I 118TH CONGRESS 1ST SESSION H. R. 3122 To require criminal background checks on all firearms transactions occurring at gun shows. IN THE HOUSE OF REPRESENTATIVES MAY 5, 2023 Mr. TAKANO introduced the following bill; which was referred to the Committee on the Judiciary A BILL To require criminal background checks on all firearms transactions occurring at gun shows. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Gun Show Loophole 4 Closing Act of 2023’’. 5 SEC. 2. GUN SHOW BACKGROUND CHECK. 6 (a) FINDINGS.—The Congress finds that— 7 (1) approximately 5,200 traditional gun shows 8 are held annually across the United States, attract- 9 ing thousands of attendees per show and hundreds 10 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 2 •HR 3122 IH of Federal firearms licensees and unlicensed fire- 1 arms sellers; and 2 (2) gun shows at which firearms are exhibited 3 or offered for sale or exchange provide a convenient 4 and centralized commercial location where criminals 5 and other prohibited persons obtain firearms without 6 background checks and without records that enable 7 firearm tracing. 8 (b) DEFINITIONS.—Section 921(a) of title 18, United 9 States Code, is amended by adding at the end the fol- 10 lowing: 11 ‘‘(38) GUN SHOW.—The term ‘gun show’— 12 ‘‘(A) means any event at which 50 or more fire- 13 arms are offered or exhibited for sale, exchange, or 14 transfer, if 1 or more of the firearms has been 15 shipped or transported in, or otherwise affects, inter- 16 state or foreign commerce; 17 ‘‘(B) does not include an offer or exhibit of fire- 18 arms for sale, exchange, or transfer by an individual 19 from the personal collection of that individual, at the 20 private residence of that individual, if the individual 21 is not required to be licensed under section 923; and 22 ‘‘(C) does not include an offer or exhibit of fire- 23 arms for sale, exchange, or transfer at events— 24 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 3 •HR 3122 IH ‘‘(i) where not more than 100 firearms are 1 offered or exhibited for sale, exchange, or trans- 2 fer; 3 ‘‘(ii) that are conducted by private, not-for- 4 profit organizations whose primary purpose is 5 owning and maintaining real property for the 6 purpose of hunting activities; and 7 ‘‘(iii) that are attended only by permanent 8 or annual dues-paying members of the organi- 9 zations, and the members of the immediate 10 families of the dues-paying members. 11 ‘‘(39) GUN SHOW VENDOR.—The term ‘gun show 12 vendor’ means a person who is not licensed under section 13 923 and who exhibits, sells, offers for sale, transfers, or 14 exchanges a firearm at a gun show, regardless of whether 15 or not the person arranges with the gun show operator 16 for a fixed location from which to exhibit, sell, offer for 17 sale, transfer, or exchange the firearm.’’. 18 (c) REGULATION OF FIREARMS TRANSFERS AT GUN 19 SHOWS.— 20 (1) IN GENERAL.—Chapter 44 of such title is 21 amended by adding at the end the following: 22 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 4 •HR 3122 IH ‘‘§ 935. Regulation of firearms transfers at gun shows 1 ‘‘(a) REGISTRATION OF GUN SHOW OPERATORS.— 2 It shall be unlawful for a person to operate a gun show, 3 unless— 4 ‘‘(1) the person has attained 21 years of age; 5 ‘‘(2) the person (and, if the person is a corpora- 6 tion, partnership, or association, each individual pos- 7 sessing, directly or indirectly, the power to direct or 8 cause the direction of the management and policies 9 of the corporation, partnership, or association) is not 10 prohibited by subsection (g) or (n) of section 922 11 from transporting, shipping, or receiving firearms or 12 ammunition in interstate or foreign commerce; 13 ‘‘(3) the person has not willfully violated any 14 provision of this chapter or regulation issued under 15 this chapter; 16 ‘‘(4) the person has registered with the Attor- 17 ney General as a gun show operator, in accordance 18 with regulations promulgated by the Attorney Gen- 19 eral, and as part of the registration— 20 ‘‘(A) has provided the Attorney General 21 with a photograph and the fingerprints of the 22 person; and 23 ‘‘(B) has certified that the person meets 24 the requirements of subparagraphs (A) through 25 (D) of section 923(d)(1); 26 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 5 •HR 3122 IH ‘‘(5) the person has not willfully failed to dis- 1 close any material information required, and has not 2 made any false statement as to any material fact, in 3 connection with the registration; and 4 ‘‘(6) the person has paid the Attorney General 5 a fee for the registration, in an amount determined 6 by the Attorney General. 7 ‘‘(b) RESPONSIBILITIES OF GUN SHOW OPERA- 8 TORS.— 9 ‘‘(1) IN GENERAL.—It shall be unlawful for a 10 person to operate a gun show, unless the person— 11 ‘‘(A) not later than 30 days before the 12 commencement of the gun show, notifies the 13 Attorney General, in writing, of the date, time, 14 duration, and location of the gun show, and the 15 identity of each person who will be a gun show 16 vendor at the gun show; 17 ‘‘(B) before commencement of the gun 18 show— 19 ‘‘(i) verifies the identity of each indi- 20 vidual who will be a gun show vendor at 21 the gun show by examining a valid identi- 22 fication document (as defined in section 23 1028(d)(3)) of the individual containing a 24 photograph of the individual; and 25 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 6 •HR 3122 IH ‘‘(ii) requires each such individual to 1 sign— 2 ‘‘(I) a ledger, and enter into the 3 ledger identifying information con- 4 cerning the individual; and 5 ‘‘(II) a notice which sets forth 6 the obligations of a gun show vendor 7 under this chapter; and 8 ‘‘(C) notifies each person who attends the 9 gun show of the requirements of this chapter, 10 in accordance with such regulations as the At- 11 torney General shall prescribe. 12 ‘‘(2) RECORDKEEPING.—A person who oper- 13 ates, or has operated, a gun show shall maintain 14 records demonstrating compliance with paragraph 15 (1)(B), at such place, for such period of time, and 16 in such form as the Attorney General shall require 17 by regulation, or transmit the records to the Attor- 18 ney General. 19 ‘‘(c) BACKGROUND CHECK REQUIRED BEFORE 20 TRANSFER OF FIREARM BETWEEN UNLICENSED PER- 21 SONS.—It shall be unlawful for a person who is not li- 22 censed under this chapter to transfer possession of, or title 23 to, a firearm at, or on the curtilage of, a gun show, to 24 another person who is not so licensed, or for a person who 25 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00006 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 7 •HR 3122 IH is not so licensed to receive possession of, or title to, a 1 firearm at, or on the curtilage of, a gun show from another 2 person who is not so licensed, unless a licensed importer, 3 licensed manufacturer, or licensed dealer— 4 ‘‘(1) has entered into a separate bound record 5 the make, model, and serial number of the firearm, 6 and such other information about the transaction as 7 the Attorney General may require by regulation; and 8 ‘‘(2) has notified the prospective transferor and 9 prospective transferee of the firearm that the na- 10 tional instant criminal background check system es- 11 tablished under section 103 of the Brady Handgun 12 Violence Prevention Act has provided the licensee 13 with a unique identification number, indicating that 14 receipt of the firearm by the prospective transferee 15 would not violate section 922 of this title or State 16 law. 17 ‘‘(d) RECORDKEEPING REQUIREMENTS.— 18 ‘‘(1) IN GENERAL.—A licensee who provides a 19 notice pursuant to subsection (c)(2) with respect to 20 the transfer of a firearm shall— 21 ‘‘(A) not later than 10 days after the date 22 of the transfer, submit to the Attorney General 23 a report of the transfer, which report shall 24 specify the make, model, and serial number of 25 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 8 •HR 3122 IH the firearm, and contain such other information 1 and be on such form, as the Attorney General 2 shall require by regulation, except that the re- 3 port shall not include the name of or other 4 identifying information relating to any person 5 involved in the transfer who is not licensed 6 under this chapter; and 7 ‘‘(B) retain a record of the transfer, in- 8 cluding the same information as would be re- 9 quired if the transfer were from the inventory 10 of the licensee, as part of the permanent busi- 11 ness records of the licensee. 12 ‘‘(2) LIMITATION.—The Attorney General may 13 not impose any recordkeeping requirement on any 14 gun show vendor by reason of this section.’’. 15 (2) PENALTIES.—Section 924(a) of such title is 16 amended by adding at the end the following: 17 ‘‘(8)(A) Whoever knowingly violates subsection (a) or 18 (d) of section 935 shall be fined under this title, impris- 19 oned not more than 5 years, or both. 20 ‘‘(B) Whoever knowingly violates subsection (b) or (c) 21 of section 935, shall be— 22 ‘‘(i) fined under this title, imprisoned not more 23 than 2 years, or both; and 24 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 9 •HR 3122 IH ‘‘(ii) in the case of a second or subsequent con- 1 viction, fined under this title, imprisoned not more 2 than 5 years, or both. 3 ‘‘(C) In addition to any other penalties imposed 4 under this paragraph, the Attorney General may, with re- 5 spect to any person who knowingly violates any provision 6 of section 935— 7 ‘‘(i) if the person is registered pursuant to sec- 8 tion 935(a), after notice and opportunity for a hear- 9 ing, suspend for not more than 6 months or revoke 10 the registration of that person under section 932(a); 11 and 12 ‘‘(ii) impose a civil fine in an amount equal to 13 not more than $10,000.’’. 14 (3) CLERICAL AMENDMENT.—The table of con- 15 tents for such chapter is amended by adding at the 16 end the following: 17 ‘‘Sec. 935. Regulation of firearms transfers at gun shows.’’. (d) INSPECTION AUTHORITY.—Section 923(g)(1) of 18 such title is amended by adding at the end the following: 19 ‘‘(E) Notwithstanding subparagraph (B) of this para- 20 graph, the Attorney General may enter during business 21 hours any place where a gun show operator operates a 22 gun show or is required to maintain records pursuant to 23 section 935(b)(2), for purposes of examining the records 24 required by sections 923 and 935 and the inventory of 25 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 10 •HR 3122 IH licensees conducting business at the gun show. The entry 1 and examination shall be conducted for the purposes of 2 determining compliance with this chapter by gun show op- 3 erators and licensees conducting business at the gun show, 4 and shall not require a showing of reasonable cause or 5 a warrant.’’. 6 (e) REPORTS OF MULTIPLE SALES ASSISTED BY LI- 7 CENSEES AT GUN SHOWS.—Section 923(g)(3)(A) of such 8 title is amended by inserting ‘‘or provides pursuant to sec- 9 tion 935(c)(2) notice with respect to,’’ after ‘‘sells or oth- 10 erwise disposes of,’’. 11 (f) INCREASED PENALTIES FOR SERIOUS RECORD- 12 KEEPING VIOLATIONS BY LICENSEES.—Section 924(a)(3) 13 of such title is amended to read as follows: 14 ‘‘(3)(A) Except as provided in subparagraph (B), any 15 licensed dealer, licensed importer, licensed manufacturer, 16 or licensed collector who knowingly makes any false state- 17 ment or representation with respect to the information re- 18 quired by this chapter to be kept in the records of a person 19 licensed under this chapter, or violates section 922(m), 20 shall be fined under this title, imprisoned not more than 21 1 year, or both. 22 ‘‘(B) If the violation described in subparagraph (A) 23 is in relation to an offense— 24 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 11 •HR 3122 IH ‘‘(i) under paragraph (1) or (3) of section 1 922(b), such person shall be fined under this title, 2 imprisoned not more than 5 years, or both; or 3 ‘‘(ii) under subsection (a)(6) or (d) of section 4 922, such person shall be fined under this title, im- 5 prisoned not more than 10 years, or both.’’. 6 (g) INCREASED PENALTIES FOR VIOLATIONS OF 7 CRIMINAL BACKGROUND CHECK REQUIREMENTS.— 8 (1) PENALTIES.—Section 924(a)(5) of such 9 title is amended— 10 (A) by striking ‘‘subsection (s) or (t) of 11 section 922’’ and inserting ‘‘section 922(t)’’; 12 and 13 (B) by striking ‘‘1’’ and inserting ‘‘5’’. 14 (2) ELIMINATION OF CERTAIN ELEMENTS OF 15 OFFENSE.—Section 922(t)(5) of such title is amend- 16 ed by striking ‘‘and, at the time’’ and all that fol- 17 lows through ‘‘State local, or Tribal law’’. 18 (h) AUTHORITY TO HIRE PERSONNEL TO INSPECT 19 GUN SHOWS.—The Director of the Bureau of Alcohol, To- 20 bacco, Firearms and Explosives may hire at least 40 addi- 21 tional Industry Operations Investigators for the purpose 22 of carrying out inspections of gun shows (as defined in 23 section 921(a)(35) of title 18, United States Code). 24 VerDate Sep 11 2014 05:28 May 19, 2023 Jkt 039200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H3122.IH H3122 kjohnson on DSK79L0C42PROD with BILLS 12 •HR 3122 IH (i) REPORT TO THE CONGRESS.—The Director of the 1 Bureau of Alcohol, Tobacco, Firearms and Explosives 2 shall submit biennial reports to the Congress on how fire- 3 arms (as defined in section 921(a)(3) of title 18, United 4 States Code) are sold at gun shows (as defined in para- 5 graph (36) of such section), how this section is being car- 6 ried out, whether firearms are being sold without back- 7 ground checks conducted by the national instant criminal 8 background check system established under section 103 9 of the Brady Handgun Violence Preventi [Text truncated for display. Full text available on Congress.gov.]