NM SB17 Summery

NSSF – SENATE BILL 17 SUMMARY

The bill imposes an unnecessary and draconian regulatory scheme on federally licensed firearm dealers in the state.  It also bans the transfer of magazines capable of holding more than ten rounds, NFA-registered machine guns, and a wide array of common semi-automatic firearms.

Directs the Department of Public Safety to promulgate rules requiring the following security measures be taken by dealers:

  • Installation of a Department-approved security system that meets minimum requirements established in the legislation
  • Use of loosely defined physical site hardening measures
  • Installation and use of video cameras at all points of sale and both sides of every external door.  All video recordings must be retained for a minimum of two years.
  • Any other “reasonable” measures the Attorney General or Department may deem reasonable.  This includes measures to prevent theft of firearms being shipped.

Authorizes the Department to impose some or all of these security requirements on gun shows, defined as an event where 25 or more firearms are offered for sale or transfer.

Prohibits dealers from hiring employees under the age of 21 who may “handle, sell, or deliver firearms.”  Dealers must perform criminal background checks on employees.  Frequency of checks is not specified.

Requires all dealer employees to complete annual training developed by the Department which includes a minimum of:

  • Familiarity with state and federal law governing firearm transfers
  • Strategies to recognize and prevent straw purchases
  • How to recognize and report “fraudulent activity”
  • How to educate customers on gun safety practices and safe storage
  • Any other material the Department “deems necessary and appropriate”

Establishes a state requirement for dealers to maintain records pertaining to all purchases, sales, acquisitions, and dispositions and details what information must be included.

Requires all dealers to perform a monthly inventory check and maintain all records of BATFE trace requests for a period of six years.

Mandates dealers allow any law enforcement officer access to all state-required records during business hours.  Other than designating it confidential, there is no prohibition against the misuse of this information, creation of gun owner registries, etc.

Specifies that a dealer who discontinues operations must transfer all state-required records to the successor dealer, or to the Department within 30 days if there is no successor.

Requires dealers to report transactions to the Department involving more than one firearm within a period of five business days, presumably transactions to the same person.

Directs that all thefts or losses of dealer firearms be reported to the Department within 48 hours of discovery.

Provides dealers a 24-hour deadline for responding to all law enforcement requests for traces or records.

Requires dealers to provide quarterly reports to the Department and Attorney General concerning the number of trace requests and details of the firearms involved.  These reports shall disclose whether a BATFE inspection has been conducted within the last ten years and provide actions taken by BATFE.

Directs dealers and manufacturers to notify the Department within 24 hours after the conclusion of a BATFE inspection and requires them to send the Department any resulting reports of violations or letters where they will be permanently retained.

Mandates dealers submit an annual report to the department detailing the number of firearms sold or transferred during the year and make and model of those firearms.  The number of completed Form 4473s during the year shall be included.

Prohibits the sale or transfer of the following firearms, ammunition, or devices after July 1, 2026:

  • Detachable magazines capable of holding more than 10 rounds of ammunition
  • .50 caliber rifles and cartridges
  • Gas-operated semiautomatic firearms that can accept detachable magazines, or that are equipped with a fixed magazine capable of holding more than 10 rounds
  • Registered machine guns

Exempts the following firearms from the sale and transfer prohibition:

  • Firearms that fire .22 and smaller caliber rimfire ammunition
  • Antique firearms
  • Firearms that are single shot, breech-loading with a capacity not exceeding 2 rounds, muzzleloading, bolt-action, lever-action, or pump-action.
  • Single or double action semiautomatic handguns that use recoil to cycle action
  • Firearms with fixed magazine not capable of holding more than 10 rounds

Specifies that government officials and federally licensed dealers, distributors, and manufacturers are exempted from the prohibition. 

Requires dealers to annually certify to the Department that they are in compliance with the law. 

Directs the Department to promulgate rules establishing an inspection process for dealers that must occur at least once every three years.  Dealers shall provide the Department unfettered access to the entire premises during the inspection.

Requires the Department to issue an annual report disclosing inspection results.  This shall include a name-and-shame campaign against all dealers who have firearms that have passed through their dealerships involved in trace requests or criminal investigations.

Creates posting requirements for all dealer premises.