text: SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
  
      (a) Short Title.--This Act may be cited as the ``Safer 
  Neighborhoods Gun Buyback Act of 2015''.
      (b) Table of Contents.--The table of contents for this Act is as 
  follows:
  
  Sec. 1. Short title; table of contents.
                     TITLE I--GUN BUYBACK GRANT PROGRAM
  
  Sec. 101. Program authorized.
  Sec. 102. Applications.
  Sec. 103. Term of grant.
  Sec. 104. Smart prepaid cards.
  Sec. 105. Uses of funds.
  Sec. 106. Definitions.
  Sec. 107. Authorization of appropriations.
                        TITLE II--CRIMINAL PROVISION
  
  Sec. 201. Use of smart prepaid card to buy or sell a firearm.
  
                     TITLE I--GUN BUYBACK GRANT PROGRAM
  
  SEC. 101. PROGRAM AUTHORIZED.
  
      (a) In General.--The Director of the Bureau of Justice Assistance 
  (referred to in this title as the ``Director'') may make grants to 
  eligible entities to conduct gun buyback programs.
      (b) Eligible Entity Defined.--In this title, the term ``eligible 
  entity'' means--
              (1) a State;
              (2) a unit of local government; or
              (3) a gun dealer if neither the unit of local government 
          nor the State where such dealer is located receives a grant 
          under this title.
  
  SEC. 102. APPLICATIONS.
  
      (a) Grants.--The chief executive of an eligible entity seeking a 
  grant under this title shall submit an application to the Director at 
  such time and containing such information as the Director may 
  reasonably require.
      (b) Subgrants.--A gun dealer located in a unit of local government 
  or State that does receive a grant under this title seeking a subgrant 
  shall submit an application to the chief executive of such unit of 
  local government or State at such time and containing such information 
  as the chief executive may reasonably require, including proof of such 
  dealer's license under section 923 of title 18, United States Code.
  
  SEC. 103. TERM OF GRANT.
  
      (a) Term.--The term of a grant awarded under this title shall be 
  two years.
      (b) Availability of Grant Funds.--
              (1) States or units of local government.--A State or unit 
          of local government that receives a grant under this title 
          shall return to the Director any remaining smart prepaid cards 
          and any unused portion of such grant at the end of the two-year 
          and 270-day period beginning on the date that the grant was 
          awarded.
              (2) Gun dealers.--A gun dealer that receives a grant or 
          subgrant under this title shall return to the Director any 
          remaining smart prepaid cards and any unused portion of such 
          grant or subgrant that was allocated to be used to buy back 
          guns--
                      (A) in the case of a gun dealer receiving a grant, 
                  at the end of the two-year period beginning on the date 
                  that the grant was awarded; or
                      (B) in the case of a gun dealer receiving a 
                  subgrant, at the end of the two-year period beginning 
                  on the date that the grant was awarded to the State or 
                  unit of local government from which the gun dealer 
                  received a subgrant.
      (c) Amounts Returned.--The Director shall return to the general 
  fund of the Treasury any amounts returned under subsection (b).
  
  SEC. 104. SMART PREPAID CARDS.
  
      (a) In General.--In conducting the grant program authorized under 
  section 101, the Director may reserve such funds as may be necessary to 
  acquire and distribute smart prepaid cards to eligible entities that 
  receive grants under this title. The Director shall distribute the 
  smart prepaid cards without any funds loaded onto the cards.
      (b) Market Value of Guns.--The Director shall determine the market 
  value of each gun that the Director determines should be included in 
  the gun buyback program and make such information publicly available.
      (c) Prohibition on Use of Cards To Buy Guns.--
              (1) In general.--A person may not use a smart prepaid card 
          in the acquisition of a gun or ammunition, and a person may not 
          accept a smart prepaid card in the transfer (including a loan) 
          of a gun or ammunition.
              (2) Penalty.--A person that violates paragraph (1) shall 
          pay to the Director an amount that is equal to the value of the 
          prohibited sale.
  
  SEC. 105. USES OF FUNDS.
  
      (a) States and Units of Local Government.--A State or unit of local 
  government receiving a grant under this title shall use such funds to 
  do the following:
              (1) Gun buyback program.--Use such funds to--
                      (A) conduct a gun buyback program; or
                      (B) make subgrants to gun dealers in such State or 
                  unit of local government to conduct gun buyback 
                  programs, and distribute the smart prepaid cards such 
                  State or unit of local government receives to gun 
                  dealers receiving subgrants.
              (2) Gun and ammunition recycling program.--Use not more 
          than 10 percent of such funds to recycle the guns and 
          ammunition that such State or unit of local government collects 
          or receives from gun dealers.
              (3) Administrative costs.--Use not more than 15 percent of 
          such funds for the administrative costs of carrying out the 
          grant program under this title, including the criminal database 
          checks under subsection (f).
      (b) Gun Dealers.--
              (1) In general.--A gun dealer receiving a grant or subgrant 
          under this title shall use such funds to conduct a gun buyback 
          program.
              (2) Smart prepaid card amounts.--
                      (A) In order to purchase a gun through a gun 
                  buyback program, a gun dealer shall load onto a smart 
                  prepaid card 125 percent of the market value of the gun 
                  that the individual wishes to dispose of (as determined 
                  by the Director under section 104(b)).
                      (B) A gun dealer may increase the purchase price of 
                  a gun and load an amount onto a smart prepaid card that 
                  is greater than 125 percent of the market value of the 
                  gun if the gun dealer determines that the gun has been 
                  altered in a way that would increase the market value 
                  of the gun (such as an altered grip, or the addition of 
                  a scope).
              (3) Guns received.--
                      (A) In the case of a gun dealer receiving a grant 
                  under this title, the gun dealer shall deliver a gun or 
                  ammunition the dealer receives under the gun buyback 
                  program to the closest office of the Bureau of Alcohol, 
                  Tobacco, Firearms and Explosives not later than 60 days 
                  after receiving such gun.
                      (B) In the case of a gun dealer receiving a 
                  subgrant under this title, the gun dealer shall deliver 
                  a gun or ammunition the dealer receives under the gun 
                  buyback program to the State or unit of local 
                  government from which it receives the subgrant not 
                  later than 60 days after receiving such gun.
      (c) Ammunition Collection.--A State, unit of local government, or 
  gun dealer conducting a gun buyback program under this title may accept 
  ammunition from individuals wishing to dispose of it, which shall be 
  recycled in accordance with paragraph (3), but may not use smart 
  prepaid cards to purchase ammunition under the gun buyback program.
      (d) Incentives for Gun Dealer Participation.--To the extent that 
  the Director determines necessary to facilitate participation of gun 
  dealers in the gun buyback program, grant funds may be used to provide 
  monetary or other incentives to gun dealers to participate in such 
  program. For purposes of subsection (a), any such incentives shall be 
  treated as part of the subgrant to the gun dealer described in 
  paragraph (1)(B) thereof.
      (e) Resale of Guns Prohibited.--A State, unit of local government, 
  or gun dealer conducting a gun buyback program under this title may not 
  sell a gun or ammunition received under such program.
      (f) Criminal Database Check.--A State, unit of local government, or 
  office of the Bureau of Alcohol, Tobacco, Firearms and Explosives that 
  receives a gun under a gun buyback program under this title shall, not 
  later than 21 days after receiving the gun, use any database accessible 
  to the State, unit of local government, or office of the Bureau of 
  Alcohol, Tobacco, Firearms and Explosives, as applicable, in order to 
  determine whether the gun was used in the commission of a crime. If 
  such a gun was used in the commission of a crime, the gun shall be 
  delivered to the appropriate prosecuting authority.
  
  SEC. 106. DEFINITIONS.
  
      In this title:
              (1) Ammunition.--The term ``ammunition'' has the meaning 
          given such term in section 921(a)(17)(A) of title 18, United 
          States Code.
              (2) Gun.--The term ``gun'' means ``firearm'' as defined in 
          section 921(a)(3) of title 18, United States Code.
              (3) Gun buyback program.--The term ``gun buyback program'' 
          means a program under which a State, a unit of local 
          government, or a gun dealer, using smart prepaid cards as 
          described in section 105(b)(2), purchases back from individuals 
          wishing to dispose of them, a gun identified by the Director 
          under section 104(b).
              (4) Gun dealer.--The term ``gun dealer'' means a dealer of 
          firearms licensed under section 923 of title 18, United States 
          Code.
              (5) Smart prepaid card.--The term ``smart prepaid card'' 
          means a card issued by the Director that--
                      (A) is redeemable at multiple, unaffiliated 
                  merchants or service providers;
                      (B) contains a mechanism, for the purpose of 
                  preventing the cardholder from using it to purchase a 
                  gun or ammunition, that recognizes the merchant 
                  category code of a merchant and prohibits the use of 
                  such card at a place of business subject to a license 
                  to deal in firearms under section 923 of title 18, 
                  United States Code;
                      (C) is honored, upon presentation, by merchants 
                  solely for goods or services, except for merchants 
                  described in subparagraph (B);
                      (D) is loaded on a prepaid basis by a State, unit 
                  of local government, or gun dealer for use in a gun 
                  buyback program;
                      (E) clearly and conspicuously bears the words 
                  ``THIS CARD MAY NOT BE USED TO PURCHASE A GUN OR 
                  AMMUNITION'' in capital and raised letters on the card; 
                  and
                      (F) may not redeemed for coins or currency.
              (6) State.--The term ``State'' means each of the 50 States, 
          the District of Columbia, or any commonwealth, territory, or 
          possession of the United States.
  
  SEC. 107. AUTHORIZATION OF APPROPRIATIONS.
  
      There is authorized to be appropriated $360,000,000 for each of 
  fiscal years 2017 through 2019 to carry out this title.
  
                        TITLE II--CRIMINAL PROVISION
  
  SEC. 201. USE OF SMART PREPAID CARD IN THE ACQUISITION OR TRANSFER OF A 
                FIREARM.
  
      (a) In General.--Chapter 44 of title 18, United States Code, is 
  amended by adding at the end the following:
  ``Sec. 932. Use of smart prepaid card in the acquisition or transfer of 
                a firearm
      ``Whoever, in or affecting interstate or foreign commerce, uses a 
  smart prepaid card (as such term is defined in section 106 of the Safer 
  Neighborhoods Gun Buyback Act of 2015) in connection with the 
  acquisition of, or accepts a smart prepaid card in connection with the 
  transfer (including a loan) of a firearm or ammunition shall be fined 
  under this title, imprisoned for not more than 2 years, or both.''.
      (b) Clerical Amendments.--
              (1) Conforming amendment.--Section 924(a)(1) of title 18, 
          United States Code, is amended by inserting after ``section 
          929'' the following: ``or section 932''.
              (2) Table of sections.--The table of sections at the 
          beginning of chapter 44, United States Code, is amended by 
          inserting after the item relating to section 931 the following:
  
  ``932. Use of smart prepaid card in the acquisition or transfer of a 
                              firearm.''.
target: Safer Neighborhoods Gun Buyback Act of 2015 This bill authorizes the Department of Justice's Bureau of Justice Assistance (BJA) to make grants to states, local governments, or gun dealers to conduct gun buyback programs. The BJA may distribute smart prepaid cards for use by a state, local government, or gun dealer to compensate individuals who dispose of firearms. Additionally, the bill amends the federal criminal code to make it a crime to use or accept a smart prepaid card in the acquisition or transfer of a firearm or ammunition. A violator is subject to a fine, up to two years in prison, or both.
feat_title: Safer Neighborhoods Gun Buyback Act of 2015