H.R. 2790: Gas-Operated Semi-Automatic Firearms Exclusion Act

This bill, known as the Gas-Operated Semi-Automatic Firearms Exclusion Act (or GOSAFE Act), aims to create restrictions around gas-operated semi-automatic firearms and large capacity ammunition feeding devices. The main components of the bill are as follows:

Definitions

The bill provides specific definitions for terms such as "gas-operated semi-automatic firearm," "cycle the action," and "large capacity ammunition feeding device." Essentially, it characterizes semi-automatic firearms that use gas to cycle the action and specifies how these firearms operate.

Prohibitions

The bill makes it illegal for individuals to import, sell, manufacture, transfer, receive, or possess any firearm classified as a gas-operated semi-automatic firearm declared prohibited under the regulations set forth in the bill. Prohibitions extend to:

• Possessing modified firearms that operate similarly to the prohibited firearms.
• Using a combination of parts to construct a firearm that would be classified as prohibited.
• Utilizing devices that increase the firing rate of the firearms.

Exceptions

There are certains exceptions included in the bill, which allow for possession or transfer of gas-operated semi-automatic firearms that were legally manufactured and transferred prior to the effective date of the bill. Trade between immediate family members for such firearms is also addressed under specified conditions.

Large Capacity Ammunition Feeding Devices

The legislation also restricts large capacity ammunition feeding devices, defined as those capable of holding more than 10 rounds of ammunition. It becomes illegal to import, sell, manufacture, transfer, or possess such devices that were manufactured after a specified enactment date. Transfer of previously owned devices is also restricted, unless exemptions apply.

Buy-Back Programs

The bill allows for the establishment of buy-back programs for gas-operated semi-automatic firearms and large capacity ammunition feeding devices. Compensations for surrendered items will be facilitated through these programs.

Penalties

Violating the provisions of this bill results in penalties, which can include fines up to $5,000, imprisonment for up to 12 months, or both. There are increased penalties for those who possess prohibited firearms while committing further offenses.

Implementation and Oversight

The bill requires the Attorney General to create a list of prohibited gas-operated semi-automatic firearms, conduct reviews of new firearm designs for approval, and ensure compliance with the regulations moving forward. It also establishes a Firearm Safety Trust Fund to support enforcement actions and activities related to the implementation of this bill.

Relevant Companies

• Ruger (RGR) - As a prominent manufacturer of firearms, especially semi-automatic models, Ruger could be significantly impacted by this legislation as it may limit their product offerings.
• Smith & Wesson Brands (SGMS) - Similar to Ruger, Smith & Wesson is likely to be affected in terms of production and sales after the classification of certain models as prohibited under the new law.
• Vista Outdoor (VSTO) - This company, which deals in outdoor sports and shooting accessories, might face challenges regarding inventory and product compliance due to the restrictions on large capacity feeding devices and certain firearms.