S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                   1054
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 14, 2019
                                ___________
 
 Introduced by M. of A. PAULIN, RAMOS, LIFTON, ENGLEBRIGHT, L. ROSENTHAL,
   ABINANTI, COLTON, DINOWITZ, JAFFEE, STECK, SEAWRIGHT, FAHY, SCHIMMING-
   ER  --  Multi-Sponsored  by  --  M.  of  A. ARROYO, CRESPO, GOTTFRIED,
   MAGNARELLI -- read once and referred  to  the  Committee  on  Economic
   Development

 AN  ACT to amend the general business law and the penal law, in relation
   to preventing the sale of firearms, rifles, and shotguns to criminals
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Legislative findings and declaration. The legislature here-
 by finds and declares as follows:
   1. Firearms, rifles and shotguns are used to kill over 30,000 individ-
 uals in the United States every year, including 1,000 individuals in New
 York  state  alone.  Additionally,  there are 100,000 non-fatal injuries
 across the country. The federal  government  has  largely  ignored  this
 public  health  crisis and has left it up to state and local governments
 to protect its citizens. Firearm violence also costs billions of dollars
 and causes  incalculable  emotional  damage,  devastating  families  and
 communities  throughout  the country.   Therefore, the state of New York
 has a strong interest in reducing violence and crimes that  involve  the
 use  of  firearms  and the illegal trafficking of firearms. Illegal guns
 obtained throughout the state end up in the hands  of  criminals,  youth
 and violent individuals who use them to threaten, maim and kill.
   2. There is a thriving underground market for illegal firearms, large-
 ly  driven by demand from drug gangs and other criminals. A highly effi-
 cient and continuous business practice  exists  in  which  firearms  are
 moved  from  legal manufacture and sale to prohibited purchasers, making
 them illegal firearms.  According to a recent report  of  the  New  York
 state attorney general, 52,915 crime guns were recovered by law enforce-
 ment  in  New  York  between  2010-2015. Target on Trafficking, New York
 Crime Gun Analysis, October 2016 ("2016  AG  Report").  Of  these  crime
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD00636-01-9

 A. 1054                             2
 
 guns,  13,188  or 24.9% were long guns. Outside New York City, long guns
 are sold without a permit. The 2016 AG Report further found that 90%  of
 the  crime  guns recovered were recovered in seven distinct markets: New
 York  City,  the  lower  Hudson Valley (including the cities of Yonkers,
 White Plains, Newburgh and Poughkeepsie), the Capital Region  (including
 Albany,  Troy  and Schenectady), Syracuse, Rochester and Buffalo. 74% of
 the crime guns recovered were from  out  of  state.  Yet  a  significant
 portion  of  guns involved in crimes upstate originate within the state.
 For example, according to the 2016 AG Report, 41% of crime guns  in  the
 Buffalo  area  and  56%  of  crime guns in the Rochester area originated
 within New York state.
   3. Youth are particularly at risk of being killed with guns.   Accord-
 ing  to  the  Centers for Disease Control and Prevention, in 2010 alone,
 116 children and teens (under the age of 19) died from gun  violence  in
 New York state.
   4. A substantial portion of illegal firearms are diverted to the ille-
 gal  market  through  licensed gun dealers. Rogue gun dealers play a key
 role in this market. These rogue dealers  funnel  guns  to  the  illegal
 market through a variety of channels. One of the most common means is to
 allow "straw purchases". A straw purchase occurs when a person purchases
 a gun on behalf of a prohibited person.  In 2000, the Bureau of Alcohol,
 Tobacco,  Firearms,  and  Explosives (ATF) conducted an investigation of
 gun trafficking from July 1996 to December 1998 and  found  that  almost
 26,000  trafficked firearms were associated with investigations in which
 there was a straw purchaser. Almost  50%  of  all  trafficking  investi-
 gations  involved straw purchasers, with an average of 37 firearms traf-
 ficked per investigation.  Another issue, according to a 2008 report  by
 Mayors  Against Illegal Guns, Inside Straw Purchasing: How Criminals Get
 Guns Illegally, is that many traffickers return to the same store  again
 and  again  once  they  have identified it as one in which they can make
 straw purchases easily.  According to the ATF, 1% of gun dealers are the
 source of almost 60% of crime guns.
   5.  Although most gun dealers operate  their  businesses  legally  and
 responsibly, some gun dealers who are corrupt or maintain shoddy record-
 keeping  practices flood the streets with illegal weapons as a result of
 their unrestricted access to new gun inventory and the unwillingness  of
 gun  manufacturers  to  terminate  their  supply to these rogue dealers.
 Current federal and state regulation has not curbed the  business  prac-
 tice  of illegal gun dealers. According to a 2004 study by Americans for
 Gun Safety, of the 120 worst gun dealers in the  country,  namely  those
 dealers  with an average of 500 crime guns traced to them, 96 were still
 in operation.
   6. Moreover, this problem is not limited to  unlicensed  sellers,  and
 clearly  includes  federal  firearms  licensees (FFLs). Indeed, although
 FFLs were involved in under 10% of the trafficking investigations under-
 taken by ATF, they were associated with the largest number  of  diverted
 firearms--over  40,000 guns, which is nearly half of the total number of
 trafficked firearms documented during the two-year period of  the  ATF's
 investigation.    Additionally,  a 2010 report by Mayors Against Illegal
 Guns indicated that several states  which  allow  state  authorities  to
 supplement  the  federal ATF inspection with routine inspections provide
 law enforcement with more opportunities to uncover dealers in  violation
 of  the law.   These inspections also help identify dealers who exercise
 lax oversight over their inventory and may lead to  improved  compliance
 with federal, state, and local laws.

 A. 1054                             3
 
   7.  Current  state  law  governing  firearm  dealers  is inadequate to
 prevent the diversion of firearms to the  illegal  marketplace.    Addi-
 tional  protections  that  are  needed  include, but are not limited to,
 better gun dealer internal compliance procedures, programs to  eliminate
 straw  purchases, improved security measures, reducing youth access, and
 mandatory training for gun dealer employees.  The additional protections
 set forth in this act will greatly enhance the state's efforts to reduce
 criminal activity in the state.
   § 2. The general business law is amended by adding a new article 39-BB
 to read as follows:
                                ARTICLE 39-BB
                     PREVENTING THE SALE OF FIREARMS,
                     RIFLES, AND SHOTGUNS TO CRIMINALS
 SECTION 875-A. DEFINITIONS.
         875-B. REASONABLE MEASURES TO PREVENT SALES AND
                 TRANSFERS TO CRIMINALS.
         875-C. SECURITY.
         875-D. ACCESS TO FIREARMS, RIFLES, AND SHOTGUNS.
         875-E. LOCATION OF FIREARM, RIFLE, AND SHOTGUN SALES.
         875-F. EMPLOYEE TRAINING.
         875-G. MAINTENANCE OF RECORDS.
         875-H. INTERNAL COMPLIANCE AND CERTIFICATION.
         875-I. RULES AND REGULATIONS.
         875-J. VIOLATIONS.
   § 875-A. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE:
   1. "DEALER" MEANS  ANY  PERSON,  FIRM,  PARTNERSHIP,  CORPORATION,  OR
 COMPANY  WHO ENGAGES IN THE BUSINESS OF PURCHASING, SELLING, KEEPING FOR
 SALE, LENDING, LEASING, OR IN ANY  MANNER  DISPOSING  OF,  ANY  FIREARM,
 RIFLE, OR SHOTGUN.
   2.  "DISPOSE  OF"  MEANS  TO DISPOSE OF, GIVE, GIVE AWAY, LEASE, LEND,
 KEEP FOR SALE, OFFER, OFFER  FOR  SALE,  SELL,  TRANSFER,  OR  OTHERWISE
 DISPOSE OF.
   3.  "FIREARM" HAS THE SAME MEANING AS THAT TERM IS DEFINED IN SUBDIVI-
 SION THREE OF SECTION 265.00 OF THE PENAL LAW.
   4. "FIREARM EXHIBITOR" MEANS ANY  PERSON,  FIRM,  PARTNERSHIP,  CORPO-
 RATION,  OR COMPANY THAT EXHIBITS, SELLS, OFFERS FOR SALE, TRANSFERS, OR
 EXCHANGES FIREARMS, RIFLES, OR SHOTGUNS AT A GUN SHOW.
   5. "RETAIL DEALER" MEANS ANY DEALER ENGAGED IN THE RETAIL BUSINESS  OF
 SELLING FIREARMS, RIFLES, OR SHOTGUNS.
   6. "RIFLE" HAS THE SAME MEANING AS THAT TERM IS DEFINED IN SUBDIVISION
 ELEVEN OF SECTION 265.00 OF THE PENAL LAW.
   7.  "SHOTGUN" HAS THE SAME MEANING AS THAT TERM IS DEFINED IN SUBDIVI-
 SION TWELVE OF SECTION 265.00 OF THE PENAL LAW.
   8. "STRAW PURCHASE" MEANS THE PURCHASE, OR ATTEMPT TO PURCHASE,  BY  A
 PERSON OF A FIREARM, RIFLE, OR SHOTGUN FOR, ON BEHALF OF, OR FOR THE USE
 OF  ANOTHER  PERSON,  KNOWING  THAT  IT WOULD BE UNLAWFUL FOR SUCH OTHER
 PERSON TO POSSESS SUCH FIREARM, RIFLE, OR SHOTGUN, OR AN ATTEMPT TO MAKE
 SUCH A PURCHASE.
   9. "STRAW PURCHASER" MEANS A PERSON WHO,  KNOWING  THAT  IT  WOULD  BE
 UNLAWFUL  FOR  ANOTHER  PERSON  TO POSSESS A FIREARM, RIFLE, OR SHOTGUN,
 PURCHASES OR ATTEMPTS TO PURCHASE A FIREARM, RIFLE, OR SHOTGUN  FOR,  ON
 BEHALF OF, OR FOR THE USE OF SUCH OTHER PERSON.
   10. "SUPERINTENDENT" MEANS THE SUPERINTENDENT OF STATE POLICE.
   §  875-B. REASONABLE MEASURES TO PREVENT SALES AND TRANSFERS TO CRIMI-
 NALS.  EVERY DEALER SHALL ADOPT REASONABLE MEASURES TO PREVENT FIREARMS,
 RIFLES, AND SHOTGUNS FROM  BEING  DIVERTED  FROM  THE  LEGAL  STREAM  OF

 A. 1054                             4
 
 COMMERCE,  INTENTIONALLY  OR  OTHERWISE,  FOR  LATER  SALE, TRANSFER, OR
 DISPOSAL TO INDIVIDUALS NOT LEGALLY ENTITLED TO PURCHASE OR POSSESS SUCH
 WEAPONS. SUCH MEASURES SHALL  INCLUDE,  BUT  NEED  NOT  BE  LIMITED  TO,
 PROGRAMS  TO ELIMINATE SALES TO STRAW PURCHASERS AND TO OTHERWISE THWART
 ILLEGAL GUN  TRAFFICKING.  THE  SUPERINTENDENT  SHALL  DEVELOP  PROGRAMS
 DESIGNED  TO ELIMINATE SALES TO STRAW PURCHASERS AND TO OTHERWISE THWART
 ILLEGAL GUN TRAFFICKING. WITHIN SIX MONTHS OF THE EFFECTIVE DATE OF THIS
 ARTICLE, THE SUPERINTENDENT SHALL SUBMIT A  REPORT  TO  THE  LEGISLATURE
 DETAILING SUCH PROGRAMS, INCLUDING ESTABLISHING MINIMUM REQUIREMENTS FOR
 SUCH PROGRAMS.
   §  875-C.  SECURITY.  EVERY DEALER SHALL IMPLEMENT A SECURITY PLAN FOR
 SECURING FIREARMS, RIFLES AND SHOTGUNS, INCLUDING FIREARMS,  RIFLES  AND
 SHOTGUNS  IN  SHIPMENT.  THE  PLAN  MUST  SATISFY AT LEAST THE FOLLOWING
 REQUIREMENTS:
   1. DISPLAY CASES SHALL BE LOCKED AT ALL TIMES EXCEPT WHEN  REMOVING  A
 SINGLE FIREARM, RIFLE OR SHOTGUN TO SHOW A CUSTOMER, AND CUSTOMERS SHALL
 HANDLE FIREARMS, RIFLES OR SHOTGUNS ONLY UNDER THE DIRECT SUPERVISION OF
 AN EMPLOYEE;
   2.  ALL  FIREARMS,  RIFLES  AND  SHOTGUNS SHALL BE SECURED, OTHER THAN
 DURING BUSINESS HOURS, IN A  LOCKED  FIREPROOF  SAFE  OR  VAULT  IN  THE
 LICENSEE'S  BUSINESS  PREMISES  OR IN A SIMILAR SECURED AND LOCKED AREA;
 AND
   3. AMMUNITION SHALL BE STORED SEPARATELY FROM THE FIREARMS, RIFLES AND
 SHOTGUNS AND OUT OF REACH OF THE CUSTOMERS.
   4. (A) THE PERMITTED BUSINESS LOCATION SHALL BE SECURED  BY  AN  ALARM
 SYSTEM  THAT  IS  INSTALLED  AND MAINTAINED BY AN ALARM COMPANY OPERATOR
 PROPERLY LICENSED PURSUANT TO STATE LAW. THE ALARM SYSTEM MUST BE  MONI-
 TORED  BY  A  CENTRAL STATION LISTED BY UNDERWRITERS LABORATORIES, INC.,
 AND COVERED BY AN ACTIVE UNDERWRITERS LABORATORIES,  INC.  ALARM  SYSTEM
 CERTIFICATE WITH A #3 EXTENT OF PROTECTION.
   (B)   UNDERWRITERS   LABORATORIES,  INC.  USES  THE  TERM  "EXTENT  OF
 PROTECTION" TO REFER TO THE AMOUNT  OF  ALARM  PROTECTION  INSTALLED  TO
 PROTECT  A  PARTICULAR AREA, ROOM OR CONTAINER. SYSTEMS WITH A #3 EXTENT
 OF PROTECTION INCLUDE COMPLETE PROTECTION FOR ALL  ACCESSIBLE  OPENINGS,
 AND  PARTIAL  MOTION  AND  SOUND DETECTION AT CERTAIN OTHER AREAS OF THE
 PREMISES. MORE INFORMATION MAY BE FOUND IN: CENTRAL STATION ALARM  ASSO-
 CIATION, A PRACTICAL GUIDE TO CENTRAL STATION BURGLAR ALARM SYSTEMS (3RD
 ED. 2005).
   § 875-D. ACCESS TO FIREARMS, RIFLES, AND SHOTGUNS. EVERY RETAIL DEALER
 SHALL  EXCLUDE  ALL  PERSONS  UNDER  EIGHTEEN  YEARS  OF  AGE FROM THOSE
 PORTIONS OF ITS PREMISES WHERE FIREARMS, RIFLES, SHOTGUNS, OR AMMUNITION
 ARE STOCKED OR SOLD, UNLESS SUCH PERSON IS ACCOMPANIED BY  A  PARENT  OR
 GUARDIAN.
   §  875-E.  LOCATION OF FIREARM, RIFLE, AND SHOTGUN SALES. EVERY DEALER
 SHALL SELL OR OTHERWISE DISPOSE OF FIREARMS, RIFLES, AND  SHOTGUNS  ONLY
 AT  THE  LOCATION  LISTED ON THE DEALER'S FEDERAL FIREARMS LICENSE OR AT
 GUN SHOWS.
   § 875-F. EMPLOYEE TRAINING. EVERY RETAIL DEALER SHALL PROVIDE TRAINING
 TO ALL EMPLOYEES AND OTHER PERSONNEL  ENGAGED  IN  THE  RETAIL  SALE  OF
 FIREARMS, RIFLES, AND SHOTGUNS RELATING TO:
   1.  THE LAW GOVERNING FIREARM, RIFLE, AND SHOTGUN TRANSFERS BY FEDERAL
 FIREARMS LICENSEES AND INDIVIDUALS;
   2. HOW TO RECOGNIZE STRAW PURCHASES AND  OTHER  ATTEMPTS  TO  PURCHASE
 FIREARMS, RIFLES, OR SHOTGUNS ILLEGALLY; AND

 A. 1054                             5
 
   3.  HOW  TO  TEACH  CONSUMERS  RULES  OF GUN SAFETY, INCLUDING BUT NOT
 LIMITED TO THE SAFE HANDLING AND STORAGE OF FIREARMS, RIFLES, AND  SHOT-
 GUNS.
   NO  EMPLOYEE  OR  AGENT  OF ANY RETAIL DEALER SHALL PARTICIPATE IN THE
 SALE OR DISPOSITION OF FIREARMS, RIFLES, OR SHOTGUNS UNLESS SUCH  PERSON
 IS  AT LEAST TWENTY-ONE YEARS OF AGE AND HAS FIRST RECEIVED THE TRAINING
 REQUIRED BY THIS SECTION.  THE  SUPERINTENDENT  SHALL  PROMULGATE  REGU-
 LATIONS  SETTING  FORTH  MINIMUM  REQUIREMENTS  FOR  THE  MAINTENANCE OF
 RECORDS OF SUCH TRAINING.
   § 875-G.  MAINTENANCE OF RECORDS. EVERY  DEALER  SHALL  ESTABLISH  AND
 MAINTAIN  SUCH PURCHASE, SALE, INVENTORY, AND OTHER RECORDS AT THE DEAL-
 ER'S PLACE OF BUSINESS IN SUCH FORM AND FOR SUCH PERIOD  AS  THE  SUPER-
 INTENDENT  SHALL  REQUIRE, AND SHALL SUBMIT SUCH RECORDS TO THE NEW YORK
 STATE POLICE EVERY APRIL AND OCTOBER. SUCH RECORDS SHALL  AT  A  MINIMUM
 INCLUDE THE FOLLOWING:
   1.  EVERY  DEALER  SHALL RECORD THE MAKE, MODEL, CALIBER OR GAUGE, AND
 SERIAL NUMBER OF ALL RIFLES AND SHOTGUNS THAT ARE ACQUIRED  OR  DISPOSED
 OF  NOT  LATER THAN ONE BUSINESS DAY AFTER THEIR ACQUISITION OR DISPOSI-
 TION. MONTHLY BACKUPS OF THESE RECORDS SHALL BE MAINTAINED IN  A  SECURE
 CONTAINER DESIGNED TO PREVENT  LOSS BY FIRE, THEFT, OR OTHER MISHAP;
   2.  ALL  RIFLES  AND SHOTGUNS ACQUIRED BUT NOT YET DISPOSED OF MUST BE
 ACCOUNTED FOR THROUGH AN INVENTORY CHECK PREPARED ONCE  EACH  MONTH  AND
 MAINTAINED IN A SECURE LOCATION;
   3.  RIFLE  AND SHOTGUN SALES INFORMATION, INCLUDING THE SERIAL NUMBERS
 OF RIFLES AND SHOTGUNS SOLD, DATES OF SALE, AND IDENTITY OF  PURCHASERS,
 SHALL  BE  MAINTAINED  AND  MADE AVAILABLE TO GOVERNMENT LAW ENFORCEMENT
 AGENCIES AND TO THE MANUFACTURER OF THE WEAPON OR ITS DESIGNEE; AND
   4. EVERY DEALER SHALL MAINTAIN RECORDS OF CRIMINAL RIFLE  AND  SHOTGUN
 TRACES INITIATED BY THE FEDERAL BUREAU OF ALCOHOL, TOBACCO, FIREARMS AND
 EXPLOSIVES  ("ATF").  ALL  ATF  FORM  4473  TRANSACTION RECORDS SHALL BE
 RETAINED ON  THE  DEALER'S  BUSINESS  PREMISES  IN  A  SECURE  CONTAINER
 DESIGNED TO PREVENT LOSS BY FIRE, THEFT, OR OTHER MISHAP.
   § 875-H. INTERNAL COMPLIANCE AND CERTIFICATION. 1. EVERY DEALER SHALL:
   (A)  IMPLEMENT  AND MAINTAIN SUFFICIENT INTERNAL COMPLIANCE PROCEDURES
 TO ENSURE COMPLIANCE WITH THE  REQUIREMENTS  OF  THIS  ARTICLE  AND  ALL
 APPLICABLE  FEDERAL, STATE, AND LOCAL LAWS AND REGULATIONS GOVERNING THE
 SALE, TRANSFER, AND DISPOSAL OF FIREARMS, RIFLES, AND SHOTGUNS; AND
   (B) ANNUALLY CERTIFY  TO  THE  SUPERINTENDENT  THAT  SUCH  DEALER  HAS
 COMPLIED  WITH  ALL OF THE REQUIREMENTS OF THIS ARTICLE. THE SUPERINTEN-
 DENT SHALL BY REGULATION DETERMINE THE FORM AND CONTENT OF  SUCH  ANNUAL
 CERTIFICATION.
   2.  THE  SUPERINTENDENT  OF  STATE POLICE SHALL PROMULGATE REGULATIONS
 ESTABLISHING PERIODIC INSPECTIONS, DURING  REGULAR  AND  USUAL  BUSINESS
 HOURS,  BY  THE DIVISION OF STATE POLICE OF THE PREMISES OF EVERY DEALER
 TO DETERMINE COMPLIANCE BY SUCH DEALER WITH  THE  REQUIREMENTS  OF  THIS
 ARTICLE.  EVERY  DEALER  SHALL PROVIDE THE DIVISION OF STATE POLICE WITH
 FULL ACCESS TO SUCH DEALER'S PREMISES FOR SUCH INSPECTIONS.
   § 875-I. RULES AND REGULATIONS. THE SUPERINTENDENT MAY PROMULGATE SUCH
 ADDITIONAL RULES AND REGULATIONS AS THE SUPERINTENDENT SHALL DEEM NECES-
 SARY TO PREVENT FIREARMS, RIFLES, AND SHOTGUNS FROM BEING DIVERTED  FROM
 THE LEGAL STREAM OF COMMERCE.
   §  875-J.  VIOLATIONS.  ANY PERSON, FIRM, OR CORPORATION WHO KNOWINGLY
 VIOLATES ANY PROVISION OF THIS ARTICLE SHALL BE  GUILTY  OF  A  CLASS  A
 MISDEMEANOR  PUNISHABLE  AS  PROVIDED FOR IN THE PENAL LAW, AND SHALL BE
 GUILTY OF A CLASS E FELONY FOR A SECOND VIOLATION OCCURRING WITHIN  FIVE

 A. 1054                             6
 
 YEARS  OF  A  PRIOR  CONVICTION FOR A VIOLATION OF ANY PROVISION OF THIS
 ARTICLE.
   §  3.  Subdivision 1 of section 400.00 of the penal law, as amended by
 chapter 1 of the laws of 2013, paragraph (c) as amended by chapter 60 of
 the laws of 2018, is amended to read as follows:
   1. Eligibility. No license shall be issued or renewed pursuant to this
 section except by the licensing officer, and then  only  after  investi-
 gation  and  finding  that  all statements in a proper application for a
 license are true. No license shall be issued or renewed  except  for  an
 applicant  (a) twenty-one years of age or older, provided, however, that
 where such applicant has  been  honorably  discharged  from  the  United
 States  army,  navy,  marine  corps,  air  force  or coast guard, or the
 national guard of the state of New York, no such age  restriction  shall
 apply;  (b)  of  good  moral  character;  (c) who has not been convicted
 anywhere of a felony or a serious offense or who is not the  subject  of
 an outstanding warrant of arrest issued upon the alleged commission of a
 felony  or  serious offense; (d) who is not a fugitive from justice; (e)
 who is not an unlawful user of or addicted to any  controlled  substance
 as  defined  in section 21 U.S.C. 802; (f) who being an alien (i) is not
 illegally or unlawfully in the United States or (ii) has not been admit-
 ted to the United States under a nonimmigrant visa subject to the excep-
 tion in 18 U.S.C. 922(y)(2); (g) who has not been  discharged  from  the
 Armed Forces under dishonorable conditions; (h) who, having been a citi-
 zen  of the United States, has not renounced his or her citizenship; (i)
 who has stated whether he or she has ever suffered any  mental  illness;
 (j)  who  has  not  been involuntarily committed to a facility under the
 jurisdiction of an office of the department of mental  hygiene  pursuant
 to  article  nine  or  fifteen  of the mental hygiene law, article seven
 hundred thirty or section 330.20 of the criminal procedure law,  section
 four  hundred  two  or five hundred eight of the correction law, section
 322.2 or 353.4 of the family court act, or has not been civilly confined
 in a secure treatment facility pursuant to article  ten  of  the  mental
 hygiene law; (k) who has not had a license revoked or who is not under a
 suspension  or  ineligibility order issued pursuant to the provisions of
 section 530.14 of the criminal procedure law or  section  eight  hundred
 forty-two-a  of  the family court act; (l) in the county of Westchester,
 who has successfully completed a firearms  safety  course  and  test  as
 evidenced  by  a certificate of completion issued in his or her name and
 endorsed and affirmed under the penalties of perjury by a  duly  author-
 ized  instructor,  except that: (i) persons who are honorably discharged
 from the United States army, navy, marine corps or coast  guard,  or  of
 the  national  guard  of  the state of New York, and produce evidence of
 official qualification in firearms during the term of  service  are  not
 required  to  have  completed  those  hours  of a firearms safety course
 pertaining to the safe use, carrying, possession, maintenance and  stor-
 age of a firearm; and (ii) persons who were licensed to possess a pistol
 or  revolver  prior  to  the  effective  date  of this paragraph are not
 required to have completed a firearms safety course and  test;  (m)  who
 has  not  had  a  guardian  appointed  for  him  or  her pursuant to any
 provision of state law, based on a determination that  as  a  result  of
 marked  subnormal intelligence, mental illness, incapacity, condition or
 disease, he or she lacks the mental capacity to contract or  manage  his
 or her own affairs; and (n) concerning whom no good cause exists for the
 denial  of  the  license.  No  person  shall  engage  in the business of
 gunsmith or dealer in firearms unless licensed pursuant to this section,
 AND NO PERSON SHALL ENGAGE IN THE BUSINESS OF DEALER IN FIREARMS  UNLESS

 A. 1054                             7
 
 SUCH  PERSON  COMPLIES  WITH THE PROVISIONS OF ARTICLE THIRTY-NINE-BB OF
 THE GENERAL BUSINESS LAW.  An applicant to engage in such business shall
 also be a citizen of the United States, more than  twenty-one  years  of
 age  and  maintain  a  place of business in the city or county where the
 license is issued. For such business, if the  applicant  is  a  firm  or
 partnership,  each  member thereof shall comply with all of the require-
 ments set forth in this subdivision and if the  applicant  is  a  corpo-
 ration, each officer thereof shall so comply.
   §  4.  Subdivisions  11  and 12 of section 400.00 of the penal law, as
 amended by chapter 1 of the  laws  of  2013,  are  amended  to  read  as
 follows:
   11. License: revocation and suspension. (a) The conviction of a licen-
 see  anywhere  of  a felony or serious offense or a licensee at any time
 becoming ineligible to obtain a license under this section shall operate
 as a revocation of the license. A license may be revoked or suspended as
 provided for in section 530.14 of the criminal procedure law or  section
 eight  hundred forty-two-a of the family court act. Except for a license
 issued pursuant to section 400.01 of this  article,  a  license  may  be
 revoked  and  cancelled  at any time in the city of New York, and in the
 counties of Nassau and Suffolk, by the licensing officer, and  elsewhere
 than  in  the  city  of  New  York by any judge or justice of a court of
 record; a license issued pursuant to section 400.01 of this article  may
 be  revoked  and  cancelled  at any time by the licensing officer or any
 judge or justice of a court of record.  A LICENSE TO ENGAGE IN THE BUSI-
 NESS OF DEALER MAY BE REVOKED OR SUSPENDED  FOR  ANY  VIOLATION  OF  THE
 PROVISIONS  OF  ARTICLE  THIRTY-NINE-BB OF THE GENERAL BUSINESS LAW. The
 official revoking a license shall give written  notice  thereof  without
 unnecessary delay to the executive department, division of state police,
 Albany,  and  shall  also notify immediately the duly constituted police
 authorities of the locality.
   (b) Whenever the director of community services or his or her designee
 makes a report pursuant to section 9.46 of the mental hygiene  law,  the
 division  of  criminal  justice  services shall convey such information,
 whenever it determines that the person named in the report  possesses  a
 license  issued  pursuant  to this section, to the appropriate licensing
 official, who shall issue an order suspending or revoking such license.
   (c) In any instance in  which  a  person's  license  is  suspended  or
 revoked  under  paragraph  (a)  or  (b) of this subdivision, such person
 shall surrender such license to the appropriate licensing  official  and
 any  and  all  firearms,  rifles, or shotguns owned or possessed by such
 person shall be surrendered to an appropriate law enforcement agency  as
 provided  in  subparagraph  (f)  of  paragraph  one  of subdivision a of
 section 265.20 of this chapter. In  the  event  such  license,  firearm,
 shotgun,  or  rifle  is not surrendered, such items shall be removed and
 declared a nuisance and any  police  officer  or  peace  officer  acting
 pursuant  to  his  or her special duties is authorized to remove any and
 all such weapons.
   12. Records required of gunsmiths and dealers in  firearms.  [Any]  IN
 ADDITION  TO THE REQUIREMENTS SET FORTH IN ARTICLE THIRTY-NINE-BB OF THE
 GENERAL BUSINESS LAW, ANY person  licensed  as  gunsmith  or  dealer  in
 firearms  shall  keep  a  record book approved as to form, except in the
 city of New York, by the superintendent of state police. In  the  record
 book  shall  be  entered  at  the  time of every transaction involving a
 firearm the date, name, age, occupation and residence of any person from
 whom a firearm is received or to whom a firearm is  delivered,  and  the
 calibre, make, model, manufacturer's name and serial number, or if none,

 A. 1054                             8
 
 any  other distinguishing number or identification mark on such firearm.
 Before delivering a firearm to any person, the  licensee  shall  require
 him  to  produce  either  a license valid under this section to carry or
 possess  the  same,  or  proof  of  lawful authority as an exempt person
 pursuant to section 265.20 OF THIS CHAPTER. In addition, before deliver-
 ing a firearm to  a  peace  officer,  the  licensee  shall  verify  that
 person's  status  as  a peace officer with the division of state police.
 After completing the foregoing, the licensee shall remove and retain the
 attached coupon and enter in the record book the date of  such  license,
 number,  if  any,  and name of the licensing officer, in the case of the
 holder of a license to carry or possess, or the shield or other  number,
 if  any,  assignment  and  department, unit or agency, in the case of an
 exempt person. The original transaction report shall be forwarded to the
 division of state police within ten days of delivering a firearm to  any
 person,  and  a duplicate copy shall be kept by the licensee. The super-
 intendent of state police  may  designate  that  such  record  shall  be
 completed  and transmitted in electronic form. A dealer may be granted a
 waiver from transmitting such records in electronic form if  the  super-
 intendent  determines that such dealer is incapable of such transmission
 due to technological limitations that  are  not  reasonably  within  the
 control  of  the dealer, or other exceptional circumstances demonstrated
 by the dealer, pursuant to a process established in regulation,  and  at
 the discretion of the superintendent. Records assembled or collected for
 purposes of inclusion in the database created pursuant to section 400.02
 of  this  article shall not be subject to disclosure pursuant to article
 six of the public officers law. The record book shall be  maintained  on
 the premises mentioned and described in the license and shall be open at
 all  reasonable hours for inspection by any peace officer, acting pursu-
 ant to his special duties, or police officer. In the event of  cancella-
 tion or revocation of the license for gunsmith or dealer in firearms, or
 discontinuance  of  business  by  a  licensee, such record book shall be
 immediately surrendered to the licensing officer  in  the  city  of  New
 York,  and  in  the counties of Nassau and Suffolk, and elsewhere in the
 state to the executive department, division of state police.
   § 5. Severability. If any clause, sentence, paragraph, section or part
 of this act shall be adjudged by any court of competent jurisdiction  to
 be  invalid,  such  judgment  shall not affect, impair or invalidate the
 remainder thereof, but shall be confined in its operation to the clause,
 sentence, paragraph, section or part thereof directly  involved  in  the
 controversy in which such judgment shall have been rendered.
   §  6.  This  act shall take effect on the ninetieth day after it shall
 have become a law; provided that the superintendent of the  division  of
 state police is authorized and directed to immediately adopt, amend, and
 promulgate  such rules and regulations as may be necessary and desirable
 to effectuate the purposes of section two of this act.

                            
 
                     S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  1054--A
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                             January 14, 2019
                                ___________
 
 Introduced by M. of A. PAULIN, RAMOS, LIFTON, ENGLEBRIGHT, L. ROSENTHAL,
   ABINANTI, COLTON, DINOWITZ, JAFFEE, STECK, SEAWRIGHT, FAHY, SCHIMMING-
   ER,  SIMOTAS  --  Multi-Sponsored by -- M. of A. ARROYO, CRESPO, GOTT-
   FRIED, MAGNARELLI -- read  once  and  referred  to  the  Committee  on
   Economic  Development  --  committee discharged, bill amended, ordered
   reprinted as amended and recommitted to said committee
 
 AN ACT to amend the general business law and the penal law, in  relation
   to preventing the sale of firearms, rifles, and shotguns to criminals
 
   THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section 1. Legislative findings and declaration. The legislature here-
 by finds and declares as follows:
   1. Firearms, rifles and shotguns are used to kill over 30,000 individ-
 uals in the United States every year, including 1,000 individuals in New
 York state alone. Additionally, there  are  100,000  non-fatal  injuries
 across  the  country.  The  federal  government has largely ignored this
 public health crisis and has left it up to state and  local  governments
 to protect its citizens. Firearm violence also costs billions of dollars
 and  causes  incalculable  emotional  damage,  devastating  families and
 communities throughout the country.  Therefore, the state  of  New  York
 has  a  strong interest in reducing violence and crimes that involve the
 use of firearms and the illegal trafficking of  firearms.  Illegal  guns
 obtained  throughout  the  state end up in the hands of criminals, youth
 and violent individuals who use them to threaten, maim and kill.
   2. There is a thriving underground market for illegal firearms, large-
 ly driven by demand from drug gangs and other criminals. A highly  effi-
 cient  and  continuous  business  practice  exists in which firearms are
 moved from legal manufacture and sale to prohibited  purchasers,  making
 them  illegal  firearms.    According to a recent report of the New York
 state attorney general, 52,915 crime guns were recovered by law enforce-
 ment in New York between 2010-2015.  Target  on  Trafficking,  New  York
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD00636-03-9

 A. 1054--A                          2
 
 Crime  Gun  Analysis,  October  2016  ("2016 AG Report"). Of these crime
 guns, 13,188 or 24.9% were long guns. Outside New York City,  long  guns
 are  sold without a permit. The 2016 AG Report further found that 90% of
 the  crime  guns recovered were recovered in seven distinct markets: New
 York City, the lower Hudson Valley (including  the  cities  of  Yonkers,
 White  Plains, Newburgh and Poughkeepsie), the Capital Region (including
 Albany, Troy and Schenectady), Syracuse, Rochester and Buffalo.  74%  of
 the  crime  guns  recovered  were  from  out of state. Yet a significant
 portion of guns involved in crimes upstate originate within  the  state.
 For  example,  according to the 2016 AG Report, 41% of crime guns in the
 Buffalo area and 56% of crime guns  in  the  Rochester  area  originated
 within New York state.
   3.  Youth are particularly at risk of being killed with guns.  Accord-
 ing to the Centers for Disease Control and Prevention,  in  2010  alone,
 116  children  and teens (under the age of 19) died from gun violence in
 New York state.
   4. A substantial portion of illegal firearms are diverted to the ille-
 gal market through licensed gun dealers. Rogue gun dealers  play  a  key
 role  in  this  market.  These  rogue dealers funnel guns to the illegal
 market through a variety of channels. One of the most common means is to
 allow "straw purchases". A straw purchase occurs when a person purchases
 a gun on behalf of a prohibited person.  In 2000, the Bureau of Alcohol,
 Tobacco, Firearms, and Explosives (ATF) conducted  an  investigation  of
 gun  trafficking  from  July 1996 to December 1998 and found that almost
 26,000 trafficked firearms were associated with investigations in  which
 there  was  a  straw  purchaser.  Almost 50% of all trafficking investi-
 gations involved straw purchasers, with an average of 37 firearms  traf-
 ficked  per investigation.  Another issue, according to a 2008 report by
 Mayors Against Illegal Guns, Inside Straw Purchasing: How Criminals  Get
 Guns  Illegally, is that many traffickers return to the same store again
 and again once they have identified it as one in  which  they  can  make
 straw purchases easily.  According to the ATF, 1% of gun dealers are the
 source of almost 60% of crime guns.
   5.    Although  most  gun dealers operate their businesses legally and
 responsibly, some gun dealers who are corrupt or maintain shoddy record-
 keeping practices flood the streets with illegal weapons as a result  of
 their  unrestricted access to new gun inventory and the unwillingness of
 gun manufacturers to terminate their  supply  to  these  rogue  dealers.
 Current  federal  and state regulation has not curbed the business prac-
 tice of illegal gun dealers. According to a 2004 study by Americans  for
 Gun  Safety,  of  the 120 worst gun dealers in the country, namely those
 dealers with an average of 500 crime guns traced to them, 96 were  still
 in operation.
   6.  Moreover,  this  problem is not limited to unlicensed sellers, and
 clearly includes federal firearms  licensees  (FFLs).  Indeed,  although
 FFLs were involved in under 10% of the trafficking investigations under-
 taken  by  ATF, they were associated with the largest number of diverted
 firearms--over 40,000 guns, which is nearly half of the total number  of
 trafficked  firearms  documented during the two-year period of the ATF's
 investigation.  Additionally, a 2010 report by  Mayors  Against  Illegal
 Guns  indicated  that  several  states  which allow state authorities to
 supplement the federal ATF inspection with routine  inspections  provide
 law  enforcement with more opportunities to uncover dealers in violation
 of the law.  These inspections also help identify dealers  who  exercise
 lax  oversight  over their inventory and may lead to improved compliance
 with federal, state, and local laws.

 A. 1054--A                          3

   7. Current state  law  governing  firearm  dealers  is  inadequate  to
 prevent  the  diversion  of  firearms to the illegal marketplace.  Addi-
 tional protections that are needed include,  but  are  not  limited  to,
 better  gun dealer internal compliance procedures, programs to eliminate
 straw  purchases, improved security measures, reducing youth access, and
 mandatory training for gun dealer employees.  The additional protections
 set forth in this act will greatly enhance the state's efforts to reduce
 criminal activity in the state.
   § 2. The general business law is amended by adding a new article 39-BB
 to read as follows:
                                ARTICLE 39-BB
                     PREVENTING THE SALE OF FIREARMS,
                     RIFLES, AND SHOTGUNS TO CRIMINALS
 SECTION 875-A. DEFINITIONS.
         875-B. REASONABLE MEASURES TO PREVENT SALES AND
                 TRANSFERS TO CRIMINALS.
         875-C. SECURITY.
         875-D. ACCESS TO FIREARMS, RIFLES, AND SHOTGUNS.
         875-E. LOCATION OF FIREARM, RIFLE, AND SHOTGUN SALES.
         875-F. EMPLOYEE TRAINING.
         875-G. MAINTENANCE OF RECORDS.
         875-H. INTERNAL COMPLIANCE AND CERTIFICATION.
         875-I. RULES AND REGULATIONS.
         875-J. VIOLATIONS.
   § 875-A. DEFINITIONS. FOR THE PURPOSES OF THIS ARTICLE:
   1. "DEALER" MEANS  ANY  PERSON,  FIRM,  PARTNERSHIP,  CORPORATION,  OR
 COMPANY  WHO ENGAGES IN THE BUSINESS OF PURCHASING, SELLING, KEEPING FOR
 SALE, LENDING, LEASING, OR IN ANY  MANNER  DISPOSING  OF,  ANY  FIREARM,
 RIFLE, OR SHOTGUN.
   2.  "DISPOSE  OF"  MEANS  TO DISPOSE OF, GIVE, GIVE AWAY, LEASE, LEND,
 KEEP FOR SALE, OFFER, OFFER  FOR  SALE,  SELL,  TRANSFER,  OR  OTHERWISE
 DISPOSE OF.
   3.  "FIREARM" HAS THE SAME MEANING AS THAT TERM IS DEFINED IN SUBDIVI-
 SION THREE OF SECTION 265.00 OF THE PENAL LAW.
   4. "FIREARM EXHIBITOR" MEANS ANY  PERSON,  FIRM,  PARTNERSHIP,  CORPO-
 RATION,  OR COMPANY THAT EXHIBITS, SELLS, OFFERS FOR SALE, TRANSFERS, OR
 EXCHANGES FIREARMS, RIFLES, OR SHOTGUNS AT A GUN SHOW.
   5. "RETAIL DEALER" MEANS ANY DEALER ENGAGED IN THE RETAIL BUSINESS  OF
 SELLING FIREARMS, RIFLES, OR SHOTGUNS.
   6. "RIFLE" HAS THE SAME MEANING AS THAT TERM IS DEFINED IN SUBDIVISION
 ELEVEN OF SECTION 265.00 OF THE PENAL LAW.
   7.  "SHOTGUN" HAS THE SAME MEANING AS THAT TERM IS DEFINED IN SUBDIVI-
 SION TWELVE OF SECTION 265.00 OF THE PENAL LAW.
   8. "STRAW PURCHASE" MEANS THE PURCHASE, OR ATTEMPT TO PURCHASE,  BY  A
 PERSON  OF A FIREARM, RIFLE, SHOTGUN OR AMMUNITION FOR, ON BEHALF OF, OR
 FOR THE USE OF ANOTHER PERSON, KNOWING THAT IT  WOULD  BE  UNLAWFUL  FOR
 SUCH OTHER PERSON TO POSSESS SUCH FIREARM, RIFLE, SHOTGUN OR AMMUNITION,
 OR AN ATTEMPT TO MAKE SUCH A PURCHASE.
   9.  "STRAW  PURCHASER"  MEANS  A  PERSON WHO, KNOWING THAT IT WOULD BE
 UNLAWFUL FOR ANOTHER PERSON TO POSSESS  A  FIREARM,  RIFLE,  SHOTGUN  OR
 AMMUNITION,  PURCHASES OR ATTEMPTS TO PURCHASE A FIREARM, RIFLE, SHOTGUN
 OR AMMUNITION FOR, ON BEHALF OF, OR FOR THE USE OF SUCH OTHER PERSON.
   10. "SUPERINTENDENT" MEANS THE SUPERINTENDENT OF STATE POLICE.
   § 875-B. REASONABLE MEASURES TO PREVENT SALES AND TRANSFERS TO  CRIMI-
 NALS.  EVERY DEALER SHALL ADOPT REASONABLE MEASURES TO PREVENT FIREARMS,
 RIFLES,  AND  SHOTGUNS  FROM  BEING  DIVERTED  FROM  THE LEGAL STREAM OF

 A. 1054--A                          4
 
 COMMERCE, INTENTIONALLY OR  OTHERWISE,  FOR  LATER  SALE,  TRANSFER,  OR
 DISPOSAL TO INDIVIDUALS NOT LEGALLY ENTITLED TO PURCHASE OR POSSESS SUCH
 WEAPONS.  SUCH  MEASURES  SHALL  INCLUDE,  BUT  NEED  NOT BE LIMITED TO,
 PROGRAMS  TO ELIMINATE SALES TO STRAW PURCHASERS AND TO OTHERWISE THWART
 ILLEGAL GUN  TRAFFICKING.  THE  SUPERINTENDENT  SHALL  DEVELOP  PROGRAMS
 DESIGNED  TO ELIMINATE SALES TO STRAW PURCHASERS AND TO OTHERWISE THWART
 ILLEGAL GUN TRAFFICKING. WITHIN SIX MONTHS OF THE EFFECTIVE DATE OF THIS
 ARTICLE, THE SUPERINTENDENT SHALL SUBMIT A  REPORT  TO  THE  LEGISLATURE
 DETAILING SUCH PROGRAMS, INCLUDING ESTABLISHING MINIMUM REQUIREMENTS FOR
 SUCH PROGRAMS.
   §  875-C.  SECURITY. 1.   EVERY DEALER SHALL IMPLEMENT A SECURITY PLAN
 FOR SECURING FIREARMS, RIFLES AND SHOTGUNS, INCLUDING  FIREARMS,  RIFLES
 AND  SHOTGUNS  IN SHIPMENT. THE PLAN MUST SATISFY AT LEAST THE FOLLOWING
 REQUIREMENTS:
   (A) DISPLAY CASES SHALL BE LOCKED AT ALL TIMES EXCEPT WHEN REMOVING  A
 SINGLE FIREARM, RIFLE OR SHOTGUN TO SHOW A CUSTOMER, AND CUSTOMERS SHALL
 HANDLE FIREARMS, RIFLES OR SHOTGUNS ONLY UNDER THE DIRECT SUPERVISION OF
 AN EMPLOYEE;
   (B)  ALL  FIREARMS,  RIFLES  AND SHOTGUNS SHALL BE SECURED, OTHER THAN
 DURING BUSINESS HOURS, IN A  LOCKED  FIREPROOF  SAFE  OR  VAULT  IN  THE
 LICENSEE'S  BUSINESS  PREMISES  OR IN A SIMILAR SECURED AND LOCKED AREA;
 AND
   (C) AMMUNITION SHALL BE STORED SEPARATELY FROM  THE  FIREARMS,  RIFLES
 AND SHOTGUNS AND OUT OF REACH OF THE CUSTOMERS.
   2.  (A)  THE  PERMITTED BUSINESS LOCATION SHALL BE SECURED BY AN ALARM
 SYSTEM THAT IS INSTALLED AND MAINTAINED BY  AN  ALARM  COMPANY  OPERATOR
 PROPERLY  LICENSED PURSUANT TO STATE LAW. THE ALARM SYSTEM MUST BE MONI-
 TORED BY A CENTRAL STATION LISTED BY  UNDERWRITERS  LABORATORIES,  INC.,
 AND  COVERED  BY  AN ACTIVE UNDERWRITERS LABORATORIES, INC. ALARM SYSTEM
 CERTIFICATE WITH A #3 EXTENT OF PROTECTION.
   (B)  UNDERWRITERS  LABORATORIES,  INC.  USES  THE  TERM   "EXTENT   OF
 PROTECTION"  TO  REFER  TO  THE  AMOUNT OF ALARM PROTECTION INSTALLED TO
 PROTECT A PARTICULAR AREA, ROOM OR CONTAINER. SYSTEMS WITH A  #3  EXTENT
 OF  PROTECTION  INCLUDE COMPLETE PROTECTION FOR ALL ACCESSIBLE OPENINGS,
 AND PARTIAL MOTION AND SOUND DETECTION AT CERTAIN  OTHER  AREAS  OF  THE
 PREMISES.  MORE INFORMATION MAY BE FOUND IN: CENTRAL STATION ALARM ASSO-
 CIATION, A PRACTICAL GUIDE TO CENTRAL STATION BURGLAR ALARM SYSTEMS (3RD
 ED. 2005).
   § 875-D. ACCESS TO FIREARMS, RIFLES, AND SHOTGUNS. EVERY RETAIL DEALER
 SHALL EXCLUDE ALL  PERSONS  UNDER  EIGHTEEN  YEARS  OF  AGE  FROM  THOSE
 PORTIONS OF ITS PREMISES WHERE FIREARMS, RIFLES, SHOTGUNS, OR AMMUNITION
 ARE  STOCKED  OR  SOLD, UNLESS SUCH PERSON IS ACCOMPANIED BY A PARENT OR
 GUARDIAN.
   § 875-E. LOCATION OF FIREARM, RIFLE, AND SHOTGUN SALES.  EVERY  DEALER
 SHALL  SELL  OR OTHERWISE DISPOSE OF FIREARMS, RIFLES, AND SHOTGUNS ONLY
 AT THE LOCATION LISTED ON THE DEALER'S FEDERAL FIREARMS  LICENSE  OR  AT
 GUN SHOWS.
   § 875-F. EMPLOYEE TRAINING. EVERY RETAIL DEALER SHALL PROVIDE TRAINING
 TO  ALL  EMPLOYEES  AND  OTHER  PERSONNEL  ENGAGED IN THE RETAIL SALE OF
 FIREARMS, RIFLES, AND SHOTGUNS RELATING TO:
   1. THE LAW GOVERNING FIREARM, RIFLE, AND SHOTGUN TRANSFERS BY  FEDERAL
 FIREARMS LICENSEES AND INDIVIDUALS;
   2.  HOW  TO  RECOGNIZE  STRAW PURCHASES AND OTHER ATTEMPTS TO PURCHASE
 FIREARMS, RIFLES, SHOTGUNS OR AMMUNITION ILLEGALLY; AND

 A. 1054--A                          5
 
   3. HOW TO TEACH CONSUMERS RULES  OF  GUN  SAFETY,  INCLUDING  BUT  NOT
 LIMITED  TO THE SAFE HANDLING AND STORAGE OF FIREARMS, RIFLES, AND SHOT-
 GUNS.
   NO  EMPLOYEE  OR  AGENT  OF ANY RETAIL DEALER SHALL PARTICIPATE IN THE
 SALE OR DISPOSITION OF FIREARMS, RIFLES, OR SHOTGUNS UNLESS SUCH  PERSON
 IS  AT LEAST TWENTY-ONE YEARS OF AGE AND HAS FIRST RECEIVED THE TRAINING
 REQUIRED BY THIS SECTION.  THE  SUPERINTENDENT  SHALL  PROMULGATE  REGU-
 LATIONS  SETTING  FORTH  MINIMUM  REQUIREMENTS  FOR  THE  MAINTENANCE OF
 RECORDS OF SUCH TRAINING.
   § 875-G.  MAINTENANCE OF RECORDS. EVERY  DEALER  SHALL  ESTABLISH  AND
 MAINTAIN  SUCH PURCHASE, SALE, INVENTORY, AND OTHER RECORDS AT THE DEAL-
 ER'S PLACE OF BUSINESS IN SUCH FORM AND FOR SUCH PERIOD  AS  THE  SUPER-
 INTENDENT  SHALL  REQUIRE, AND SHALL SUBMIT SUCH RECORDS TO THE NEW YORK
 STATE POLICE EVERY APRIL AND OCTOBER. SUCH RECORDS SHALL  AT  A  MINIMUM
 INCLUDE THE FOLLOWING:
   1.  EVERY  DEALER  SHALL RECORD THE MAKE, MODEL, CALIBER OR GAUGE, AND
 SERIAL NUMBER OF ALL RIFLES AND SHOTGUNS THAT ARE ACQUIRED  OR  DISPOSED
 OF  NOT  LATER THAN ONE BUSINESS DAY AFTER THEIR ACQUISITION OR DISPOSI-
 TION. MONTHLY BACKUPS OF THESE RECORDS SHALL BE MAINTAINED IN  A  SECURE
 CONTAINER DESIGNED TO PREVENT  LOSS BY FIRE, THEFT, OR OTHER MISHAP;
   2.  ALL  RIFLES  AND SHOTGUNS ACQUIRED BUT NOT YET DISPOSED OF MUST BE
 ACCOUNTED FOR THROUGH AN INVENTORY CHECK PREPARED ONCE  EACH  MONTH  AND
 MAINTAINED IN A SECURE LOCATION;
   3.  RIFLE  AND SHOTGUN SALES INFORMATION, INCLUDING THE SERIAL NUMBERS
 OF RIFLES AND SHOTGUNS SOLD, DATES OF SALE, AND IDENTITY OF  PURCHASERS,
 SHALL  BE  MAINTAINED  AND  MADE AVAILABLE TO GOVERNMENT LAW ENFORCEMENT
 AGENCIES AND TO THE MANUFACTURER OF THE WEAPON OR ITS DESIGNEE; AND
   4. EVERY DEALER SHALL MAINTAIN RECORDS OF CRIMINAL RIFLE  AND  SHOTGUN
 TRACES INITIATED BY THE FEDERAL BUREAU OF ALCOHOL, TOBACCO, FIREARMS AND
 EXPLOSIVES  ("ATF").  ALL  ATF  FORM  4473  TRANSACTION RECORDS SHALL BE
 RETAINED ON  THE  DEALER'S  BUSINESS  PREMISES  IN  A  SECURE  CONTAINER
 DESIGNED TO PREVENT LOSS BY FIRE, THEFT, OR OTHER MISHAP.
   § 875-H. INTERNAL COMPLIANCE AND CERTIFICATION. 1. EVERY DEALER SHALL:
   (A)  IMPLEMENT  AND MAINTAIN SUFFICIENT INTERNAL COMPLIANCE PROCEDURES
 TO ENSURE COMPLIANCE WITH THE  REQUIREMENTS  OF  THIS  ARTICLE  AND  ALL
 APPLICABLE  FEDERAL, STATE, AND LOCAL LAWS AND REGULATIONS GOVERNING THE
 SALE, TRANSFER, AND DISPOSAL OF FIREARMS, RIFLES, AND SHOTGUNS; AND
   (B) ANNUALLY CERTIFY  TO  THE  SUPERINTENDENT  THAT  SUCH  DEALER  HAS
 COMPLIED  WITH  ALL OF THE REQUIREMENTS OF THIS ARTICLE. THE SUPERINTEN-
 DENT SHALL BY REGULATION DETERMINE THE FORM AND CONTENT OF  SUCH  ANNUAL
 CERTIFICATION.
   2.  THE SUPERINTENDENT SHALL PROMULGATE REGULATIONS ESTABLISHING PERI-
 ODIC INSPECTIONS, DURING REGULAR AND USUAL BUSINESS HOURS, BY THE  DIVI-
 SION  OF  STATE  POLICE  OF  THE  PREMISES  OF EVERY DEALER TO DETERMINE
 COMPLIANCE BY SUCH DEALER WITH THE REQUIREMENTS OF THIS  ARTICLE.  EVERY
 DEALER  SHALL  PROVIDE  THE DIVISION OF STATE POLICE WITH FULL ACCESS TO
 SUCH DEALER'S PREMISES FOR SUCH INSPECTIONS.
   § 875-I. RULES AND REGULATIONS. THE SUPERINTENDENT MAY PROMULGATE SUCH
 ADDITIONAL RULES AND REGULATIONS AS THE SUPERINTENDENT SHALL DEEM NECES-
 SARY TO PREVENT FIREARMS, RIFLES, AND SHOTGUNS FROM BEING DIVERTED  FROM
 THE LEGAL STREAM OF COMMERCE.
   §  875-J.  VIOLATIONS.  ANY PERSON, FIRM, OR CORPORATION WHO KNOWINGLY
 VIOLATES ANY PROVISION OF THIS ARTICLE SHALL BE  GUILTY  OF  A  CLASS  A
 MISDEMEANOR  PUNISHABLE  AS  PROVIDED FOR IN THE PENAL LAW, AND SHALL BE
 GUILTY OF A CLASS E FELONY FOR A SECOND VIOLATION OCCURRING WITHIN  FIVE

 A. 1054--A                          6
 
 YEARS  OF  A  PRIOR  CONVICTION FOR A VIOLATION OF ANY PROVISION OF THIS
 ARTICLE.
   §  3.  Subdivision 1 of section 400.00 of the penal law, as amended by
 chapter 1 of the laws of 2013, paragraph (c) as amended by chapter 60 of
 the laws of 2018, is amended to read as follows:
   1. Eligibility. No license shall be issued or renewed pursuant to this
 section except by the licensing officer, and then  only  after  investi-
 gation  and  finding  that  all statements in a proper application for a
 license are true. No license shall be issued or renewed  except  for  an
 applicant  (a) twenty-one years of age or older, provided, however, that
 where such applicant has  been  honorably  discharged  from  the  United
 States  army,  navy,  marine  corps,  air  force  or coast guard, or the
 national guard of the state of New York, no such age  restriction  shall
 apply;  (b)  of  good  moral  character;  (c) who has not been convicted
 anywhere of a felony or a serious offense or who is not the  subject  of
 an outstanding warrant of arrest issued upon the alleged commission of a
 felony  or  serious offense; (d) who is not a fugitive from justice; (e)
 who is not an unlawful user of or addicted to any  controlled  substance
 as  defined  in section 21 U.S.C. 802; (f) who being an alien (i) is not
 illegally or unlawfully in the United States or (ii) has not been admit-
 ted to the United States under a nonimmigrant visa subject to the excep-
 tion in 18 U.S.C. 922(y)(2); (g) who has not been  discharged  from  the
 Armed Forces under dishonorable conditions; (h) who, having been a citi-
 zen  of the United States, has not renounced his or her citizenship; (i)
 who has stated whether he or she has ever suffered any  mental  illness;
 (j)  who  has  not  been involuntarily committed to a facility under the
 jurisdiction of an office of the department of mental  hygiene  pursuant
 to  article  nine  or  fifteen  of the mental hygiene law, article seven
 hundred thirty or section 330.20 of the criminal procedure law,  section
 four  hundred  two  or five hundred eight of the correction law, section
 322.2 or 353.4 of the family court act, or has not been civilly confined
 in a secure treatment facility pursuant to article  ten  of  the  mental
 hygiene law; (k) who has not had a license revoked or who is not under a
 suspension  or  ineligibility order issued pursuant to the provisions of
 section 530.14 of the criminal procedure law or  section  eight  hundred
 forty-two-a  of  the family court act; (l) in the county of Westchester,
 who has successfully completed a firearms  safety  course  and  test  as
 evidenced  by  a certificate of completion issued in his or her name and
 endorsed and affirmed under the penalties of perjury by a  duly  author-
 ized  instructor,  except that: (i) persons who are honorably discharged
 from the United States army, navy, marine corps or coast  guard,  or  of
 the  national  guard  of  the state of New York, and produce evidence of
 official qualification in firearms during the term of  service  are  not
 required  to  have  completed  those  hours  of a firearms safety course
 pertaining to the safe use, carrying, possession, maintenance and  stor-
 age of a firearm; and (ii) persons who were licensed to possess a pistol
 or  revolver  prior  to  the  effective  date  of this paragraph are not
 required to have completed a firearms safety course and  test;  (m)  who
 has  not  had  a  guardian  appointed  for  him  or  her pursuant to any
 provision of state law, based on a determination that  as  a  result  of
 marked  subnormal intelligence, mental illness, incapacity, condition or
 disease, he or she lacks the mental capacity to contract or  manage  his
 or her own affairs; and (n) concerning whom no good cause exists for the
 denial  of  the  license.  No  person  shall  engage  in the business of
 gunsmith or dealer in firearms unless licensed pursuant to this section,
 AND NO PERSON SHALL ENGAGE IN THE BUSINESS OF DEALER IN FIREARMS  UNLESS

 A. 1054--A                          7
 
 SUCH  PERSON  COMPLIES  WITH THE PROVISIONS OF ARTICLE THIRTY-NINE-BB OF
 THE GENERAL BUSINESS LAW.  An applicant to engage in such business shall
 also be a citizen of the United States, more than  twenty-one  years  of
 age  and  maintain  a  place of business in the city or county where the
 license is issued. For such business, if the  applicant  is  a  firm  or
 partnership,  each  member thereof shall comply with all of the require-
 ments set forth in this subdivision and if the  applicant  is  a  corpo-
 ration, each officer thereof shall so comply.
   § 4. Subdivisions 11 and 12 of section 400.00 of the penal law, subdi-
 vision 11 as amended by chapter 1 of the laws of 2013 and subdivision 12
 as  amended  by  chapter 129 of the laws of 2019, are amended to read as
 follows:
   11. License: revocation and suspension. (a) The conviction of a licen-
 see anywhere of a felony or serious offense or a licensee  at  any  time
 becoming ineligible to obtain a license under this section shall operate
 as a revocation of the license. A license may be revoked or suspended as
 provided  for in section 530.14 of the criminal procedure law or section
 eight hundred forty-two-a of the family court act. Except for a  license
 issued  pursuant  to  section  400.01  of this article, a license may be
 revoked and cancelled at any time in the city of New York,  and  in  the
 counties  of Nassau and Suffolk, by the licensing officer, and elsewhere
 than in the city of New York by any judge  or  justice  of  a  court  of
 record;  a license issued pursuant to section 400.01 of this article may
 be revoked and cancelled at any time by the  licensing  officer  or  any
 judge  or justice of a court of record. A LICENSE TO ENGAGE IN THE BUSI-
 NESS OF DEALER MAY BE REVOKED OR SUSPENDED  FOR  ANY  VIOLATION  OF  THE
 PROVISIONS  OF  ARTICLE  THIRTY-NINE-BB OF THE GENERAL BUSINESS LAW. The
 official revoking a license shall give written  notice  thereof  without
 unnecessary delay to the executive department, division of state police,
 Albany,  and  shall  also notify immediately the duly constituted police
 authorities of the locality.
   (b) Whenever the director of community services or his or her designee
 makes a report pursuant to section 9.46 of the mental hygiene  law,  the
 division  of  criminal  justice  services shall convey such information,
 whenever it determines that the person named in the report  possesses  a
 license  issued  pursuant  to this section, to the appropriate licensing
 official, who shall issue an order suspending or revoking such license.
   (c) In any instance in  which  a  person's  license  is  suspended  or
 revoked  under  paragraph  (a)  or  (b) of this subdivision, such person
 shall surrender such license to the appropriate licensing  official  and
 any  and  all  firearms,  rifles, or shotguns owned or possessed by such
 person shall be surrendered to an appropriate law enforcement agency  as
 provided  in  subparagraph  (f)  of  paragraph  one  of subdivision a of
 section 265.20 of this chapter. In  the  event  such  license,  firearm,
 shotgun,  or  rifle  is not surrendered, such items shall be removed and
 declared a nuisance and any  police  officer  or  peace  officer  acting
 pursuant  to  his  or her special duties is authorized to remove any and
 all such weapons.
   12. Records required of gunsmiths and dealers in  firearms.  [Any]  IN
 ADDITION  TO THE REQUIREMENTS SET FORTH IN ARTICLE THIRTY-NINE-BB OF THE
 GENERAL BUSINESS LAW, ANY person  licensed  as  gunsmith  or  dealer  in
 firearms  shall  keep  a  record book approved as to form, except in the
 city of New York, by the superintendent of state police. In  the  record
 book  shall  be  entered  at  the  time of every transaction involving a
 firearm the date, name, age, occupation and residence of any person from
 whom a firearm is received or to whom a firearm is  delivered,  and  the

 A. 1054--A                          8
 
 calibre, make, model, manufacturer's name and serial number, or if none,
 any  other distinguishing number or identification mark on such firearm.
 Before delivering a firearm to any person, the  licensee  shall  require
 him  to  produce  either  a license valid under this section to carry or
 possess the same, or proof of  lawful  authority  as  an  exempt  person
 pursuant  to  section 265.20 of this chapter and either (a) the National
 Instant Criminal Background Check System (NICS)  or  its  successor  has
 issued a "proceed" response to the licensee, or (b) thirty calendar days
 have  elapsed  since  the date the licensee contacted NICS to initiate a
 national instant criminal background check and NICS has not notified the
 licensee that the transfer of the  firearm  to  such  person  should  be
 denied. In addition, before delivering a firearm to a peace officer, the
 licensee  shall  verify that person's status as a peace officer with the
 division of state police. After completing the foregoing,  the  licensee
 shall remove and retain the attached coupon and enter in the record book
 the  date  of  such  license,  number, if any, and name of the licensing
 officer, in the case of the holder of a license to carry or possess,  or
 the  shield  or other number, if any, assignment and department, unit or
 agency, in the case of an exempt person. The original transaction report
 shall be forwarded to the division of state police within  ten  days  of
 delivering  a  firearm to any person, and a duplicate copy shall be kept
 by the licensee. The superintendent of state police may  designate  that
 such  record  shall  be  completed and transmitted in electronic form. A
 dealer may be granted a waiver from transmitting such records  in  elec-
 tronic form if the superintendent determines that such dealer is incapa-
 ble  of  such transmission due to technological limitations that are not
 reasonably within the  control  of  the  dealer,  or  other  exceptional
 circumstances  demonstrated  by the dealer, pursuant to a process estab-
 lished in regulation, and  at  the  discretion  of  the  superintendent.
 Records assembled or collected for purposes of inclusion in the database
 created  pursuant to section 400.02 of this article shall not be subject
 to disclosure pursuant to article six of the public  officers  law.  The
 record  book shall be maintained on the premises mentioned and described
 in the license and shall be open at all reasonable hours for  inspection
 by  any  peace officer, acting pursuant to his special duties, or police
 officer. In the event of cancellation or revocation of the  license  for
 gunsmith  or  dealer  in  firearms,  or  discontinuance of business by a
 licensee, such record book  shall  be  immediately  surrendered  to  the
 licensing officer in the city of New York, and in the counties of Nassau
 and  Suffolk,  and  elsewhere  in the state to the executive department,
 division of state police.
   § 5. Severability. If any clause, sentence, paragraph, section or part
 of this act shall be adjudged by any court of competent jurisdiction  to
 be  invalid,  such  judgment  shall not affect, impair or invalidate the
 remainder thereof, but shall be confined in its operation to the clause,
 sentence, paragraph, section or part thereof directly  involved  in  the
 controversy in which such judgment shall have been rendered.
   §  6.  This  act shall take effect on the ninetieth day after it shall
 have become a law; provided that the amendments  to  subdivision  12  of
 section  400.00  of the penal law made by section four of this act shall
 take effect on the same date and in the same manner as  chapter  129  of
 the  laws  of  2019,  takes effect; and provided further that the super-
 intendent of the division of state police is authorized and directed  to
 immediately  adopt,  amend, and promulgate such rules and regulations as
 may be necessary and desirable to effectuate the purposes of section two
 of this act.