Bill Details

S.884 - 119th Congress

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Status
  1. Introduced
  2. Passed House
  3. Passed Senate
  4. To President
  5. Law
Latest action
2025-03-06 - Read twice and referred to the Committee on the Judiciary.
Introduced Date
2025-03-06
Policy Area
Crime and Law Enforcement
Committees
View committees (1)
6
0

AI Summary This summary was generated by AI from the bill text. AI can get information wrong.

This bill would change how the federal government handles some firearm transfer and registration applications. It would require the ATF to give people more information when a firearm application is denied, create a way to appeal that denial, and allow people to submit information to help avoid repeated mistaken denials in the future. The bill also says that if the government does not act on certain firearm applications within 3 business days, the application is treated as approved. In addition, the bill asks for reports on delayed background checks and for the ATF and FBI to set up a formal agreement on how those checks are handled.

  • People whose firearm transfer applications are denied would get the relevant background check number and be allowed to appeal the decision.
  • If an appeal is successful, the government would have to pay reasonable attorney fees related to that appeal.
  • For certain firearm transfer or making applications, if the ATF does not decide within 3 business days, the application would count as approved and the transfer or making of the firearm could go forward.
  • If the government later says the application should have been denied, it must notify the people involved. In some cases, the seller would not be held liable, and the buyer would avoid liability if the firearm is returned within 14 days after notice.
  • The bill would require a report on unresolved background checks from 2010 through 2024 and recommendations to reduce delays.
  • It would also require a report on how often the FBI handled these background checks for the ATF from 2014 through 2024.
  • The ATF and FBI would have to make a formal agreement within 180 days on how these checks are processed.

Official Summaries

ATF Transparency Act

This bill modifies procedural requirements related to the transfer or making of firearms that are subject to regulation under the National Firearms Act (e.g., machine guns, short-barreled shotguns, and silencers).

The bill generally permits the transfer of a firearm if three business days have elapsed since the application to transfer the firearm was filed, and the application has not been denied. Additionally, the bill establishes an administrative relief process with respect to an application to transfer that is denied.

The bill permits the making of a firearm if three business days have elapsed since the application to make the firearm was filed, and the application has not been denied.

Finally, the bill requires reports on firearms-related background check inquiries that remain unresolved after 90 days and the percentage of firearms-related background check inquiries related to the transfer of a firearm that were administered by the Federal Bureau of Investigation.

Current Full Text

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 884 Introduced in Senate (IS)]

<DOC>






119th CONGRESS
  1st Session
                                 S. 884

  To amend the Internal Revenue Code of 1986 to require the Bureau of 
      Alcohol, Tobacco, Firearms, and Explosives to establish an 
 administrative relief process for individuals whose applications for 
   transfer and registration of a firearm were denied, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             March 6, 2025

Mr. Risch (for himself, Mr. Daines, Mr. Lankford, Mr. Crapo, Mrs. Hyde-
    Smith, Ms. Lummis, Mr. Sheehy, and Mr. Marshall) introduced the 
 following bill; which was read twice and referred to the Committee on 
                             the Judiciary

_______________________________________________________________________

                                 A BILL


 
  To amend the Internal Revenue Code of 1986 to require the Bureau of 
      Alcohol, Tobacco, Firearms, and Explosives to establish an 
 administrative relief process for individuals whose applications for 
   transfer and registration of a firearm were denied, and for other 
                               purposes.

    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 ``ATF Transparency Act''.

SEC. 2. ADMINISTRATIVE RELIEF FOR DENIAL OF FIREARM TRANSFER 
              APPLICATION.

    (a) In General.--Section 5812 of the Internal Revenue Code of 1986 
is amended by adding at the end the following new subsection:
    ``(c) Administrative Relief.--
            ``(1) In general.--With respect to any application 
        described in subsection (a) for the transfer and registration 
        of a firearm which is denied by the Secretary based on a 
        determination that transferring the firearm to the transferee 
        would violate subsection (d) of section 922 of title 18, United 
        States Code, or receipt of the firearm by the transferee would 
        violate subsection (g) or (n) of that section or State, local, 
        or tribal law, the Secretary shall--
                    ``(A) provide the transferee with the relevant NICS 
                transaction number with respect to such application,
                    ``(B) permit such transferee to appeal such denial 
                to the Secretary in a manner similar to the process for 
                appeals provided under section 25.10 of title 28, Code 
                of Federal Regulations, and
                    ``(C) permit such transferee to provide information 
                to the Secretary to prevent any subsequent erroneous 
                denial or extended delay by NICS pursuant to a program 
                (as established by the Secretary) similar to the 
                Voluntary Appeal File program described in section 
                25.10(g) of title 28, Code of Federal Regulations.
            ``(2) Attorney fees.--In the case of any successful appeal 
        by the transferee pursuant to the process described in 
        paragraph (1)(B), the Secretary shall reimburse the transferee 
        for any reasonable and necessary attorney fees incurred with 
        respect to such appeal.
            ``(3) NICS.--For purposes of this subsection, the term 
        `NICS' means the national instant criminal background check 
        system established under section 103 of the Brady Handgun 
        Violence Prevention Act (34 U.S.C. 40901).''.
    (b) Effective Date.--The amendment made by this section shall apply 
to applications for the transfer and registration of a firearm which 
are filed or pending on or after the date of enactment of this Act.

SEC. 3. TIMELY PROCESSING OF APPLICATIONS.

    (a) Transfer of Firearms.--Section 5812 of the Internal Revenue 
Code of 1986, as amended by section 2, is amended by adding at the end 
the following new subsection:
    ``(d) Processing of Applications.--
            ``(1) In general.--Notwithstanding subsection (a), if an 
        application described in such subsection with respect to the 
        transfer and registration of a firearm has been filed with the 
        Secretary and the Secretary fails to make a determination 
        regarding whether to approve or deny such application prior to 
        the date which is 3 business days after the date on which such 
        application was originally filed by the transferor, the 
        transfer and registration of such firearm to the transferee 
        shall be deemed to have been approved by the Secretary for 
        purposes of this section and such transfer may be made. The 
        Secretary shall only deny an application described in 
        subsection (a) on the grounds that the applicable requirements 
        under such subsection have not been satisfied, and may not deny 
        an application solely on the grounds that a determination 
        regarding whether to approve or deny such application could not 
        be completed by the Secretary during the period described in 
        the preceding sentence.
            ``(2) Safe harbor.--
                    ``(A) In general.--In the case of an application 
                described in subsection (a) which, following the 
                expiration of the 3-day period under paragraph (1), has 
                been deemed to have been approved by the Secretary for 
                purposes of this section and for which the transfer of 
                the firearm has been made, if the Secretary 
                subsequently determines that the applicable 
                requirements under such subsection have not been 
                satisfied and that such application should have been 
                denied, the Secretary shall provide actual notice of 
                such determination to the transferor and transferee of 
                such firearm.
                    ``(B) Criminal liability.--In the case of a 
                determination described in subparagraph (A) that an 
                application for transfer and registration of a firearm 
                should have been denied--
                            ``(i) the transferor may not be held liable 
                        for any violation of subsection (d) of section 
                        922 of title 18, United States Code, and
                            ``(ii) the transferee may not be held 
                        liable for any violation of subsection (g) or 
                        (n) of section 922 of title 18, United States 
                        Code, provided that the transferee returns the 
                        firearm to the Secretary within the 14-day 
                        period subsequent to the date on which the 
                        transferee received notice from the Secretary 
                        regarding such determination.''.
    (b) Making of Firearms.--Section 5822 of the Internal Revenue Code 
of 1986 is amended by adding at the end the following: 
``Notwithstanding the preceding sentences, if a person files an 
application to make and register a firearm with the Secretary and the 
Secretary fails to make a determination regarding whether to approve or 
deny such application prior to the date which is 3 business days after 
the date on which such application was originally filed by such person, 
such application shall be deemed to have been approved by the Secretary 
for purposes of this section and such firearm may be made by such 
person. The Secretary shall only deny an application to make and 
register a firearm on the grounds that the applicable requirements 
under this section have not been satisfied, and may not deny an 
application solely on the grounds that a determination regarding 
whether to approve or deny such application could not be completed by 
the Secretary during the period described in the preceding sentence.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to applications which are filed or pending on or after the date 
of enactment of this Act.

SEC. 4. REPORTS AND AGREEMENTS.

    (a) Unresolved NICS Checks.--Not later than 180 days after the date 
of enactment of this Act, the Comptroller General of the United States, 
in conjunction with the Inspector General of the Department of Justice, 
shall submit a report to Congress--
            (1) detailing the number of NICS inquiries received during 
        the period of calendar years 2010 through 2024 with respect to 
        the transfer of a firearm which remained unresolved following 
        the expiration of the 90-day period described in section 
        25.9(b)(1) of title 28, Code of Federal Regulations; and
            (2) providing recommendations for administrative actions to 
        be adopted by the Bureau of Alcohol, Tobacco, Firearms, and 
        Explosives to minimize the number of unresolved NICS inquiries 
        described in paragraph (1).
    (b) Administration of NICS Checks.--Not later than 180 days after 
the date of enactment of this Act, the Inspector General of the 
Department of Justice shall submit a report to Congress regarding the 
percentage of NICS inquiries during the period of calendar years 2014 
through 2024 with respect to the transfer of a firearm which were 
administered by the Federal Bureau of Investigation on behalf of the 
Bureau of Alcohol, Tobacco, Firearms, and Explosives.
    (c) Memorandum of Understanding.--Not later than 180 days after the 
date of enactment of this Act, the Director of the Bureau of Alcohol, 
Tobacco, Firearms, and Explosives and the Director of the Federal 
Bureau of Investigation shall enter into a memorandum of understanding 
regarding the administration and processing of NICS inquiries with 
respect to the transfer of firearms.
    (d) Definitions.--In this section--
            (1) Firearm.--The term ``firearm'' has the same meaning 
        given such term under section 5845(a) of the Internal Revenue 
        Code of 1986.
            (2) NICS.--The term ``NICS'' means the national instant 
        criminal background check system established under section 103 
        of the Brady Handgun Violence Prevention Act (34 U.S.C. 40901).
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