H.R. 4224: Background Check Point of Contact Act of 2025

This legislation, known as the Background Check Point of Contact Act of 2025, aims to establish a federal grant program to encourage states to implement point-of-contact systems for firearm sales that are subject to background checks. Here’s a breakdown of what the bill entails:

Grants Establishment

The bill authorizes the Attorney General to provide annual grants of up to $1,000,000 to states that comply with the legislation. Key points include:

• The grant can be renewed each year, as long as the state continues to meet the requirements.
• A total of up to $10,000,000 may be allocated each fiscal year for this program.
• States must contribute at least 75% of the cost of the point-of-contact system; the federal government can cover a maximum of 25%.
• States that comply with this act will have an advantage in receiving other discretionary grants from the Bureau of Justice Assistance.

Point-of-Contact Systems

To receive the federal grant, states must establish or maintain a point-of-contact system that adheres to the following guidelines:

• Licensed sellers must verify that any pending sale or transfer of a firearm is lawful.
• Sales cannot be finalized until both parties receive an approval number from the point-of-contact system within 10 days of initiating the sale.
• If the point-of-contact system cannot confirm the legality of the sale, it must not issue an approval number.
• A state-operated hotline must be established for contacting the National Instant Criminal Background Check System (NICS).
• A dedicated fund must be created for operating the point-of-contact system.
• An appeals process must be established for instances when an approval number is not issued, putting the onus on the state to demonstrate valid reasons for the denial.
• Any denied sales must be reported to the responsible state or local law enforcement agency for investigation as a potential legal violation.

Reporting Requirements

States receiving grants must produce an annual report that mirrors the NICS operations report and includes additional information such as:

• The number of investigations that arose from failures to issue approval numbers.
• Results from said investigations.
• Information on the appeals process, including how many denials were overturned.
• Details on the downtime of the point-of-contact system that hindered processing checks.
• The number of arrests stemming from information transfers related to denials.

Annual Audit

Each state must submit to an annual audit conducted by the FBI to ensure compliance with the guidelines set forth for the point-of-contact system.

Definitions

The bill provides various definitions to clarify terms used throughout the legislation, including:

• Firearm: Defined as per existing legal definitions in federal law.
• Law enforcement agency and unit of local government: Defined according to the relevant sections of the Omnibus Crime Control and Safe Streets Act.
• State: Includes all U.S. states, the District of Columbia, Puerto Rico, and territories of the United States.

Relevant Companies

• None found