and annually thereafter, the Director of the Bureau of 
Alcohol, Tobacco, Firearms and Explosives shall make accessible to the 
public a written report on--

    (1) the average time between receipt and recovery of a 
 firearm transferred as described in 

section 922

    (t)

    (7) of title 
 18, United States Code, during the period covered by the 
 report, where the transfer to, or receipt by, the transferee 
 violated subsection
            (d) ,

    (g) , or

    (n) of 

section 922 of such 
 title or State, local, or tribal law;

    (2) the number of firearms transferred as described in such 
 

section 922

    (t)

    (7) during the period covered by the report, that 
 were recovered as part of a criminal investigation, where 
 receipt by the transferee violated such subsection
            (d) ,

    (g) , or

    (n) or State, local, or tribal law, disaggregated by State; and

    (3) of the number described by paragraph

    (2) of this 
 subsection--
        (A) the total number of firearms that were 
 recovered by law enforcement in States other than the 
 State the firearm was transferred by a licensed 
 importer, licensed manufacturer, or licensed dealer as 
 described in such 

section 922

    (t) ; and
        (B) the information outlined in subparagraph
        (A) of 
 this paragraph, disaggregated by--
            (i) the State where the firearm was 
 recovered; and
            (ii) the State where the firearm was 
 transferred as described in such 

section 922

    (t) .
            (c) Rule of Interpretation.--A report under subsection

    (a) shall be 
considered an annual statistical report and statistical aggregate data 
for purposes of the sixth proviso under the heading ``Bureau of 
Alcohol, Tobacco, Firearms and Explosives--Salaries and Expenses'' in 
the Department of Justice Appropriations Act, 2012 (title II of 
division B of Public Law 112-55).
 <all>