Dealer and employee background checks

(a) Requirements (1) Background checks required before issuance or renewal of dealers license Section 923(c)(1) of title 18, United States Code, as so designated by section 12 of this Act, is amended by inserting after the first sentence the following: Notwithstanding the preceding sentence, the Attorney General may not issue or renew a license unless the Attorney General has contacted the national instant criminal background check system established under section 103 of the Brady Handgun Violence Prevention Act (34 U.S.C. 40901) to determine whether it would be unlawful for the applicant, or any employee of the applicant identified by the applicant on the application as trusted with the possession or receipt of any firearm, to be transferred or receive a firearm, and the system has notified the Attorney General that the information available to the system does not demonstrate that the transfer to or receipt of a firearm by the applicant or any such employee would violate subsection (d), (g), or (n) (as applicable) of section 922 or State, local, or Tribal law where the business premises of the applicant subject to the license is located.. (2) Background check required before firearm possession by dealer employee Section 923(g) of title 18, United States Code, as amended by section 7 of this Act, is amended by adding at the end the following: (11) A licensed dealer may not allow an employee to possess a firearm at a premises from which the licensed dealer conducts business subject to license under this chapter, unless— (A) the employee is at least the minimum age required by State and local law to possess or receive a firearm; (B) the licensed dealer has contacted the national instant criminal background check system established under section 103 of the Brady Handgun Violence Prevention Act (34 U.S.C. 40901) to determine whether transfer of a firearm to, or receipt of a firearm by, the individual would be unlawful; and (C) the system has notified the licensee that the information available to the system does not demonstrate that the transfer of a firearm to, or receipt of a firearm by, the individual would violate subsection (d), (g), or (n) (as applicable) of section 922 or State, local, or Tribal law.. (b) Authority of NICS system To respond to licensed dealer request for criminal background check of employee or applicant for employment Section 103(b)(2) of the Brady Handgun Violence Prevention Act (34 U.S.C. 40901(b)(2)) is amended— (1) in the heading, by striking Voluntary and inserting Compulsory; and (2) in subparagraph (A), by striking voluntarily. (c) Authority of NICS system To search national data exchange Section 103(e)(1) of the Brady Handgun Violence Prevention Act (34 U.S.C. 40901(e)(1)) is amended by adding at the end the following: (L) Search of national data exchange database The system established under this section shall include a search of the database of the National Data Exchange when conducting a background check under this section..