Bill Text: CA SB449 | 2009-2010 | Regular Session | Amended

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Firearms: transaction reports.

Spectrum: Partisan Bill (Democrat 3-0)

Status: (Passed) 2009-10-11 - Chaptered by Secretary of State. Chapter 335, Statutes of 2009. [SB449 Detail]

Download: California-2009-SB449-Amended.html
BILL NUMBER: SB 449	AMENDED
	BILL TEXT

	AMENDED IN SENATE  APRIL 2, 2009

INTRODUCED BY   Senator Padilla
    (   Coauthor:   Senator   Hancock
  ) 
   (Coauthor: Assembly Member Torres)

                        FEBRUARY 26, 2009

   An act to amend Sections 21628 and 21628.1 of  , and to add
Section 21628.2 to,  the Business and Professions Code, and to
amend Section 12071 of the Penal Code, relating to firearms.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 449, as amended, Padilla. Firearms: transaction reports.
   Existing law requires every secondhand dealer or coin dealer, as
described, to report daily, or on the first working day after receipt
or purchase of the property, on forms either approved or provided at
actual cost by the Department of Justice, all tangible personal
property which he or she has purchased, taken in trade, taken in
pawn, accepted for sale on consignment, or accepted for auctioning,
to the chief of police or to the sheriff, as specified.  Other
existing provisions of law make a violation of these provisions a
criminal offense. 
   This bill would except firearms from those provisions. The bill
would make other conforming changes.  The bill would establish
separate reporting procedures for secondhand dealers in connection
  with firearms.  
   By establishing reporting requirements, the violation of which
would be an offense under other provisions of existing law, this bill
would impose a state-mandated local program. 
   Existing law generally regulates firearms dealers and firearms
transactions. Existing law requires that on the date of receipt, the
dealer shall report to the Department of Justice in a format
prescribed by the department the acquisition by the dealer of the
ownership of a handgun. These provisions also provide exceptions,
including the case when the firearms dealer is also licensed as a
secondhand dealer.
   This bill would delete the exception to the reporting requirement
pertaining to a firearms dealer who is also licensed as a secondhand
dealer. 
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.  
   This bill would provide that no reimbursement is required by this
act for a specified reason. 
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program:  no   yes  .


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 21628 of the Business and Professions Code is
amended to read:
   21628.  Every secondhand dealer or coin dealer described in
Section 21626 shall report daily, or on the first working day after
receipt or purchase of the property, on forms either approved or
provided at actual cost by the Department of Justice, all tangible
personal property, except firearms, which he or she has purchased,
taken in trade, taken in pawn, accepted for sale on consignment, or
accepted for auctioning, to the chief of police or to the sheriff, in
accordance with the provisions of Sections 21630 and 21633 and
subdivision (j) of this section. The report shall be legible,
prepared in English, completed where applicable, and include, but not
be limited to, the following information:
   (a) The name and current address of the intended seller or pledger
of the property.
   (b) The identification of the intended seller or pledger. The
identification of the seller or pledger of the property shall be
verified by the person taking the information. The verification shall
be valid if the person taking the information reasonably relies on
any one of the following documents, provided that the document is
currently valid or has been issued within five years and contains a
photograph or description, or both, of the person named on it, is
signed by the person, and bears a serial or other identifying number:

   (1) A passport of the United States.
   (2) A driver's license issued by any state, or Canada.
   (3) An identification card issued by any state.
   (4) An identification card issued by the United States.
   (5) A passport from any other country in addition to another item
of identification bearing an address.
   (c) A complete and reasonably accurate description of serialized
property, including, but not limited to, the following: serial number
and other identifying marks or symbols, owner-applied numbers,
manufacturer's named brand, and model name or number. Watches need
not be disassembled when special skill or special tools are required
to obtain the required information, unless specifically requested to
do so by a peace officer. A special tool does not include a penknife,
caseknife, or similar instrument and disassembling a watch with a
penknife, caseknife, or similar instrument does not constitute a
special skill. In all instances where the required information may be
obtained by removal of a watchband, then the watchband shall be
removed. The cost associated with opening the watch shall be borne by
the pawnbroker, secondhand dealer, or customer.
   (d) A complete and reasonably accurate description of
nonserialized property, including, but not limited to, the following:
size, color, material, manufacturer's pattern name (when known),
owner-applied numbers and personalized inscriptions and other
identifying marks or symbols. Watches need not be disassembled when
special skill or special tools are required to obtain the required
information, unless specifically requested to do so by a peace
officer. A special tool does not include a penknife, caseknife, or
similar instrument and disassembling a watch with a penknife,
caseknife, or similar instrument does not constitute a special skill.
In all instances where the required information may be obtained by
removal of a watchband, then the watchband shall be removed. The cost
associated with opening the watch shall be borne by the pawnbroker,
secondhand dealer, or customer.
   (e) A certification by the intended seller or pledger that he or
she is the owner of the property or has the authority of the owner to
sell or pledge the property.
   (f) A certification by the intended seller or pledger that to his
or her knowledge and belief the information is true and complete.
   (g) A legible fingerprint taken from the intended seller or
pledger, as prescribed by the Department of Justice. This requirement
does not apply to a coin dealer, unless required pursuant to local
regulation.
   (h) When a secondhand dealer complies with all of the provisions
of this section, he or she shall be deemed to have received from the
seller or pledger adequate evidence of authority to sell or pledge
the property for all purposes included in this article, and Division
8 (commencing with Section 21000) of the Financial Code.
   In enacting this subdivision, it is the intent of the Legislature
that its provisions shall not adversely affect the implementation of,
or prosecution under, any provision of the Penal Code.
   (i) Any person who conducts business as a secondhand dealer at any
gun show or event, as defined in Section 478.100 of Title 27 of the
Code of Federal Regulations, or its successor, outside the
jurisdiction that issued the secondhand dealer license in accordance
with subdivision (d) of Section 21641, may be required to submit a
duplicate of the transaction report prepared pursuant to this section
to the local law enforcement agency where the gun show or event is
conducted.
   (j) (1) The Department of Justice shall, in consultation with
appropriate local law enforcement agencies, develop clear and
comprehensive descriptive categories denoting tangible personal
property subject to the reporting requirements of this section. These
categories shall be incorporated by secondhand dealers and coin
dealers described in Section 21626 for purposes of the reporting
requirements set forth herein. Any required report shall be
transmitted by electronic means. The Department of Justice and local
law enforcement agencies, in consultation with representatives from
the secondhand dealer and coin dealer businesses, shall develop a
standard format to be used statewide to transmit this report
electronically.
   (2) Twelve months after the format and the categories described in
paragraph (1) have been developed, each secondhand dealer and coin
dealer shall electronically report using this format the information
required by this section under these reporting categories. Until that
time, each secondhand dealer and coin dealer may either continue to
report this information using existing forms and procedures or may
begin electronically reporting this information under the reporting
categories and using the format described in paragraph (1) as soon as
each has been developed.
   (3) A coin dealer who engages in less than 10 transactions each
week in which he or she has purchased, taken in trade, taken in pawn,
accepted for sale or consignment, or accepted for auctioning
tangible personal property, shall report the information required by
this section under the reporting categories described in paragraph
(1) on a form developed by the Attorney General that the coin dealer
shall transmit each day by facsimile transmission or by mail to the
chief of police or sheriff. A transaction shall consist of not more
than one item. Nothing in this section shall prohibit up to 10
transactions with the same customer per week, provided that the
cumulative total per week for all customers does not exceed 10
transactions. Until that form is developed, these coin dealers shall
continue to report information required by this section using
existing forms and procedures. If these transactions increase to 10
per week, the coin dealer shall electronically report using the
format described in paragraph (1) the information required by this
section beginning six months after his or her transactions exceed 10
per week or 12 months after the format described in paragraph (1) has
been developed, whichever occurs later.
   (4) For purposes of this subdivision, "item" shall mean any single
physical article. However, with respect to a commonly accepted
grouping of articles that are purchased as a set, including, but not
limited to, a pair of earrings or place settings of china,
silverware, or other tableware, "item" shall mean that commonly
accepted grouping.
   (5) Nothing in this subdivision shall be construed as excepting a
secondhand dealer from the fingerprinting requirement of subdivision
(g).
   (k) Nothing in this section shall be construed to exempt a person
licensed as a firearms dealer pursuant to Article 4 (commencing with
Section 12071) of Chapter 1 of Title 2 of Part 4 of the Penal Code
from the reporting requirements for firearms transactions under
Section 12071 of the Penal Code.
  SEC. 2.  Section 21628.1 of the Business and Professions Code is
amended to read:
   21628.1.  Notwithstanding Section 21628, submission of transaction
reports are not required to be submitted to the local law
enforcement agency if the report of an acquisition of the same
property from the same customer has been submitted within the
preceding 12 months, except when submission of the reports is
specifically requested in writing by the local licensing authority.
   SEC. 3.    Section 21628.2 is added to the  
Business and Professions Code   , to read:  
   21628.2.  Every secondhand dealer described in Section 21626 shall
report to the Department of Justice daily, or on the first working
day after receipt, all firearms purchased, taken in trade, taken in
pawn, accepted for sale on consignment, or accepted for auctioning.
The report shall be submitted in a format prescribed by the
Department of Justice. The Department of Justice may retain
secondhand dealer reports to determine whether a firearm taken in by
a secondhand dealer has been reported lost or stolen. The secondhand
dealer shall also submit a Dealers' Record of Sale form to the
department for firearm transfers where the secondhand dealer
relinquishes possession of the firearm. The Dealers' Record of Sale
form shall be retained by the department pursuant to paragraph (1) of
subdivision (b) of Section 11106. 
   SEC. 3.   SEC. 4.   Section 12071 of the
Penal Code is amended to read:
   12071.  (a) (1) As used in this chapter, the term "licensee,"
"person licensed pursuant to Section 12071," or "dealer" means a
person who has all of the following:
   (A) A valid federal firearms license.
   (B) Any regulatory or business license, or licenses, required by
local government.
   (C) A valid seller's permit issued by the State Board of
Equalization.
   (D) A certificate of eligibility issued by the Department of
Justice pursuant to paragraph (4).
   (E) A license issued in the format prescribed by paragraph (6).
   (F) Is among those recorded in the centralized list specified in
subdivision (e).
   (2) The duly constituted licensing authority of a city, county, or
a city and county shall accept applications for, and may grant
licenses permitting, licensees to sell firearms at retail within the
city, county, or city and county. The duly constituted licensing
authority shall inform applicants who are denied licenses of the
reasons for the denial in writing.
   (3) No license shall be granted to any applicant who fails to
provide a copy of his or her valid federal firearms license, valid
seller's permit issued by the State Board of Equalization, and the
certificate of eligibility described in paragraph (4).
   (4) A person may request a certificate of eligibility from the
Department of Justice. The Department of Justice shall examine its
records and records available to the department in the National
Instant Criminal Background Check System in order to determine if the
applicant is prohibited by state or federal law from possessing,
receiving, owning, or purchasing a firearm and issue a certificate to
an applicant if the department's records indicate that the applicant
is not a person who is prohibited by state or federal law from
possessing firearms.
   (5) The department shall adopt regulations to administer the
certificate of eligibility program and shall recover the full costs
of administering the program by imposing fees assessed to applicants
who apply for those certificates.
   (6) A license granted by the duly constituted licensing authority
of any city, county, or city and county, shall be valid for not more
than one year from the date of issuance and shall be in one of the
following forms:
   (A) In the form prescribed by the Attorney General.
   (B) A regulatory or business license that states on its face
"Valid for Retail Sales of Firearms" and is endorsed by the signature
of the issuing authority.
   (C) A letter from the duly constituted licensing authority having
primary jurisdiction for the applicant's intended business location
stating that the jurisdiction does not require any form of regulatory
or business license or does not otherwise restrict or regulate the
sale of firearms.
   (7) Local licensing authorities may assess fees to recover their
full costs of processing applications for licenses.
   (b) A license is subject to forfeiture for a breach of any of the
following prohibitions and requirements:
   (1) (A) Except as provided in subparagraphs (B) and (C), the
business shall be conducted only in the buildings designated in the
license.
   (B) A person licensed pursuant to subdivision (a) may take
possession of firearms and commence preparation of registers for the
sale, delivery, or transfer of firearms at gun shows or events, as
defined in Section 478.100 of Title 27 of the Code of Federal
Regulations, or its successor, if the gun show or event is not
conducted from any motorized or towed vehicle. A person conducting
business pursuant to this subparagraph shall be entitled to conduct
business as authorized herein at any gun show or event in the state
without regard to the jurisdiction within this state that issued the
license pursuant to subdivision (a), provided the person complies
with (i) all applicable laws, including, but not limited to, the
waiting period specified in subparagraph (A) of paragraph (3), and
(ii) all applicable local laws, regulations, and fees, if any.
   A person conducting business pursuant to this subparagraph shall
publicly display his or her license issued pursuant to subdivision
(a), or a facsimile thereof, at any gun show or event, as specified
in this subparagraph.
   (C) A person licensed pursuant to subdivision (a) may engage in
the sale and transfer of firearms other than pistols, revolvers, or
other firearms capable of being concealed upon the person, at events
specified in subdivision (g) of Section 12078, subject to the
prohibitions and restrictions contained in that subdivision.
   A person licensed pursuant to subdivision (a) also may accept
delivery of firearms other than pistols, revolvers, or other firearms
capable of being concealed upon the person, outside the building
designated in the license, provided the firearm is being donated for
the purpose of sale or transfer at an auction or similar event
specified in subdivision (g) of Section 12078.
   (D) The firearm may be delivered to the purchaser, transferee, or
person being loaned the firearm at one of the following places:
   (i) The building designated in the license.
   (ii) The places specified in subparagraph (B) or (C).
   (iii) The place of residence of, the fixed place of business of,
or on private property owned or lawfully possessed by, the purchaser,
transferee, or person being loaned the firearm.
   (2) The license or a copy thereof, certified by the issuing
authority, shall be displayed on the premises where it can easily be
seen.
   (3) No firearm shall be delivered:
   (A) Within 10 days of the application to purchase, or, after
notice by the department pursuant to subdivision (d) of Section
12076, within 10 days of the submission to the department of any
correction to the application, or within 10 days of the submission to
the department of any fee required pursuant to subdivision (e) of
Section 12076, whichever is later.
   (B) Unless unloaded and securely wrapped or unloaded and in a
locked container.
   (C) Unless the purchaser, transferee, or person being loaned the
firearm presents clear evidence of his or her identity and age to the
dealer.
   (D) Whenever the dealer is notified by the Department of Justice
that the person is prohibited by state or federal law from
processing, owning, purchasing, or receiving a firearm. The dealer
shall make available to the person in the prohibited class a
prohibited notice and transfer form, provided by the department,
stating that the person is prohibited from owning or possessing a
firearm, and that the person may obtain from the department the
reason for the prohibition.
   (4) No pistol, revolver, or other firearm or imitation thereof
capable of being concealed upon the person, or placard advertising
the sale or other transfer thereof, shall be displayed in any part of
the premises where it can readily be seen from the outside.
   (5) The licensee shall agree to and shall act properly and
promptly in processing firearms transactions pursuant to Section
12082.
   (6) The licensee shall comply with Sections 12073, 12076, and
12077, subdivisions (a) and (b) and paragraph (1) of subdivision (f)
of Section 12072, and subdivision (a) of Section 12316.
   (7) The licensee shall post conspicuously within the licensed
premises the following warnings in block letters not less than one
inch in height:
   (A) "IF YOU KEEP A LOADED FIREARM WITHIN ANY PREMISES UNDER YOUR
CUSTODY OR CONTROL, AND A PERSON UNDER 18 YEARS OF AGE OBTAINS IT AND
USES IT, RESULTING IN INJURY OR DEATH, OR CARRIES IT TO A PUBLIC
PLACE, YOU MAY BE GUILTY OF A MISDEMEANOR OR A FELONY UNLESS YOU
STORED THE FIREARM IN A LOCKED CONTAINER OR LOCKED THE FIREARM WITH A
LOCKING DEVICE, TO KEEP IT FROM TEMPORARILY FUNCTIONING."
   (B) "IF YOU KEEP A PISTOL, REVOLVER, OR OTHER FIREARM CAPABLE OF
BEING CONCEALED UPON THE PERSON, WITHIN ANY PREMISES UNDER YOUR
CUSTODY OR CONTROL, AND A PERSON UNDER 18 YEARS OF AGE GAINS ACCESS
TO THE FIREARM, AND CARRIES IT OFF-PREMISES, YOU MAY BE GUILTY OF A
MISDEMEANOR, UNLESS YOU STORED THE FIREARM IN A LOCKED CONTAINER, OR
LOCKED THE FIREARM WITH A LOCKING DEVICE, TO KEEP IT FROM TEMPORARILY
FUNCTIONING."
   (C) "IF YOU KEEP ANY FIREARM WITHIN ANY PREMISES UNDER YOUR
CUSTODY OR CONTROL, AND A PERSON UNDER 18 YEARS OF AGE GAINS ACCESS
TO THE FIREARM, AND CARRIES IT OFF-PREMISES TO A SCHOOL OR
SCHOOL-SPONSORED EVENT, YOU MAY BE GUILTY OF A MISDEMEANOR, INCLUDING
A FINE OF UP TO FIVE THOUSAND DOLLARS ($5,000), UNLESS YOU STORED
THE FIREARM IN A LOCKED CONTAINER, OR LOCKED THE FIREARM WITH A
LOCKING DEVICE."
   (D) "DISCHARGING FIREARMS IN POORLY VENTILATED AREAS, CLEANING
FIREARMS, OR HANDLING AMMUNITION MAY RESULT IN EXPOSURE TO LEAD, A
SUBSTANCE KNOWN TO CAUSE BIRTH DEFECTS, REPRODUCTIVE HARM, AND OTHER
SERIOUS PHYSICAL INJURY. HAVE ADEQUATE VENTILATION AT ALL TIMES. WASH
HANDS THOROUGHLY AFTER EXPOSURE."
   (E) "FEDERAL REGULATIONS PROVIDE THAT IF YOU DO NOT TAKE PHYSICAL
POSSESSION OF THE FIREARM THAT YOU ARE ACQUIRING OWNERSHIP OF WITHIN
30 DAYS AFTER YOU COMPLETE THE INITIAL BACKGROUND CHECK PAPERWORK,
THEN YOU HAVE TO GO THROUGH THE BACKGROUND CHECK PROCESS A SECOND
TIME IN ORDER TO TAKE PHYSICAL POSSESSION OF THAT FIREARM."
   (F) "NO PERSON SHALL MAKE AN APPLICATION TO PURCHASE MORE THAN ONE
PISTOL, REVOLVER, OR OTHER FIREARM CAPABLE OF BEING CONCEALED UPON
THE PERSON WITHIN ANY 30-DAY PERIOD AND NO DELIVERY SHALL BE MADE TO
ANY PERSON WHO HAS MADE AN APPLICATION TO PURCHASE MORE THAN ONE
PISTOL, REVOLVER, OR OTHER FIREARM CAPABLE OF BEING CONCEALED UPON
THE PERSON WITHIN ANY 30-DAY PERIOD."
   (8) (A) Commencing April 1, 1994, and until January 1, 2003, no
pistol, revolver, or other firearm capable of being concealed upon
the person shall be delivered unless the purchaser, transferee, or
person being loaned the firearm presents to the dealer a basic
firearms safety certificate.
   (B) Commencing January 1, 2003, no dealer may deliver a handgun
unless the person receiving the handgun presents to the dealer a
valid handgun safety certificate. The firearms dealer shall retain a
photocopy of the handgun safety certificate as proof of compliance
with this requirement.
   (C) Commencing January 1, 2003, no handgun may be delivered unless
the purchaser, transferee, or person being loaned the firearm
presents documentation indicating that he or she is a California
resident. Satisfactory documentation shall include a utility bill
from within the last three months, a residential lease, a property
deed, or military permanent duty station orders indicating assignment
within this state, or other evidence of residency as permitted by
the Department of Justice. The firearms dealer shall retain a
photocopy of the documentation as proof of compliance with this
requirement.
   (D) Commencing January 1, 2003, except as authorized by the
department, no firearms dealer may deliver a handgun unless the
recipient performs a safe handling demonstration with that handgun.
The demonstration shall commence with the handgun unloaded and locked
with the firearm safety device with which it is required to be
delivered, if applicable. While maintaining muzzle awareness, that
is, the firearm is pointed in a safe direction, preferably down at
the ground, and trigger discipline, that is, the trigger finger is
outside of the trigger guard and along side of the handgun frame, at
all times, the handgun recipient shall correctly and safely perform
the following:
   (i) If the handgun is a semiautomatic pistol:
   (I) Remove the magazine.
   (II) Lock the slide back. If the model of firearm does not allow
the slide to be locked back, pull the slide back, visually and
physically check the chamber to ensure that it is clear.
   (III) Visually and physically inspect the chamber, to ensure that
the handgun is unloaded.
   (IV) Remove the firearm safety device, if applicable. If the
firearm safety device prevents any of the previous steps, remove the
firearm safety device during the appropriate step.
   (V) Load one bright orange, red, or other readily identifiable
dummy round into the magazine. If no readily identifiable dummy round
is available, an empty cartridge casing with an empty primer pocket
may be used.
   (VI) Insert the magazine into the magazine well of the firearm.
   (VII) Manipulate the slide release or pull back and release the
slide.
   (VIII) Remove the magazine.
   (IX) Visually inspect the chamber to reveal that a round can be
chambered with the magazine removed.
   (X) Lock the slide back to eject the bright orange, red, or other
readily identifiable dummy round. If the handgun is of a model that
does not allow the slide to be locked back, pull the slide back and
physically check the chamber to ensure that the chamber is clear. If
no readily identifiable dummy round is available, an empty cartridge
casing with an empty primer pocket may be used.
   (XI) Apply the safety, if applicable.
   (XII) Apply the firearm safety device, if applicable. This
requirement shall not apply to an Olympic competition pistol if no
firearms safety device, other than a cable lock that the department
has determined would damage the barrel of the pistol, has been
approved for the pistol, and the pistol is either listed in paragraph
(2) of subdivision (h) of Section 12132 or is subject to paragraph
(3) of subdivision (h) of Section 12132.
   (ii) If the handgun is a double-action revolver:
   (I) Open the cylinder.
   (II) Visually and physically inspect each chamber, to ensure that
the revolver is unloaded.
   (III) Remove the firearm safety device. If the firearm safety
device prevents any of the previous steps, remove the firearm safety
device during the appropriate step.
   (IV) While maintaining muzzle awareness and trigger discipline,
load one bright orange, red, or other readily identifiable dummy
round into a chamber of the cylinder and rotate the cylinder so that
the round is in the next-to-fire position. If no readily identifiable
dummy round is available, an empty cartridge casing with an empty
primer pocket may be used.
   (V) Close the cylinder.
   (VI) Open the cylinder and eject the round.
   (VII) Visually and physically inspect each chamber to ensure that
the revolver is unloaded.
   (VIII) Apply the firearm safety device, if applicable. This
requirement shall not apply to an Olympic competition pistol if no
firearms safety device, other than a cable lock that the department
has determined would damage the barrel of the pistol, has been
approved for the pistol, and the pistol is either listed in paragraph
(2) of subdivision (h) of Section 12132 or is subject to paragraph
(3) of subdivision (h) of Section 12132.
   (iii) If the handgun is a single-action revolver:
   (I) Open the loading gate.
   (II) Visually and physically inspect each chamber, to ensure that
the revolver is unloaded.
   (III) Remove the firearm safety device required to be sold with
the handgun. If the firearm safety device prevents any of the
previous steps, remove the firearm safety device during the
appropriate step.
   (IV) Load one bright orange, red, or other readily identifiable
dummy round into a chamber of the cylinder, close the loading gate
and rotate the cylinder so that the round is in the next-to-fire
position. If no readily identifiable dummy round is available, an
empty cartridge casing with an empty primer pocket may be used.
   (V) Open the loading gate and unload the revolver.
   (VI) Visually and physically inspect each chamber to ensure that
the revolver is unloaded.
   (VII) Apply the firearm safety device, if applicable. This
requirement shall not apply to an Olympic competition pistol if no
firearms safety device, other than a cable lock that the department
has determined would damage the barrel of the pistol, has been
approved for the pistol, and the pistol is either listed in paragraph
(2) of subdivision (h) of Section 12132 or is subject to paragraph
(3) of subdivision (h) of Section 12132.
   (E) The recipient shall receive instruction regarding how to
render that handgun safe in the event of a jam.
   (F) The firearms dealer shall sign and date an affidavit stating
that the requirements of subparagraph (D) have been met. The firearms
dealer shall additionally obtain the signature of the handgun
purchaser on the same affidavit. The firearms dealer shall retain the
original affidavit as proof of compliance with this requirement.
   (G) The recipient shall perform the safe handling demonstration
for a department-certified instructor.
   (H) No demonstration shall be required if the dealer is returning
the handgun to the owner of the handgun.
   (I) Department-certified instructors who may administer the safe
handling demonstration shall meet the requirements set forth in
subdivision (j) of Section 12804.
   (J) The persons who are exempt from the requirements of
subdivision (b) of Section 12801, pursuant to Section 12807, are also
exempt from performing the safe handling
                demonstration.
   (9) Commencing July 1, 1992, the licensee shall offer to provide
the purchaser or transferee of a firearm, or person being loaned a
firearm, with a copy of the pamphlet described in Section 12080 and
may add the cost of the pamphlet, if any, to the sales price of the
firearm.
   (10) The licensee shall not commit an act of collusion as defined
in Section 12072.
   (11) The licensee shall post conspicuously within the licensed
premises a detailed list of each of the following:
   (A) All charges required by governmental agencies for processing
firearm transfers required by Sections 12076, 12082, and 12806.
   (B) All fees that the licensee charges pursuant to Sections 12082
and 12806.
   (12) The licensee shall not misstate the amount of fees charged by
a governmental agency pursuant to Sections 12076, 12082, and 12806.
   (13) Except as provided in subparagraphs (B) and (C) of paragraph
(1) of subdivision (b), all firearms that are in the inventory of the
licensee shall be kept within the licensed location. The licensee
shall report the loss or theft of any firearm that is merchandise of
the licensee, any firearm that the licensee takes possession of
pursuant to Section 12082, or any firearm kept at the licensee's
place of business within 48 hours of discovery to the appropriate law
enforcement agency in the city, county, or city and county where the
licensee's business premises are located.
   (14) Except as provided in subparagraphs (B) and (C) of paragraph
(1) of subdivision (b), any time when the licensee is not open for
business, all inventory firearms shall be stored in the licensed
location. All firearms shall be secured using one of the following
methods as to each particular firearm:
   (A) Store the firearm in a secure facility that is a part of, or
that constitutes, the licensee's business premises.
   (B) Secure the firearm with a hardened steel rod or cable of at
least one-eighth inch in diameter through the trigger guard of the
firearm. The steel rod or cable shall be secured with a hardened
steel lock that has a shackle. The lock and shackle shall be
protected or shielded from the use of a boltcutter and the rod or
cable shall be anchored in a manner that prevents the removal of the
firearm from the premises.
   (C) Store the firearm in a locked fireproof safe or vault in the
licensee's business premises.
   (15) The licensing authority in an unincorporated area of a county
or within a city may impose security requirements that are more
strict or are at a higher standard than those specified in paragraph
(14).
   (16) Commencing January 1, 1994, the licensee shall, upon the
issuance or renewal of a license, submit a copy of the same to the
Department of Justice.
   (17) The licensee shall maintain and make available for inspection
during business hours to any peace officer, authorized local law
enforcement employee, or Department of Justice employee designated by
the Attorney General, upon the presentation of proper
identification, a firearms transaction record.
   (18) (A) On the date of receipt, the licensee shall report to the
Department of Justice in a format prescribed by the department the
acquisition by the licensee of the ownership of a pistol, revolver,
or other firearm capable of being concealed upon the person.
   (B) The provisions of this paragraph shall not apply to any of the
following transactions:
   (i) A transaction subject to the provisions of subdivision (n) of
Section 12078.
   (ii) The dealer acquired the firearm from a wholesaler.
   (iii) The dealer acquired the firearm from a person who is
licensed as a manufacturer or importer to engage in those activities
pursuant to Chapter 44 (commencing with Section 921) of Title 18 of
the United States Code and any regulations issued pursuant thereto.
   (iv) The dealer acquired the firearm from a person who resides
outside this state who is licensed pursuant to Chapter 44 (commencing
with Section 921) of Title 18 of the United States Code and any
regulations issued pursuant thereto.
   (19) The licensee shall forward in a format prescribed by the
Department of Justice, information as required by the department on
any firearm that is not delivered within the time period set forth in
Section 478.102 (c) of Title 27 of the Code of Federal Regulations.
   (20) (A) Firearms dealers may require any agent who handles,
sells, or delivers firearms to obtain and provide to the dealer a
certificate of eligibility from the department pursuant to paragraph
(4) of subdivision (a). The agent or employee shall provide on the
application, the name and California firearms dealer number of the
firearms dealer with whom he or she is employed.
   (B) The department shall notify the firearms dealer in the event
that the agent or employee who has a certificate of eligibility is or
becomes prohibited from possessing firearms.
   (C) If the local jurisdiction requires a background check of the
agents or employees of the firearms dealer, the agent or employee
shall obtain a certificate of eligibility pursuant to subparagraph
(A).
   (D) Nothing in this paragraph shall be construed to preclude a
local jurisdiction from conducting an additional background check
pursuant to Section 11105 or prohibiting employment based on criminal
history that does not appear as part of obtaining a certificate of
eligibility, provided however, that the local jurisdiction may not
charge a fee for the additional criminal history check.
   (E) The licensee shall prohibit any agent who the licensee knows
or reasonably should know is within a class of persons prohibited
from possessing firearms pursuant to Section 12021 or 12021.1 of this
code, or Section 8100 or 8103 of the Welfare and Institutions Code,
from coming into contact with any firearm that is not secured and
from accessing any key, combination, code, or other means to open any
of the locking devices described in clause (ii) of subparagraph (G)
of this paragraph.
   (F) Nothing in this paragraph shall be construed as preventing a
local government from enacting an ordinance imposing additional
conditions on licensees with regard to agents.
   (G) For purposes of this section, the following definitions shall
apply:
   (i) An "agent" is an employee of the licensee.
   (ii) "Secured" means a firearm that is made inoperable in one or
more of the following ways:
   (I) The firearm is inoperable because it is secured by a firearms
safety device listed on the department's roster of approved firearms
safety devices pursuant to subdivision (d) of Section 12088 of this
chapter.
   (II) The firearm is stored in a locked gun safe or long-gun safe
which meets the standards for department-approved gun safes set forth
in Section 12088.2.
   (III) The firearm is stored in a distinct locked room or area in
the building that is used to store firearms that can only be unlocked
by a key, a combination, or similar means.
   (IV) The firearm is secured with a hardened steel rod or cable
that is at least one-eighth of an inch in diameter through the
trigger guard of the firearm. The steel rod or cable shall be secured
with a hardened steel lock that has a shackle. The lock and shackle
shall be protected or shielded from the use of a boltcutter and the
rod or cable shall be anchored in a manner that prevents the removal
of the firearm from the premises.
   (c) (1) As used in this article, "clear evidence of his or her
identity and age" means either of the following:
   (A) A valid California driver's license.
   (B) A valid California identification card issued by the
Department of Motor Vehicles.
   (2) As used in this section, a "secure facility" means a building
that meets all of the following specifications:
   (A) All perimeter doorways shall meet one of the following:
   (i) A windowless steel security door equipped with both a dead
bolt and a doorknob lock.
   (ii) A windowed metal door that is equipped with both a dead bolt
and a doorknob lock. If the window has an opening of five inches or
more measured in any direction, the window shall be covered with
steel bars of at least1/2-inch diameter or metal grating of at least
9 gauge affixed to the exterior or interior of the door.
   (iii) A metal grate that is padlocked and affixed to the licensee'
s premises independent of the door and doorframe.
   (B) All windows are covered with steel bars.
   (C) Heating, ventilating, air-conditioning, and service openings
are secured with steel bars, metal grating, or an alarm system.
   (D) Any metal grates have spaces no larger than six inches wide
measured in any direction.
   (E) Any metal screens have spaces no larger than three inches wide
measured in any direction.
   (F) All steel bars shall be no further than six inches apart.
   (3) As used in this section, "licensed premises," "licensed place
of business," "licensee's place of business," or "licensee's business
premises" means the building designated in the license.
   (4) For purposes of paragraph (17) of subdivision (b):
   (A) A "firearms transaction record" is a record containing the
same information referred to in subdivision (a) of Section 478.124,
Section 478.124a, and subdivision (e) of Section 478.125 of Title 27
of the Code of Federal Regulations.
   (B) A licensee shall be in compliance with the provisions of
paragraph (17) of subdivision (b) if he or she maintains and makes
available for inspection during business hours to any peace officer,
authorized local law enforcement employee, or Department of Justice
employee designated by the Attorney General, upon the presentation of
proper identification, the bound book containing the same
information referred to in Section 478.124a and subdivision (e) of
Section 478.125 of Title 27 of the Code of Federal Regulations and
the records referred to in subdivision (a) of Section 478.124 of
Title 27 of the Code of Federal Regulations.
   (d) Upon written request from a licensee, the licensing authority
may grant an exemption from compliance with the requirements of
paragraph (14) of subdivision (b) if the licensee is unable to comply
with those requirements because of local ordinances, covenants,
lease conditions, or similar circumstances not under the control of
the licensee.
   (e) (1) Except as otherwise provided in this paragraph, the
Department of Justice shall keep a centralized list of all persons
licensed pursuant to subparagraphs (A) to (E), inclusive, of
paragraph (1) of subdivision (a). The department may remove from this
list any person who knowingly or with gross negligence violates this
article. Upon removal of a dealer from this list, notification shall
be provided to local law enforcement and licensing authorities in
the jurisdiction where the dealer's business is located.
   (2) The department shall remove from the centralized list any
person whose federal firearms license has expired or has been
revoked.
   (3) Information compiled from the list shall be made available,
upon request, for the following purposes only:
   (A) For law enforcement purposes.
   (B) When the information is requested by a person licensed
pursuant to Chapter 44 (commencing with Section 921) of Title 18 of
the United States Code for determining the validity of the license
for firearm shipments.
   (C) When information is requested by a person promoting,
sponsoring, operating, or otherwise organizing a show or event as
defined in Section 478.100 of Title 27 of the Code of Federal
Regulations, or its successor, who possesses a valid certificate of
eligibility issued pursuant to Section 12071.1, if that information
is requested by the person to determine the eligibility of a
prospective participant in a gun show or event to conduct
transactions as a firearms dealer pursuant to subparagraph (B) of
paragraph (1) of subdivision (b).
   (4) Information provided pursuant to paragraph (3) shall be
limited to information necessary to corroborate an individual's
current license status as being one of the following:
   (A) A person licensed pursuant to subparagraphs (A) to (E),
inclusive, of paragraph (1) of subdivision (a).
   (B) A person licensed pursuant to Chapter 44 (commencing with
Section 921) of Title 18 of the United States Code and who is not
subject to the requirement that he or she be licensed pursuant to
subparagraphs (A) to (E), inclusive, of paragraph (1) of subdivision
(a).
   (f) The Department of Justice may inspect dealers to ensure
compliance with this article. The department may assess an annual
fee, not to exceed one hundred fifteen dollars ($115), to cover the
reasonable cost of maintaining the list described in subdivision (e),
including the cost of inspections. Dealers whose place of business
is in a jurisdiction that has adopted an inspection program to ensure
compliance with firearms law shall be exempt from that portion of
the department's fee that relates to the cost of inspections. The
applicant is responsible for providing evidence to the department
that the jurisdiction in which the business is located has the
inspection program.
   (g) The Department of Justice shall maintain and make available
upon request information concerning the number of inspections
conducted and the amount of fees collected pursuant to subdivision
(f), a listing of exempted jurisdictions, as defined in subdivision
(f), the number of dealers removed from the centralized list defined
in subdivision (e), and the number of dealers found to have violated
this article with knowledge or gross negligence.
   (h) Paragraph (14) or (15) of subdivision (b) shall not apply to a
licensee organized as a nonprofit public benefit or mutual benefit
corporation organized pursuant to Part 2 (commencing with Section
5110) or Part 3 (commencing with Section 7110) of Division 2 of the
Corporations Code, if both of the following conditions are satisfied:

   (1) The nonprofit public benefit or mutual benefit corporation
obtained the dealer's license solely and exclusively to assist that
corporation or local chapters of that corporation in conducting
auctions or similar events at which firearms are auctioned off to
fund the activities of that corporation or the local chapters of the
corporation.
   (2) The firearms are not pistols, revolvers, or other firearms
capable of being concealed upon the person.
   SEC. 5.    No reimbursement is required by this act
pursuant to Section 6 of Article XIII B of the California
Constitution because the only costs that may be incurred by a local
agency or school district will be incurred because this act creates a
new crime or infraction, eliminates a crime or infraction, or
changes the penalty for a crime or infraction, within the meaning of
Section 17556 of the Government Code, or changes the definition of a
crime within the meaning of Section 6 of Article XIII B of the
California Constitution.           
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