PlainBillCongress, translated.Legislation. Context. Public interest.Referred to the House Committee on the Judiciary.
Congressional Research Service
Version 00 · Introduced in House · Feb 27, 2025
Default Proceed Sale Transparency Act
This bill establishes new requirements in the case of a firearm transfer by a federally licensed dealer, manufacturer, or importer to an unlicensed person prior to the completion of a background check. Current law permits these transactions—default-proceed transactions—if a submitted background check remains incomplete after three business days.
With respect to a default-proceed transaction, the bill
requires a federally licensed dealer, manufacturer, or importer to report the transfer to the Federal Bureau of Investigation (FBI) within 24 hours;
requires the National Instant Criminal Background Check System (NICS) to prioritize completing the background check related to the transfer; and
requires the NICS to retain records related to a proposed or completed firearm transfer until the background check is complete.
Finally, the bill requires the FBI to report publicly on data related to default-proceed transactions. Further, it requires the Bureau of Alcohol, Tobacco, Firearms and Explosives to report publicly on data related to the firearms transferred in default-proceed transactions.
People & committees
Rep. Schneider, Bradley Scott [D-IL-10] · D–IL
Legislative record
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Referred to the House Committee on the Judiciary.
Introduced in House
Introduced in House
Primary sources
Text links open the official source. We also preserved the text version used in the PlainBill explanation below.
No related bills are listed in this snapshot. This does not establish whether the proposal has appeared in earlier Congresses.
Source last updated: Apr 3, 2026. Consult Congress.gov for the current record.
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PlainBill explanation
Based on the full Introduced in House · 2025-02-27 text. This explanation has not received human editorial review. This overview describes the proposal’s major provisions; it does not establish what its real-world effects would be.
This bill would require federally licensed firearm businesses to report certain transfers made before the national background-check system supplies an identification number. It would require priority completion of those checks and prohibit destroying transfer records before the related check is finished. Federal agencies would also publish annual statistics about these transfers, background-check results, and firearm recoveries. These are proposed requirements, not evidence of enacted law.
A licensed importer, licensed manufacturer, or licensed dealer who transfers a firearm in compliance with paragraph (1), but before the national instant criminal background check system provides the licensee with a unique identification number, shall report the transfer to the Federal Bureau of Investigation within 24 hours.
the system established under this section shall give priority to completing the background check relating to the transfer.
The system established under this section may not destroy any records of the system relating to a proposed or completed firearm transfer, before completion of the criminal background check with respect to the prospective or actual transferee.
Within 300 days after the date of the enactment of this Act and annually thereafter, the Director of the Federal Bureau of Investigation shall make accessible to the public a written report on—
the number of firearms transferred as described in such section 922(t)(7) during the period covered by the report, that were recovered as part of a criminal investigation, where receipt by the transferee violated such subsection (d), (g), or (n) or State, local, or tribal law, disaggregated by State;
Section 1 would name the bill the Default Proceed Sale Transparency Act.
This Act may be cited as the Default Proceed Sale Transparency Act.
Licensed firearm importers, manufacturers, and dealers would have to report a transfer to the Federal Bureau of Investigation (FBI) within 24 hours if it complies with existing section 922(t)(1) but occurs before the national instant criminal background check system supplies a unique identification number. If a state or local law enforcement authority is conducting the check, the FBI would have to forward the report to it.
A licensed importer, licensed manufacturer, or licensed dealer who transfers a firearm in compliance with paragraph (1), but before the national instant criminal background check system provides the licensee with a unique identification number, shall report the transfer to the Federal Bureau of Investigation within 24 hours. If a State or local law enforcement authority is conducting the related background check, the Federal Bureau of Investigation shall transmit the report to that authority.
Within 180 days after enactment, the Attorney General would have to create an online portal and telephone hotline exclusively for reporting enough information to let the FBI prioritize background checks under the cited law.
Within 180 days after the date of the enactment of this Act, the Attorney General shall create an online portal and telephone hotline, that are to be used exclusively for the purpose of reporting sufficient information to allow the Federal Bureau of Investigation to prioritize background checks in accordance with section 40901 of title 34, United States Code.
The national background-check system would have to prioritize completing checks for transfers covered by the new reporting requirement.
In the case of a transfer referred to in section 922(t)(7) of title 18, United States Code, the system established under this section shall give priority to completing the background check relating to the transfer.
The national background-check system could not destroy its records concerning any proposed or completed firearm transfer before completing the background check on the intended or actual recipient. This protection would cover both proposed and completed transfers.
The system established under this section may not destroy any records of the system relating to a proposed or completed firearm transfer, before completion of the criminal background check with respect to the prospective or actual transferee.
The FBI Director would have to publish a written report within 300 days after enactment and annually afterward. It would count firearms transferred under the new reporting provision, broken down by state, and how many of those firearms had completed background checks.
Within 300 days after the date of the enactment of this Act and annually thereafter, the Director of the Federal Bureau of Investigation shall make accessible to the public a written report on— (1) the number of firearms transferred as described in section 922(t)(7) of title 18, United States Code, during the period covered by the report, disaggregated by State; (2) the number of the firearms described in paragraph (1) of this subsection with respect to which the national instant criminal background check system established under section 103 of the Brady Handgun Violence Prevention Act completed the background check;
For those completed checks, the FBI report would count cases where the system supplied the specified identification number and cases where available information showed that transfer or receipt would violate the listed federal provisions or state, local, or tribal law. For each case in the latter group, it would give the reason, including the specific legal criteria barring receipt or transfer.
(3) of the number described by paragraph (2) of this subsection— (A) the number with respect to which the system provided the unique identification number under subparagraph (B)(i) or (C)(i) of section 922(t)(1) of such title; (B) the number with respect to which information available to the system demonstrated that transfer of a firearm to, or receipt of a firearm by, the transferee would violate subsection (d), (g), or (n) of section 922 of such title or State, local, or tribal law; and (C) in each case described by subparagraph (B) of this paragraph, the reason for indicating that the receipt would be a violation referred to in such subparagraph (B), including any specific prohibiting criteria that would bar the transferee from receipt of a firearm or a licensee from transferring a firearm;
For firearms in the FBI report associated with a prohibited transfer or receipt, the report would count those retrieved from recipients and those not retrieved. Each count would be broken down by state and by field division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
(4) of the number described by paragraph (3)(B) of this subsection, the number of firearms that were retrieved from the transferee, and the number of firearms that were not retrieved from the transferee, with each number disaggregated by the field division of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the State involved;
information available to the system demonstrated that transfer of a firearm to, or receipt of a firearm by, the transferee would violate subsection (d), (g), or (n) of section 922 of such title or State, local, or tribal law
The first FBI report would count background-check requests received during the preceding five years whose records were deleted without resolution. The recurring reports would also count licensed importers, manufacturers, and dealers making covered transfers, broken down by the state of sale.
(5) in the case of the first report under this section, the number of requests for criminal background checks received by the system in the preceding 5 years the records of which were purged from the system without resolution; and (6) the number of licensed importers, licensed manufacturers, or licensed dealers who transferred firearms as described in section 922(t)(7) of such title during the period covered by the report, disaggregated by the State of sale.
The ATF Director would have to publish a separate written report within 300 days after enactment and annually afterward. For covered transfers where transfer or receipt violated the listed federal provisions or state, local, or tribal law, it would report the average time between receipt and recovery of the firearm.
Within 300 days after the date of the enactment of this Act and annually thereafter, the Director of the Bureau of Alcohol, Tobacco, Firearms and Explosives shall make accessible to the public a written report on— (1) the average time between receipt and recovery of a firearm transferred as described in section 922(t)(7) of title 18, United States Code, during the period covered by the report, where the transfer to, or receipt by, the transferee violated subsection (d), (g), or (n) of section 922 of such title or State, local, or tribal law;
The ATF report would count covered firearms recovered during criminal investigations where the recipient's receipt violated the specified laws, broken down by state. Within that group, it would count firearms recovered by law enforcement outside the state of transfer and break those figures down by recovery state and transfer state.
(2) the number of firearms transferred as described in such section 922(t)(7) during the period covered by the report, that were recovered as part of a criminal investigation, where receipt by the transferee violated such subsection (d), (g), or (n) or State, local, or tribal law, disaggregated by State; and (3) of the number described by paragraph (2) of this subsection— (A) the total number of firearms that were recovered by law enforcement in States other than the State the firearm was transferred by a licensed importer, licensed manufacturer, or licensed dealer as described in such section 922(t); and (B) the information outlined in subparagraph (A) of this paragraph, disaggregated by— (i) the State where the firearm was recovered; and (ii) the State where the firearm was transferred as described in such section 922(t).
The bill would classify the FBI report as an annual statistical report and statistical aggregate data—statistics summarizing groups of cases—for purposes of a specified provision in the 2012 Justice Department appropriations law. This classification expressly applies to the FBI report under subsection (a).
A report under subsection (a) shall be considered an annual statistical report and statistical aggregate data for purposes of the sixth proviso under the heading Bureau of Alcohol, Tobacco, Firearms and Explosives—salaries and expenses in the Department of Justice Appropriations Act, 2012 (title II of division B of Public Law 112–55).
The supplied official-actions snapshot, updated April 3, 2026, records introduction in the House and referral to the House Committee on the Judiciary on February 27, 2025. It does not establish subsequent legislative action or enactment.
Source snapshot updated 2026-04-03T19:16:33Z. 2025-02-27: Referred to the House Committee on the Judiciary. 2025-02-27: Introduced in House
A closer look
Reviewed version: Introduced in House · 2025-02-27. These findings describe provisions and who may benefit; they are not judgments of waste, corruption, or motive.
This review covers the supplied bill text. “None identified” does not rule out provisions in later versions or accompanying reports and disclosures.
Provisions outside the bill’s main subject, or policy changes attached to appropriations.
None identified in the reviewed text
No unrelated provision or policy change attached to appropriations was identified in the complete supplied introduced text. This conclusion does not establish absence in other versions or accompanying materials.
Spending directed to particular recipients or places outside ordinary competitive or formula-based allocation.
None identified in the reviewed text
No congressionally directed spending for particular recipients or places was identified in the complete supplied introduced text. This conclusion is limited to that version and does not establish formal earmark status in missing accompanying materials.
Narrow exceptions, exemptions, or preferential treatment that warrant a closer look.
None identified in the reviewed text
No materially narrow preferential treatment, special exemption, or benefit carve-out was identified in the complete supplied introduced text. This conclusion does not extend to other versions or accompanying materials.
Full text preserved for this analysis. Legislative record snapshot: Apr 3, 2026. How PlainBill uses AI