S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                    716
 
                        2019-2020 Regular Sessions
 
                           I N  A S S E M B L Y
 
                                (PREFILED)
 
                              January 9, 2019
                                ___________
 
 Introduced by M. of A. PAULIN -- read once and referred to the Committee
   on Codes
 
 AN  ACT to amend the penal law and the general business law, in relation
   to eliminating the default proceed firearm loophole
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Subdivision  12  of  section  400.00 of the penal law, as
 amended by chapter 1 of the laws of 2013, is amended to read as follows:
   12. Records required of gunsmiths and dealers in firearms. 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  superinten-
 dent 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, any other distinguishing number or iden-
 tification 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 THE NATIONAL INSTANT CRIMINAL BACKGROUND CHECK SYSTEM OR ITS SUCCES-
 SOR HAVING ISSUED A "PROCEED" RESPONSE TO THE DEALER. A  LICENSEE  SHALL
 NOT  DELIVER  A  FIREARM  TO ANY PERSON IF THE NATIONAL INSTANT CRIMINAL
 BACKGROUND CHECK SYSTEM OR ITS SUCCESSOR ISSUES A  RESPONSE  OTHER  THAN
 "PROCEED"  TO THE LICENSEE.  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
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
              

                       [ ] is old law to be omitted.
                                                            LBD01673-01-9

 A. 716                              2
 
 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 tran-
 smitted in electronic form. A dealer may be granted a waiver from trans-
 mitting such records in electronic form if the superintendent 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 super-
 intendent.  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 offi-
 cers  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 surren-
 dered to the licensing officer in the city of New York, and in the coun-
 ties of Nassau and Suffolk, and elsewhere in the state to the  executive
 department, division of state police.
   §  2.  Subdivision  1  of  section 897 of the general business law, as
 added by chapter 189 of the laws of 2000, is amended to read as follows:
   1. A national instant criminal background check shall be conducted and
 no person shall sell or transfer a firearm, rifle or shotgun  at  a  gun
 show,  except  in  accordance  with  the provisions of 18 U.S.C. 922(t),
 PROVIDED THAT BEFORE DELIVERING A  FIREARM,  RIFLE  OR  SHOTGUN  TO  ANY
 PERSON  THE  NATIONAL  INSTANT  CRIMINAL  BACKGROUND CHECK SYSTEM OR ITS
 SUCCESSOR SHALL HAVE ISSUED  A  "PROCEED"  RESPONSE  TO  THE  SELLER  OR
 TRANSFEROR. A SELLER OR TRANSFEROR SHALL NOT DELIVER A FIREARM, RIFLE OR
 SHOTGUN  TO ANY PERSON IF THE NATIONAL INSTANT CRIMINAL BACKGROUND CHECK
 SYSTEM OR ITS SUCCESSOR ISSUES A RESPONSE OTHER THAN  "PROCEED"  TO  THE
 SELLER OR TRANSFEROR.
   §  3. Subdivisions 1 and 2 of section 898 of the general business law,
 as added by chapter 1 of the laws  of  2013,  are  amended  to  read  as
 follows:
   1. In addition to any other requirements pursuant to state and federal
 law,  all  sales, exchanges or disposals of firearms, rifles or shotguns
 shall be conducted in accordance with this  section  unless  such  sale,
 exchange  or  disposal  is  conducted  by  a licensed importer, licensed
 manufacturer or licensed dealer, as those terms are defined in 18 USC  §
 922,  when such sale, exchange or disposal is conducted pursuant to that
 person's federal firearms license or such sale, exchange or disposal  is
 between  members  of  an  immediate  family.  WHEN  A  SALE, EXCHANGE OR
 DISPOSAL IS CONDUCTED PURSUANT TO A PERSON'S FEDERAL  FIREARMS  LICENSE,
 BEFORE  DELIVERING  A  FIREARM,  RIFLE  OR  SHOTGUN  TO  ANY PERSON, THE
 NATIONAL INSTANT CRIMINAL BACKGROUND CHECK SYSTEM OR ITS SUCCESSOR SHALL
 HAVE ISSUED A "PROCEED" RESPONSE TO THE  FEDERAL  FIREARMS  LICENSEE.  A
 FEDERAL  FIREARMS LICENSEE SHALL NOT DELIVER A FIREARM, RIFLE OR SHOTGUN
 TO ANY PERSON IF THE NATIONAL INSTANT CRIMINAL BACKGROUND  CHECK  SYSTEM
 OR  ITS SUCCESSOR ISSUES A RESPONSE  OTHER THAN "PROCEED" TO THE FEDERAL
 FIREARMS LICENSEE. For purposes  of  this  section,  "immediate  family"
 shall mean spouses, domestic partners, children and step-children.

 A. 716                              3
 
   2.  Before  any sale, exchange or disposal pursuant to this article, a
 national instant criminal background check must be completed by a dealer
 who consents to conduct such check, and upon completion  of  such  back-
 ground  check,  shall  complete  a  document, the form of which shall be
 approved  by  the  superintendent  of  state police, that identifies and
 confirms that such check was performed. BEFORE A DEALER WHO CONSENTS  TO
 CONDUCT A NATIONAL INSTANT CRIMINAL BACKGROUND CHECK DELIVERS A FIREARM,
 RIFLE,  OR  SHOTGUN  TO  ANY PERSON, THE NATIONAL INSTANT CRIMINAL BACK-
 GROUND CHECK SYSTEM OR ITS  SUCCESSOR  SHALL  HAVE  ISSUED  A  "PROCEED"
 RESPONSE  TO  THE DEALER. A DEALER SHALL NOT DELIVER A FIREARM, RIFLE OR
 SHOTGUN TO ANY PERSON IF THE NATIONAL INSTANT CRIMINAL BACKGROUND  CHECK
 SYSTEM  OR  ITS  SUCCESSOR ISSUES A RESPONSE OTHER THAN "PROCEED" TO THE
 FEDERAL FIREARMS LICENSEE.
   § 4. This act shall take effect on the sixtieth  day  after  it  shall
 have become a law.