ATF Attempting to Reclassify Small Arms Ammunition

"NFATCA took the lead on an issue that could have far-reaching consequences in the NFA and Sporting communities. It was learned that ATF was seeking to create a definition of small arms ammunition under the aegis of the Safe Explosives Act. The definition was being created as an opinion letter and had no input from the firearms community. More importantly, it could have arrived as a declaration that all ammunition above .50 caliber would now be classified as an explosive. New licensing, regulation, administration and the prospect of re-classifying all weapons that used these new explosives were a very real possibility. The fact that this was "flying under the radar" of traditional firearms advocacy groups was troubling, to say the least."

About the Safe Explosives Act :

The Safe Explosives Act (the Act) was signed into law by the President on November 25,
2002. The legislation takes effect in two parts. The first two provisions outlined below
are effective 60 days after enactment. The last three provisions outlined below are
effective 180 days after enactment.

Effective January 24, 2003:

1. New Prohibited Persons Categories: The Act adds three new categories of
persons prohibited from receiving or possessing explosives: (1) aliens (with
limited exceptions); (2) persons who have been dishonorably discharged from the
military; and (3) citizens of the United States who have renounced their
citizenship. These categories have been added to the pre-existing list of
prohibited persons, which includes felons; fugitives; users of, and persons
addicted to, controlled substances; and persons who have been adjudicated mental
defectives or committed to mental institutions. All prohibited persons are
permitted to apply to the Bureau of Alcohol, Tobacco and Firearms (ATF) for
relief from Federal explosives disabilities.

2. Samples: When requested by ATF, manufacturers and importers of explosive
materials, including Ammonium Nitrate, must submit samples of these materials
to ATF, as well as information on their chemical composition or other
information. This will assist ATF in the identification of explosives found at
crime scenes.

Effective May 24, 2003:
1. Intrastate Permit: Intrastate users of explosives must first obtain an ATF
"limited permit" prior to receiving explosive materials. Intrastate users may
include, for example, farmers or construction companies that acquire and use
explosives infrequently and within their own State of residence. The limited
permit will allow the purchaser to receive explosive materials from an in-State
explosives licensee or permittee on no more than six (6) occasions during the
period of the permit. The limited permit will be valid for one year. Currently,
intrastate users are exempt from most provisions of Federal explosives law. By
contrast, interstate users of explosives must obtain ATF user permits; importers,
manufacturers, and dealers in explosive materials must obtain ATF licenses. The
limited permit will not authorize the permittee to transport or use explosives
interstate. This provision is significant, as ultimately all persons possessing
explosive materials in either interstate or intrastate commerce must first obtain a
Federal license or permit issued by ATF.

2. New Required Industry Information for More Thorough ATF Background
Checks: ATF must approve an explosives license or permit application if, among
other things, the applicant is not prohibited from possessing explosives.
Responsible persons (e.g., facility site managers, corporate officers) will now be
required to submit to ATF identifying information, fingerprints, and photographs.
Employees of licensees and permittees who will be possessing explosive materials
must submit only identifying information. ATF must issue "letters of clearance"
for those responsible persons and possessor employees who are not prohibited
from possessing explosives. If ATF determines that a responsible person or
employee is subject to an explosives prohibition, ATF must provide specific
information to the employer and to the prohibited person (e.g., advise of appeal
procedures). This new provision is significant, as all persons possessing
explosive materials in either interstate or intrastate commerce will have to
undergo a background check conducted by ATF.

3. Inspections: Generally, ATF will have to physically inspect all ATF licensees
and permittees at least once every three calendar years for compliance with
Federal explosives storage regulations.
?? In the case of user permits and licenses, ATF must verify by visual inspection
that new applicants and renewal applicants have places of storage for
explosive materials that meet the standards of safety and security set forth in
the regulations.



Jim Johhnson is an expert in setting up firearms dealer merchant accounts and a specialist in credit card processing.