LEGISLATIVE FISCAL ESTIMATE

[First Reprint]

SENATE, No. 2903

STATE OF NEW JERSEY

220th LEGISLATURE

 

DATED: JULY 1, 2022

 

 

SUMMARY

 

Synopsis:

Regulates sale of handgun ammunition and develops system for electronic reporting of firearm information.

Type of Impact:

Annual expenditure increase to the State General Fund.

Agencies Affected:

Department of Law and Public Safety.

 

 

Office of Legislative Services Estimate

Fiscal Impact

Year 1 

Year 2 

Year 3 

 

State Cost Increase

 

Indeterminate

 

 

 

 

 

·         The Office of Legislative Services (OLS) finds that the bill’s requirement that the Division of State Police develop and administer a program for retail dealers to electronically report transactions involving the sale, transfer, assignment, or disposition of handgun ammunition, and to establish a searchable electronic database containing that information, will result in an indeterminate annual State expenditure increase.  Depending on the division’s resource allocation policies, the initial and ongoing workload may or may not augment State administrative expenditures.

 

·         The OLS anticipates potential annual State cost savings from the elimination of the current paper-based reporting processes.

 

 

BILL DESCRIPTION

 

      Under current law, handgun ammunition is regulated to the extent that a purchaser is to establish his or her eligibility by exhibiting a firearms purchaser identification card, a permit to purchase a handgun, or a permit to carry a handgun, and that he or she is 21 years of age or older.  This bill requires an ammunition purchaser to also exhibit a driver’s license, nondriver identification card, or other government-issued form of photo identification at the time of purchase. 

      The bill requires a manufacturer or dealer of handgun ammunition to keep a detailed, electronic record of handgun ammunition sales.  The bill requires handgun ammunition retailers to immediately report to the State Police any transaction involving the sale, transfer, assignment, or disposition of 2,000 or more rounds of handgun ammunition and information relating to each transaction.  The electronic records are required to be made available for inspection at all reasonable hours by any law enforcement officer. 

      In addition, the bill requires the State Police to establish a database for retail dealers to electronically report this information.  The bill grants the Attorney General access to the information to be used for law enforcement purposes.  The reported information is to include the date of the transaction; the name of the manufacturer, the caliber or gauge, and the quantity of ammunition sold or transferred; the name, address, and date of birth of the purchaser; the identification used to establish the identity of the purchaser; and any other information that the Division of State Police requires. 

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS finds that the bill’s requirement that the Division of State Police develop and administer a program for retail dealers to electronically report transactions involving the sale, transfer, assignment, or disposition of handgun ammunition, and to establish a searchable electronic database containing that information, will result in an indeterminate annual State expenditure increase.  Depending on the division’s resource allocation policies, the initial and ongoing added workload may or may not augment State administrative expenditures. 

      The OLS anticipates potential State cost savings from the elimination of the current paper-based application and reporting processes.  For example, handgun permits currently must be completed in quadruplicate and submitted to the division, the chief of police of the buyer’s municipality, the seller, and the purchaser.  Under the bill, the division is to develop an electronic system to process or facilitate the processing of certain firearm-related applications and permits, which could streamline the current process and reduce State administrative costs.

 

 

Section:

Judiciary

Analyst:

Anuja Pande Joshi

Associate Research Analyst

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

 

 

This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

 

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).