This legislation, titled the Federal Firearm Licensee Act, aims to modernize the business of selling firearms by updating federal laws that have remained largely unchanged for over 30 years. Congress finds that current laws are inadequate, protect dealers engaged in illegal practices, and frustrate law enforcement efforts to curb firearm trafficking. The bill seeks to address these issues by enhancing accountability for firearm sellers and improving the tracing of crime guns. A key provision mandates enhanced physical security for licensed dealer premises, requiring submission of security plans and annual certification of compliance. Regulations will specify measures like locked metal cabinets, security systems, video monitoring, and access controls to prevent theft. Dealers must also conduct quarterly physical checks of their inventory and report any lost, stolen, or unaccounted-for firearms, repealing previous limitations on such requirements. The bill significantly overhauls record-keeping by requiring electronic retention of sales and disposition records, readily accessible for inspection. It mandates the National Tracing Center to establish electronic, searchable databases of all required firearm records, allowing remote access for law enforcement in criminal investigations with a warrant. Additionally, licensed dealers operating retail locations must maintain video surveillance of sales areas and retain recordings for at least 90 days, with increased penalties for record violations. Changes to background checks and sales reporting include the repeal of the temporary Brady provision and an expansion of multiple firearm sales reporting to include certain semiautomatic rifles and shotguns, or those capable of accepting high-capacity magazines. The bill requires the retention of instant criminal background check records for 90 business days, rather than their destruction, to investigate misuse or avoidance of the system. It also mandates the Attorney General to report on multiple dispositions of firearms to non-licensees. The legislation introduces new requirements for safety devices and warnings to purchasers, expanding existing provisions to all firearms and mandating the posting of state and local warnings. The Attorney General is directed to develop and distribute materials on suicide prevention, secure firearm storage, and straw purchasing for dealers to disseminate. These measures aim to promote responsible firearm ownership and reduce preventable harm. Inspections are significantly strengthened, with mandated annual inspections for dealers deemed "high-risk" based on factors like reported lost/stolen firearms, prior violations, or crime gun traces. Other licensed dealers will face inspections at least once every five years. The Attorney General must also conduct security inspections following reports of lost or stolen firearms and remove previous limitations on inspection authority. The Attorney General's authority over license issuance and renewal is expanded, allowing denial, suspension, or revocation of licenses if issuing one would pose a danger to public safety or if the applicant is unlikely to comply with the law. Licensing fees are increased for importers, manufacturers, dealers, and collectors. The bill also eliminates the obligatory stay of license revocation and removes relief for dealers indicted for serious crimes. A new category of "facilitators" of firearm transfers is defined and regulated, requiring them to be licensed and ensure that all transactions made through their commercial marketplaces are completed by a licensed importer, manufacturer, or dealer. These facilitators must maintain specific records of offers and are subject to liability for non-compliance. Furthermore, the bill mandates background checks for FFL applicants and employees who will possess or receive firearms. Finally, the bill modifies liability standards by changing the threshold from "willfully" to "knowingly" for certain violations, making it easier to hold non-compliant dealers accountable. It introduces civil penalties for engaging in business without a license and establishes tiered penalties for regulatory violations by licensed dealers, including immediate license suspension or revocation if continued operation poses an imminent risk to public safety. The legislation also authorizes the hiring of 650 additional ATF industry operation investigators and requires regular reports to Congress on its implementation and annual dealer inspections.