To authorize the Director of the Bureau of Justice Assistance to make grants to States, units of local government, and gun dealers to conduct gun buyback programs, and for other purposes.

Safer Neighborhoods Gun Buyback Act of 2017 This bill authorizes the Department of Justice's Bureau of Justice Assistance (BJA) to make grants to states, local governments, or gun dealers to conduct gun buyback programs. The BJA may distribute smart prepaid cards for use by a state, local government, or gun dealer to compensate individuals who dispose of firearms. Additionally, the bill amends the federal criminal code to make it a crime to use or accept a smart prepaid card in the acquisition or transfer of a firearm or ammunition. A violator is subject to a fine, up to two years in prison, or both.