State Firearms Dealer Licensing Enhancement Act

This bill establishes a new federal grant program under the Omnibus Crime Control and Safe Streets Act of 1968, designed to support state and Indian tribal governments. The program, administered by the Attorney General, will provide competitive annual grants for the development, implementation, improvement, or evaluation of firearms dealer licensing programs. To be eligible, applicants must have laws requiring firearms dealers to be licensed, undergo a successful application process, and submit to inspections, with licenses valid for no more than three years. These laws must also include provisions for penalties, such as license suspension or revocation, for noncompliance. Grant recipients are required to submit annual reports detailing their licensing activities, including inspections and violations, and the Attorney General must provide an annual report to Congress on the program's effectiveness and grant distribution.