[Congressional Record (Bound Edition), Volume 152 (2006), Part 3]
[Senate]
[Page 3912]
[From the U.S. Government Publishing Office, www.gpo.gov]




               THE PROBLEM WITH KITCHEN-TABLE GUN DEALERS

  Mr. LEVIN. Mr. President, last week, the Violence Policy Center, VPC, 
released a report which analyzes statistics related to basic Federal 
Firearms License, FFL, holders in the United States since 1992. The 
report warns of a large group of current FFL holders it calls 
``kitchen-table dealers.'' The VPC defines this group as ``individuals 
who conduct business out of their homes and offices and do not operate 
actual gun or sporting goods stores'' and estimates that more than half 
of current FFL holders fit into this group. Disturbingly, the Bureau of 
Alcohol, Tobacco, Firearms, and Explosives, ATF, found in 2000 that 23 
percent of its illegal gun trafficking investigations involved 
``kitchen-table dealers'' who were responsible for the illegal 
trafficking of more than 40,000 guns.
  According to the VPC, many ``kitchen-table dealers'' have no interest 
in actually selling firearms, but they obtain an FFL because of the 
exemptions it provides from Federal requirements including background 
checks, waiting periods, and limits on the number of guns that can be 
purchased. Under current law, an FFL holder must be a person who 
``devotes time, attention, and labor to dealing in firearms as a 
regular course of trade or business with the principal objective of 
livelihood and profit through the repetitive purchase and resale of 
firearms.'' However, a February 2000 ATF report found that 31 percent 
of FFL holders had not reported selling a single firearm in the 
previous year. Unfortunately, rather than allowing the ATF to work 
within the law to revoke illegitimate FFLs and help to eliminate a 
source of illegally trafficked firearms, opponents of commonsense gun 
safety laws inserted a provision in the fiscal year 2006 Department of 
Justice Appropriations bill which prevents the ATF from denying the 
application or renewal of a FFL due to a lack of business activity.
  In its report, the VPC calls on Congress to rescind this provision 
and proposes a number of other ideas to help eliminate the abuse of 
FFLs. Among other things, the VPC proposes that all FFL holders be 
required to operate from a storefront business devoted primarily to the 
sale of firearms, rather than a residence, and securely store 
inventories of firearms. Additionally, the VPC suggests an expansion of 
ATF's ability to inspect FFL businesses for compliance with record 
keeping and safety requirements.
  We must do more to eliminate the abuse of FFLs in order to reduce the 
number of guns that are illegally bought and sold in our communities.

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