[Federal Register Volume 63, Number 133 (Monday, July 13, 1998)]
[Rules and Regulations]
[Pages 37740-37743]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-18546]
[[Page 37739]]
_______________________________________________________________________
Part VI
Department of the Treasury
_______________________________________________________________________
Bureau of Alcohol, Tobacco and Firearms
_______________________________________________________________________
27 CFR Part 178
Posting of Signs and Written Notification to Purchasers of Handguns;
Final Rule
Federal Register / Vol. 63, No. 133 / Monday, July 13, 1998 / Rules
and Regulations
[[Page 37740]]
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DEPARTMENT OF THE TREASURY
Bureau of Alcohol, Tobacco and Firearms
27 CFR Part 178
[T.D. ATF-402; Ref: Notice No. 855]
RIN 1512-AB68
Posting of Signs and Written Notification to Purchasers of
Handguns
AGENCY: Bureau of Alcohol, Tobacco and Firearms (ATF), Department of
the Treasury.
ACTION: Final rule.
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SUMMARY: The Bureau of Alcohol, Tobacco and Firearms (ATF) is amending
the firearms regulations to require that signs be posted on the
premises of Federal firearms licensees and that written notification be
issued with each handgun sold advising of the provisions of the Youth
Handgun Safety Act.
EFFECTIVE DATE: September 11, 1998.
FOR FURTHER INFORMATION CONTACT: Marsha D. Baker, Regulations Division,
Bureau of Alcohol, Tobacco and Firearms, Washington, DC 20226 (202-927-
8210).
SUPPLEMENTARY INFORMATION:
Background
The Youth Handgun Safety Act (YHSA), 18 U.S.C. 922(x), generally
makes it unlawful for a person to transfer a handgun to anyone under 18
years of age or for anyone under 18 years of age to knowingly possess a
handgun. Certain exceptions are set forth in the statute.
In enacting the YHSA in 1994, Congress found that criminal misuse
of firearms often starts with the easy availability of guns to juvenile
gang members. In addition, Congress found that individual States and
localities may find it difficult to control this problem by themselves.
Therefore, Congress found it necessary and appropriate to assist the
States in controlling violent crime by stopping the commerce in
handguns with juveniles nationwide and allowing the possession of
handguns by juveniles only when handguns are possessed and used under
certain limited circumstances.
In a memorandum to the Secretary of the Treasury dated June 11,
1997, the President stated that a major problem in our nation is the
ease with which young people gain illegal access to guns. The President
observed that firearms are now responsible for 12 percent of fatalities
among American children and teenagers.
The President's memorandum directed the Secretary of the Treasury
to propose regulations that would require the posting of signs and
issuance of written notices warning handgun purchasers of the
provisions of the YHSA.
Notice of Proposed Rulemaking
In response to the concerns raised by the President's memorandum,
ATF published Notice No. 855 in the Federal Register (62 FR 45364) on
August 27, 1997. To enforce the provisions of the YHSA and to ensure
that handgun purchasers are familiar with its provisions, the Notice of
Proposed Rulemaking (NPRM) proposed regulations requiring that signs be
posted on the premises of Federal firearms licensees and that written
notification be issued by licensees to nonlicensed handgun purchasers
warning as follows:
(1) Federal law prohibits, except in certain limited
circumstances, anyone under 18 years of age from knowingly
possessing a handgun, or any person from transferring a handgun to a
person under 18;
(2) A violation of the prohibition against transferring a
handgun to a person under the age of 18 is, under certain
circumstances, punishable by up to 10 years in prison;
(3) Handguns are a leading contributor to juvenile violence and
fatalities; and
(4) Safely storing and locking handguns away from children can
help ensure compliance with Federal law.
The proposed rule stipulated that signs provided by ATF must be
posted by licensed importers, manufacturers and dealers on their
licensed premises where prospective handgun purchasers can readily see
them. In addition, the written notification to be issued to each
handgun purchaser must be made available either by providing the
purchaser with an ATF Publication or some other type of written
notification that contains the same language, e.g., a manufacturer's or
importer's instruction manual or brochure provided to the handgun
purchaser.
Analysis of Comments
ATF received sixty-two (62) comments during the comment period in
response to Notice No. 855. These comments were received from fifty-
three (53) members of the public, one (1) Member of Congress, four (4)
Federal firearms licensees (FFLs), and four (4) firearms industry
organizations. Five (5) of the respondents were in agreement with the
proposed regulations. Fifty-seven (57) respondents opposed certain
provisions of the proposed regulations.
Comments in Support of the Proposed Rule
The American Academy of Pediatrics (AAP) commented in favor of the
proposed regulations. The AAP stated that ``Firearms play a major role
in childhood morbidity and mortality in the United States.'' They went
on to comment that ``the surest way to reduce the effects of firearm-
trauma on children is to remove handguns from the environments in which
children live and play.'' The Academy also supported the inclusion of
curios and relics in the proposed rule as well as the notification at
the time that weapons are returned to their owners by an FFL (for
example, when a firearm is redeemed from pawn).
Handgun Control Inc. (HCI) also commented in support of the
proposed regulations. They agreed that ATF had the authority to issue
regulations necessary to implement the Gun Control Act (GCA). They
stated that ``notification to handgun buyers at the point of purchase
of the need to safely secure handguns away from children is certainly
necessary to implement the provisions of the statute.''
HCI suggested that the written notice provided to the purchasers of
handguns not be included as part of a larger Federal form, but should
instead be separately contained in one publication. In response to this
comment, it should be noted that the NPRM did not specify the
publication number of the proposed required written notice since one
had not yet been assigned. However, the final rule clarifies that the
written notice will appear on an ATF publication (ATF I 5300.2) that is
separate from any existing ATF form.
Seven (7) additional respondents agreed with the general purpose of
the proposed regulations; to reduce the ease with which juveniles have
access to handguns which are then used to commit crimes or which result
in youth fatalities. However, they were opposed to the wording of the
provisions outlined in the proposed rule. Rephrasing of the provisional
language and certain deletions were suggested.
For example, Sturm, Ruger & Company, Inc., a manufacturer of
firearms, commented that ``while we have no objection to reminding
dealers of their serious responsibilities regarding sales of firearms
to unauthorized persons, the proposed language goes far beyond that.''
Accordingly, they suggested several revisions of the proposed
regulations. The suggested revisions to the language of the notice and
sign will be discussed in detail below.
[[Page 37741]]
Comments in Opposition to the Proposed Rule
Several commenters challenged ATF's authority under the GCA to
require any sort of warning or notification to purchasers of handguns
regarding the requirements of the YHSA. A comment from Rep. John
Dingell urged ATF to withdraw the proposed rule for several reasons,
including his view that the statutory basis for ATF's action is
``uncertain.'' He noted that ATF has not required notices or signs to
warn purchasers about other GCA provisions and the statutory
prohibitions on the possession of firearms by certain categories of
people, including felons.
ATF does not agree that requiring licensees to inform prospective
handgun purchasers about the requirements of the law goes beyond its
authority to enforce the GCA. Furthermore, this type of requirement is
not unprecedented. While ATF has not required licensees to post signs
or hand out notices regarding other GCA provisions, many of these
provisions are made known to purchasers through other means. For
example, licensees are required to have unlicensed purchasers complete
an ATF Form 4473, Firearms Transaction Record. On this form, purchasers
certify that they do not fall within one of the categories of persons
prohibited from purchasing a firearm. The Form 4473 contains a detailed
explanation of various GCA provisions.
ATF believes that it is important to advise handgun purchasers of
the still relatively new requirements of the YHSA to ensure that adult
purchasers who are purchasing a handgun from a licensee are made aware
that it is unlawful to transfer handguns to juveniles. This statutory
provision is not addressed on the Form 4473. ATF believes that the
final rule will accomplish the goal of preventing inadvertent
violations of the law without unduly burdening licensees or handgun
purchasers. Furthermore, ATF's statutory authority to issue regulations
to implement the GCA is clear. See 18 U.S.C. 926(a).
Revisions Made in Response to Comments
After carefully considering the comments received following the
publication of the NPRM, ATF has decided that certain revisions should
be made to the written notification and sign required by the
regulations. These modifications are discussed in more detail below.
In reference to the first paragraph of the proposed notice and
sign, forty-seven (47) commenters suggested that the language was vague
and that the sign Federal firearms licensees would be required to post,
as well as the written notification, should accurately explain the
exceptions included in the YHSA that would allow the lawful transfer
to, or possession by, an individual under the age of 18 years. For
example, the Sporting Arms and Ammunition Manufacturers' Institute
(SAAMI) suggested that this item should ``include a thorough, accurate
and objective explanation of these circumstances and/or include the
language of the statute itself.'' The National Rifle Association (NRA)
commented that ``[a]t the very least, the entire text of the law should
be given, especially outlining the full text of these exceptions * *
*''
ATF recognizes that there are exceptions listed in the YHSA that
allow persons under 18 years of age to receive and possess a handgun,
and the proposed language referred to these limited circumstances.
However, ATF believes that a detailed discussion of the exceptions
would have been too long to include in the notice and sign.
Nonetheless, ATF agrees with the respondents who suggested that the
proposed language of the notice and sign might raise questions in the
minds of purchasers as to when it was lawful for a juvenile to possess
a handgun.
Accordingly, ATF is adopting the suggestion of those commenters who
advocated that the written notification set forth the entire language
of the statute. The final rule provides that the required written
notification (ATF I 5300.2) will include the complete language of the
statutory provision appearing at 18 U.S.C. section 922(x), including
the exceptions. Owing to the length of this statutory language, the
sign will merely refer the purchaser to the ATF I 5300.2 for the
complete provisions of the law. The sign will also advise the public
that a copy of this publication may be obtained from the licensee
posting the sign or from the ATF Distribution Center.
In reference to the second provision of the notice and sign, forty-
three (43) of the respondents again stated that the language was vague
and that the sign and written notification should more specifically set
forth the exceptions included in the YHSA that would allow the lawful
possession of a handgun by a juvenile in certain limited circumstances.
In addition, four (4) respondents stated that the reference to the
maximum penalty provided by law for a violation of section 922(x) was
misleading, since the maximum penalty only applied in limited
circumstances.
As previously noted, the final rule provides that the written
notification will contain the entire language of section 922(x), so
that interested handgun purchasers may read for themselves the
exceptions outlined in the statute. ATF has also included in the
written notification the full text of the penalty provision set forth
in 18 U.S.C. 924(a)(6) for violations of section 922(x). Again, the
sign will refer the purchaser to the complete language of the law as
outlined in the written notification. We believe that this will ensure
that purchasers of handguns receive complete and accurate information
as to the statutory penalties imposed on violations of section 922(x).
The NRA noted that the proposed regulations do not mention the
statutory restrictions on the transfer to juveniles and use by
juveniles of ammunition that is suitable only in a handgun. As noted
previously, the entire provisions of the law will be set forth in the
written notification. This includes the statutory provisions regarding
handgun ammunition.
In reference to the third provision of the proposed regulations,
seventeen (17) respondents opposed the inclusion of the language that
``handguns are a leading contributor to juvenile violence and
fatalities.'' Another fifteen (15) stated that this provision should be
deleted entirely. Many commenters suggested that the entire statement
offered value judgments, and argued that it was the perpetrators of the
shooting, not the handguns used in the shooting, that contributed to
juvenile violence and fatalities.
The proposed language was not intended to convey the message that
handguns alone are responsible for juvenile violence. In fact the
language noted that handguns were a ``contributor'' to juvenile
violence. However, ATF agrees with the commenters who suggested that
this provision could be clarified. For example, Sturm, Ruger & Company
suggested that the language be modified to refer to the misuse of
illegally possessed firearms. ATF has partially adopted this comment.
As set forth in the final rule, this provision now states that ``The
misuse of handguns is a leading contributor to juvenile violence and
fatalities.''
In reference to the fourth and final provision of the proposed
statement, fifteen (15) of the respondents believed that it was
unnecessary to have safety warning notices for firearms. Another twelve
(12) stated that this provision should be deleted entirely.
Many of the commenters noted that there is no Federal law mandating
a specific type of storage or locking requirement for handguns. For
example,
[[Page 37742]]
the NRA commented that ``the proposed warning concerning the safe
storage and locking of handguns is not only superfluous, but also
implies that there is a Federal law requiring these safety measures.''
However, some comments supported the inclusion of a generic
statement encouraging the safe storing and securing of firearms in
order to prevent accidents. For example, SAAMI stated that they would
support the ``[i]nclusion of a statement that safely storing and
securing firearms can prevent accidents.'' On the other hand, HCI
suggested that the notice be revised to more explicitly state what is
meant by ``safely storing and locking handguns away from children.''
ATF does not agree that the original proposed language implied that
there was a Federal law requiring that handguns be stored or locked in
a particular fashion. However, in response to the comments received on
this issue, the final rule modifies the language of this provision to
state that ``Safely storing and securing firearms away from children
will help prevent the unlawful possession of handguns by juveniles,
stop accidents, and save lives.'' This statement encourages handgun
owners to ensure compliance with the law as well as to promote general
gun safety.
Finally, the order of the four provisions has been rearranged for
purposes of clarity. The revised language of the sign and notice is
reflected in the regulations portion of this Treasury Decision.
Regulatory Flexibility Act
It is hereby certified under the provisions of Section 3 of the
Regulatory Flexibility Act, 5 U.S.C. 605(b), that this final rule will
not have a significant economic impact on a substantial number of small
entities. The notices and signs that are required in this document will
be provided free of charge by the Federal Government to Federal
firearms licensees. Licensees may choose to provide the required
written notice in another format; however, they always have the option
of using the notices provided by ATF. Moreover, the new requirements
relating to the posting of signs and the distribution of notices will
place only a minimal burden on firearms licensees. Accordingly, a
regulatory flexibility analysis is not required.
Executive Order 12866
It has been determined that this regulation is not a significant
regulatory action as defined by Executive Order 12866. Accordingly,
this regulation is not subject to the analysis required by this
Executive Order.
Paperwork Reduction Act
The provisions of the Paperwork Reduction Act of 1995, 44 U.S.C.
chapter 35, and its implementing regulations, 5 CFR part 1320, do not
apply to this final rule because no new reporting or recordkeeping
requirements are imposed.
List of Subjects in 27 CFR Part 178
Administrative practice and procedure, Arms and ammunition,
Authority delegations, Customs duties and inspections, Exports,
Imports, Military personnel, Penalties, Reporting requirements,
Research, Seizures and forfeitures, and Transportation.
Authority and Issuance
PART 178--[AMENDED]
Part 178--Commerce in Firearms and Ammunition is amended as
follows:
Paragraph 1. The authority citation for 27 CFR Part 178 continues
to read as follows:
Authority: 5 U.S.C. 552(a); 18 U.S.C. 847, 921-930; 44 U.S.C.
3504(h).
Par. 2. Section 178.103 is added to Subpart F to read as follows:
Sec. 178.103 Posting of signs and written notification to purchasers
of handguns.
(a) Each licensed importer, manufacturer, dealer, or collector who
delivers a handgun to a nonlicensee shall provide such nonlicensee with
written notification as described in paragraph (b) of this section.
(b) The written notification (ATF I 5300.2) required by paragraph
(a) of this section shall state as follows:
(1) The misuse of handguns is a leading contributor to juvenile
violence and fatalities.
(2) Safely storing and securing firearms away from children will
help prevent the unlawful possession of handguns by juveniles, stop
accidents, and save lives.
(3) Federal law prohibits, except in certain limited
circumstances, anyone under 18 years of age from knowingly
possessing a handgun, or any person from transferring a handgun to a
person under 18.
(4) A knowing violation of the prohibition against selling,
delivering, or otherwise transferring a handgun to a person under
the age of 18 is, under certain circumstances, punishable by up to
10 years in prison.
FEDERAL LAW
The Gun Control Act of 1968, 18 U.S.C. Chapter 44, provides in
pertinent part as follows:
18 U.S.C. 922(x)
(x)(1) It shall be unlawful for a person to sell, deliver, or
otherwise transfer to a person who the transferor knows or has
reasonable cause to believe is a juvenile--
(A) a handgun; or
(B) ammunition that is suitable for use only in a handgun.
(2) It shall be unlawful for any person who is a juvenile to
knowingly possess--
(A) a handgun; or
(B) ammunition that is suitable for use only in a handgun.
(3) This subsection does not apply to--
(A) a temporary transfer of a handgun or ammunition to a
juvenile or to the possession or use of a handgun or ammunition by a
juvenile if the handgun and ammunition are possessed and used by the
juvenile--
(i) in the course of employment, in the course of ranching or
farming related to activities at the residence of the juvenile (or
on property used for ranching or farming at which the juvenile, with
the permission of the property owner or lessee, is performing
activities related to the operation of the farm or ranch), target
practice, hunting, or a course of instruction in the safe and lawful
use of a handgun;
(ii) with the prior written consent of the juvenile's parent or
guardian who is not prohibited by Federal, State, or local law from
possessing a firearm, except--
(I) during transportation by the juvenile of an unloaded handgun
in a locked container directly from the place of transfer to a place
at which an activity described in clause (i) is to take place and
transportation by the juvenile of that handgun, unloaded and in a
locked container, directly from the place at which such an activity
took place to the transferor; or
(II) with respect to ranching or farming activities as described
in clause (i) a juvenile may possess and use a handgun or ammunition
with the prior written approval of the juvenile's parent or legal
guardian and at the direction of an adult who is not prohibited by
Federal, State, or local law from possessing a firearm;
(iii) the juvenile has the prior written consent in the
juvenile's possession at all times when a handgun is in the
possession of the juvenile; and
(iv) in accordance with State and local law;
(B) a juvenile who is a member of the Armed Forces of the United
States or the National Guard who possesses or is armed with a
handgun in the line of duty;
(C) a transfer by inheritance of title (but not possession) of a
handgun or ammunition to a juvenile; or
(D) the possession of a handgun or ammunition by a juvenile
taken in defense of the juvenile or other persons against an
intruder into the residence of the juvenile or a residence in which
the juvenile is an invited guest.
(4) A handgun or ammunition, the possession of which is
transferred to a juvenile in circumstances in which the transferor
is not in violation of this subsection shall not be subject to
permanent confiscation by the Government if its possession by the
juvenile subsequently becomes unlawful because of the conduct of the
juvenile, but shall be returned to the lawful owner when such
handgun or ammunition is no longer required by the
[[Page 37743]]
Government for the purposes of investigation or prosecution.
(5) For purposes of this subsection, the term ``juvenile'' means
a person who is less than 18 years of age.
(6)(A) In a prosecution of a violation of this subsection, the
court shall require the presence of a juvenile defendant's parent or
legal guardian at all proceedings.
(B) The court may use the contempt power to enforce subparagraph
(A).
(C) The court may excuse attendance of a parent or legal
guardian of a juvenile defendant at a proceeding in a prosecution of
a violation of this subsection for good cause shown.
18 U.S.C. 924(a)(6)
(6)(A)(i) A juvenile who violates section 922(x) shall be fined
under this title, imprisoned not more than 1 year, or both, except
that a juvenile described in clause (ii) shall be sentenced to
probation on appropriate conditions and shall not be incarcerated
unless the juvenile fails to comply with a condition of probation.
(ii) A juvenile is described in this clause if--
(I) the offense of which the juvenile is charged is possession
of a handgun or ammunition in violation of section 922(x)(2); and
(II) the juvenile has not been convicted in any court of an
offense (including an offense under section 922(x) or a similar
State law, but not including any other offense consisting of conduct
that if engaged in by an adult would not constitute an offense) or
adjudicated as a juvenile delinquent for conduct that if engaged in
by an adult would constitute an offense.
(B) A person other than a juvenile who knowingly violates
section 922(x)--
(i) shall be fined under this title, imprisoned not more than 1
year, or both; and
(ii) if the person sold, delivered, or otherwise transferred a
handgun or ammunition to a juvenile knowing or having reasonable
cause to know that the juvenile intended to carry or otherwise
possess or discharge or otherwise use the handgun or ammunition in
the commission of a crime of violence, shall be fined under this
title, imprisoned not more than 10 years, or both.
(c) This written notification shall be delivered to the nonlicensee
on ATF I 5300.2, or in the alternative, the same written notification
may be delivered to the nonlicensee on another type of written
notification, such as a manufacturer's or importer's brochure
accompanying the handgun; a manufacturer's or importer's operational
manual accompanying the handgun; or a sales receipt or invoice applied
to the handgun package or container delivered to a nonlicensee. Any
written notification delivered to a nonlicensee other than on ATF I
5300.2 shall include the language set forth in paragraph (b) of this
section in its entirety. Any written notification other than ATF I
5300.2 shall be legible, clear, and conspicuous, and the required
language shall appear in type size no smaller than 10-point type.
(d) Except as provided in paragraph (f) of this section, each
licensed importer, manufacturer, or dealer who delivers a handgun to a
nonlicensee shall display at its licensed premises (including temporary
business locations at gun shows) a sign as described in paragraph (e)
of this section. The sign shall be displayed where customers can
readily see it. Licensed importers, manufacturers, and dealers will be
provided with such signs by ATF. Replacement signs may be requested
from the ATF Distribution Center.
(e) The sign (ATF I 5300.1) required by paragraph (d) of this
section shall state as follows:
(1) The misuse of handguns is a leading contributor to juvenile
violence and fatalities.
(2) Safely storing and securing firearms away from children will
help prevent the unlawful possession of handguns by juveniles, stop
accidents, and save lives.
(3) Federal law prohibits, except in certain limited
circumstances, anyone under 18 years of age from knowingly
possessing a handgun, or any person from transferring a handgun to a
person under 18.
(4) A knowing violation of the prohibition against selling,
delivering, or otherwise transferring a handgun to a person under
the age of 18 is, under certain circumstances, punishable by up to
10 years in prison.
Note: ATF I 5300.2 provides the complete language of the
statutory prohibitions and exceptions provided in 18 U.S.C. 922(x)
and the penalty provisions of 18 U.S.C. 924(a)(6). The Federal
firearms licensee posting this sign will provide you with a copy of
this publication upon request. Requests for additional copies of ATF
I 5300.2 should be mailed to the ATF Distribution Center, P.O. Box
5950, Springfield, Virginia 22150-5950.
(f) The sign required by paragraph (d) of this section need not be
posted on the premises of any licensed importer, manufacturer, or
dealer whose only dispositions of handguns to nonlicensees are to
nonlicensees who do not appear at the licensed premises and the
dispositions otherwise comply with the provisions of this part.
Signed: May 28, 1998.
John W. Magaw,
Director.
Approved: June 6, 1998.
John P. Simpson,
Deputy Assistant Secretary (Regulatory, Tariff and Trade Enforcement).
[FR Doc. 98-18546 Filed 7-10-98; 8:45 am]
BILLING CODE 4810-31-P
