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Mr. LAUTENBERG (for himself and Mr. Kerrey) proposed an amendment to the bill (S. 254) to reduce violent juvenile crime, promote accountability by rehabilitation of juvenile criminals, punish and deter violent gang crime, and for other purposes; as follows:

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SEC. XX. EXTENSION OF BRADY BACKGROUND CHECKS TO GUN SHOWS.
(a) Findings: Congress finds that--

(1) more than 4,400 traditional gun shows are held annually across the United States, attracting thousands of attendees per show and hundreds of Federal firearms licensees and nonlicensed firearms sellers;

(2) traditional gun shows, as well as flea markets and other organized events, at which a large number of firearms are offered for sale by Federal firearms licensees and nonlicensed firearms sellers, form a significant part of the national firearms market;

(3) firearms and ammunition that are exhibited or offered for sale or exchange at gun shows, flea markets, and other organized events move easily in and substantially affect interstate commerce;

(4) in fact, even before a firearm is exhibited or offered for sale or exchange at a gun show, flea market, or other organized event, the gun, its component parts, ammunition, and the raw materials from which it is manufactured have moved in interstate commerce;

(5) gun shows, flea markets, and other organized events at which firearms are exhibited or offered for sale or exchange, provide a convenient and centralized commercial location at which firearms may be bought and sold anonymously, often without background checks and without records that enable gun tracing;

(6) at gun shows, flea markets, and other organized events at which guns are exhibited or offered for sale or exchange, criminals and other prohibited persons obtain guns without background checks and frequently use guns that cannot be traced to later commit crimes;

(7) many persons who buy and sell firearms at gun shows, flea markets, and other organized events cross State lines to attend these events and engage in the interstate transportation of firearms obtained at these events;

(8) gun violence is a pervasive, national problem that is exacerbated by the availability of guns at gun shows, flea markets, and other organized events;

(9) firearms associated with gun shows have been transferred illegally to residents of another State by Federal firearms licensees and nonlicensed firearms sellers, and have been involved in subsequent crimes including drug offenses, crimes of violence, property crimes, and illegal possession of firearms by felons and other prohibited persons; and

(10) Congress has the power, under the interstate commerce clause and other provisions of the Constitution of the United States, to ensure, by enactment of this Act, that criminals and other prohibited persons do not obtain firearms at gun shows, flea markets, and other organized events.
(b) Definitions: Section 921(a) of title 18, United States Code, is amended by adding at the end the following:
`(35) Gun show: The term `gun show' means any event--

`(A) at which 50 or more firearms are offered or exhibited for sale, transfer, or exchange, if 1 or more of the firearms has been shipped or transported in, or otherwise affects, interstate or foreign commerce; and

`(B) at which--

`(i) not less than 20 percent of the exhibitors are firearm exhibitors;

`(ii) there are not less than 10 firearm exhibitors; or

`(iii) 50 or more firearms are offered for sale, transfer, or exchange.
`(36) Gun show promoter: The term `gun show promoter' means any person who organizes, plans, promotes, or operates a gun show.
`(37) Gun show vendor: The term `gun show vendor' means any person who exhibits, sells, offers for sale, transfers, or exchanges 1 or more firearms at a gun show, regardless of whether or not the person arranges with the gun show promoter for a fixed location from which to exhibit, sell, offer for sale, transfer, or exchange 1 or more firearms.'
(c) Regulation of Firearms Transfers at Gun Shows:

(1) In general: Chapter 44 of title 18, United States Code, is amended by adding at the end the following:

`931. Regulation of firearms transfers at gun shows
`(a) Registration of Gun Show Promoters: It shall be unlawful for any person to organize, plan, promote, or operate a gun show unless that person--

`(1) registers with the Secretary in accordance with regulations promulgated by the Secretary; and

`(2) pays a registration fee, in an amount determined by the Secretary.
`(b) Responsibilities of Gun Show Promoters: It shall be unlawful for any person to organize, plan, promote, or operate a gun show unless that person--

`(1) before commencement of the gun show, verifies the identity of each gun show vendor participating in the gun show by examining a valid identification document (as defined in section 1028(d)(1)) of the vendor containing a photograph of the vendor;

`(2) before commencement of the gun show, requires each gun show vendor to sign--

`(A) a ledger with identifying information concerning the vendor; and

`(B) a notice advising the vendor of the obligations of the vendor under this chapter; and

`(3) notifies each person who attends the gun show of the requirements of this chapter, in accordance with such regulations as the Secretary shall prescribe; and

`(4) maintains a copy of the records described in paragraphs (1) and (2) at the permanent place of business of the gun show promoter for such period of time and in such form as the Secretary shall require by regulation.
`(c) Responsibilities of Transferors Other Than Licensees:

`(1) In general: If any part of a firearm transaction takes place at a gun show, it shall be unlawful for any person who is not licensed under this chapter to transfer a firearm to another person who is not licensed under this chapter, unless the firearm is transferred through a licensed importer, licensed manufacturer, or licensed dealer in accordance with subsection (e).

`(2) Criminal background checks: A person who is subject to the requirement of paragraph (1)--

`(A) shall not transfer the firearm to the transferee until the licensed importer, licensed manufacturer, or licensed dealer through which the transfer is made under subsection (e) makes the notification described in subsection (e)(3)(A); and

`(B) notwithstanding subparagraph (A), shall not transfer the firearm to the transferee if the licensed importer, licensed manufacturer, or licensed dealer through which the transfer is made under subsection (e) makes the notification described in subsection (e)(3)(B).

`(3) Absence of recordkeeping requirements: Nothing in this section shall permit or authorize the Secretary to impose recordkeeping requirements on any non-licensed vendor.
`(d) Responsibilities of Transferees Other Than Licensees:

`(1) In general: If any part of a firearm transaction takes place at a gun show, it shall be unlawful for any person who is not licensed under this chapter to receive a firearm from another person who is not licensed under this chapter, unless the firearm is transferred through a licensed importer, licensed manufacturer, or licensed dealer in accordance with subsection (e).

`(2) Criminal background checks: A person who is subject to the requirement of paragraph (1)--

`(A) shall not receive the firearm from the transferor until the licensed importer, licensed manufacturer, or licensed dealer through which the transfer is made under subsection (e) makes the notification described in subsection (e)(3)(A); and

`(B) notwithstanding subparagraph (A), shall not receive the firearm from the transferor if the licensed importer, licensed manufacturer, or licensed dealer through which the transfer is made under subsection (e) makes the notification described in subsection (e)(3)(B).
`(e) Responsibilities of Licensees: A licensed importer, licensed manufacturer, or licensed dealer who agrees to assist a person who is not licensed under this chapter in carrying out the responsibilities of that person under subsection (c) or (d) with respect to the transfer of a firearm shall--

`(1) enter such information about the firearm as the Secretary may require by regulation into a separate bound record;

`(2) record the transfer on a form specified by the Secretary;

`(3) comply with section 922(t) as if transferring the firearm from the inventory of the licensed importer, licensed manufacturer, or licensed dealer to the designated transferee (although a licensed importer, licensed manufacturer, or licensed dealer complying with this subsection shall not be required to comply again with the requirements of section 922(t) in delivering the firearm to the nonlicensed transferor), and notify the nonlicensed transferor and the nonlicensed transferee--

`(A) of such compliance; and

`(B) if the transfer is subject to the requirements of section 922(t)(1), of any receipt by the licensed importer, licensed manufacturer, or licensed dealer of a notification from the national instant criminal background check system that the transfer would violate section 922 or would violate State law;

`(4) not later than 10 days after the date on which the transfer occurs, submit to the Secretary a report of the transfer, which report--

`(A) shall be on a form specified by the Secretary by regulation; and

`(B) shall not include the name of or other identifying information relating to any person involved in the transfer who is not licensed under this chapter;

`(5) if the licensed importer, licensed manufacturer, or licensed dealer assists a person other than a licensee in transferring, at 1 time or during any 5 consecutive business days, 2 or more pistols or revolvers, or any combination of pistols and revolvers totaling 2 or more, to the same nonlicensed person, in addition to the reports required under paragraph (4), prepare a report of the multiple transfers, which report shall be--

`(A) prepared on a form specified by the Secretary; and

`(B) not later than the close of business on the date on which the transfer occurs, forwarded to--

`(i) the office specified on the form described in subparagraph (A); and

`(ii) the appropriate State law enforcement agency of the jurisdiction in which the transfer occurs; and

`(6) retain a record of the transfer as part of the permanent business records of the licensed importer, licensed manufacturer, or licensed dealer.
`(f) Records of Licensee Transfers: If any part of a firearm transaction takes place at a gun show, each licensed importer, licensed manufacturer, and licensed dealer who transfers 1 or more firearms to a person who is not licensed under this chapter shall, not later than 10 days after the date on which the transfer occurs, submit to the Secretary a report of the transfer, which report--

`(1) shall be in a form specified by the Secretary by regulation;

`(2) shall not include the name of or other identifying information relating to the transferee; and

`(3) shall not duplicate information provided in any report required under subsection (e)(4).
`(g) Firearm Transaction Defined: In this section, the term `firearm transaction'--

`(1) includes the offer for sale, sale, transfer, or exchange of a firearm; and

`(2) does not include the mere exhibition of a firearm.'.

(2) Penalties: Section 924(a) of title 18, United States Code, is amended by adding at the end the following:
`(7)(A) Whoever knowingly violates section 931(a) shall be fined under this title, imprisoned not more than 5 years, or both.
`(B) Whoever knowingly violates subsection (b) or (c) of section 931, shall be--

`(i) fined under this title, imprisoned not more than 2 years, or both; and

`(ii) in the case of a second or subsequent conviction, such person shall be fined under this title, imprisoned not more than 5 years, or both.
`(C) Whoever willfully violates section 931(d), shall be--

`(i) fined under this title, imprisoned not more than 2 years, or both; and

`(ii) in the case of a second or subsequent conviction, such person shall be fined under this title, imprisoned not more than 5 years, or both.
`(D) Whoever knowingly violates subsection (e) or (f) of section 931 shall be fined under this title, imprisoned not more than 5 years, or both.
`(E) In addition to any other penalties imposed under this paragraph, the Secretary may, with respect to any person who knowingly violates any provision of section 931--

`(i) if the person is registered pursuant to section 931(a), after notice and opportunity for a hearing, suspend for not more than 6 months or revoke the registration of that person under section 931(a); and

`(ii) impose a civil fine in an amount equal to not more than $10,000.'.

(3) Technical and conforming amendments: Chapter 44 of title 18, United States Code, is amended--

(A) in the chapter analysis, by adding at the end the following:

`931. Regulation of firearms transfers at gun shows.'; and

(B) in the first sentence of section 923(j), by striking `a gun show or event' and inserting `an event'; and
(d) Inspection Authority: Section 923(g)(1) is amended by adding at the end the following:
`(E) Notwithstanding subparagraph (B), the Secretary may enter during business hours the place of business of any gun show promoter and any place where a gun show is held for the purposes of examining the records required by sections 923 and 931 and the inventory of licensees conducting business at the gun show. Such entry and examination shall be conducted for the purposes of determining compliance with this chapter by gun show promoters and licensees conducting business at the gun show and shall not require a showing of reasonable cause or a warrant.'.
(e) Increased Penalties for Serious Recordkeeping Violations by Licensees: Section 924(a)(3) of title 18, United States Code, is amended to read as follows:
`(3)(A) Except as provided in subparagraph (B), any licensed dealer, licensed importer, licensed manufacturer, or licensed collector who knowingly makes any false statement or representation with respect to the information required by this chapter to be kept in the records of a person licensed under this chapter, or violates section 922(m) shall be fined under this title, imprisoned not more than 1 year, or both.
`(B) If the violation described in subparagraph (A) is in relation to an offense--

`(i) under paragraph (1) or (3) of section 922(b), such person shall be fined under this title, imprisoned not more than 5 years, or both; or

`(ii) under subsection (a)(6) or (d) of section 922, such person shall be fined under this title, imprisoned not more than 10 years, or both.'.
(f) Increased Penalties for Violations of Criminal Background Check Requirements:

(1) Penalties: Section 924 of title 18, United States Code, is amended--

(A) in paragraph (5), by striking `subsection (s) or (t) of section 922' and inserting `section 922(s)'; and

(B) by adding at the end the following:
`(8) Whoever knowingly violates section 922(t) shall be fined under this title, imprisoned not more than 5 years, or both.'.

(2) Elimination of certain elements of offense: Section 922(t)(5) of title 18, United States Code, is amended by striking `and, at the time' and all that follows through `State law'.
(g) Gun Owner Privacy and Prevention of Fraud and Abuse of System Information: Section 922(t)(2)(C) of title 18, United States Code, is amended by inserting before the period at the end the following: `, as soon as possible, consistent with the responsibility of the Attorney General under section 103(h) of the Brady Handgun Violence Prevention Act to ensure the privacy and security of the system and to prevent system fraud and abuse, but in no event later than 90 days after the date on which the licensee first contacts the system with respect to the transfer'.
(h) Effective Date: This section (other than subsection (i)) and the amendments made by this section shall take effect 180 days after the date of enactment of this Act.
(i) Inapplicability of Other Provisions: Notwithstanding any other provision of this Act, the provisions of the title headed `GENERAL FIREARM PROVISIONS' (as added by the amendment of Mr. Craig number 332) and the provisions of the section headed `APPLICATION OF SECTION 923(j) AND (m)' (as added by the amendment of Mr. Hatch number 344) shall be null and void.

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