This bill establishes a grant program through the Department of Justice to incentivize states to develop or maintain their own point-of-contact (POC) systems for firearm sales requiring a background check. Eligible states can receive an annual grant of up to $1,000,000, with a federal share not exceeding 25 percent of the system's cost, to fund the establishment, operation, and maintenance of these systems. Furthermore, the Attorney General is directed to give preference in other discretionary grants to states that conform to these requirements. To qualify for grants, a state's laws must mandate a POC system that verifies the lawfulness of firearm sales or transfers and issues an approval number within 10 days, or denies the sale if lawfulness cannot be confirmed. The system must include a state-operated hotline for contacting the national instant criminal background check system and establish a fund for its operation. Additionally, states must implement an appeals process for denials, placing the burden of proof on the state, and transfer information about denials to relevant law enforcement agencies for investigation. Grant-receiving states are also required to publish annual reports detailing investigations, results, overturned appeals, system downtime, and arrests, and must submit to an annual audit by the Director of the Federal Bureau of Investigation.