HB5694 S RULES AM # 3-7

Sarah Stewart

The Committee on Rules moved to amend the bill by striking out everything after the enacting clause and inserting in lieu thereof the following:

§5A-3-64. Firearms Industry Nondiscrimination Act.

(a) Short title. – This Act shall be known and may be cited as “the Firearms Industry Nondiscrimination Act.”

(b) Definitions. – For purposes of this section:

(1) “Ammunition” has the meaning set forth in §31A-2B-3 of this code.

(2) “Company” means a corporation, partnership, joint venture, limited partnership, limited liability partnership, limited liability company, organization, association, or any other business entity that has 10 or more employees and operates to earn a profit: Provided, That the term does not include a sole proprietorship.

(3) "Contract" means a promise or set of promises constituting an agreement between the parties that gives each a legal duty to the other and the right to seek a remedy for the breach of those duties: Provided, That the term does not include an agreement related to investment services.

(4) "Discriminate against a firearm entity or firearm trade association" means, with respect to the entity or association to:

(A) Refuse to provide or engage in services with the entity or association based on its status as a firearm entity or firearm trade association, which includes the lawful products and services provided by, and the lawful practices of, firearm entities and firearm trade associations;

(B) Refrain from continuing an existing business relationship with the entity or association based on its status as a firearm entity or firearm trade association, which includes the lawful products and services provided by, and the lawful practices of, firearm entities and firearm trade associations; or

(C) Terminate an existing business relationship with the entity or association based on its status as a firearm entity or firearm trade association, which includes the lawful products and services provided by, and the lawful practices of, firearm entities and firearm trade associations.

(D) The term does not include the policies of a vendor, merchant, retail seller, or platform that restrict or prohibit the listing or selling of ammunition, firearms, or firearm accessories.

(E) The term also does not include a decision to refrain from continuing an existing business relationship, or decision to terminate an existing business relationship to comply with federal, state, or local laws, policies, or regulations or a directive by a regulatory agency, or for any traditional business reason that is specific to the customer or potential customer and not based on the status of an entity or association as a firearm entity or firearm trade association, which includes the lawful products and services provided by, and the lawful practices of, firearm entities and firearm trade associations.

(5) "Firearm" has the meaning set forth in §31A-2B-3 of this code.

(6) “Firearm accessories or components” has the meaning set forth in §31A-2B-3 of this code.

(7) "Firearm entity" means:

(A) A firearm, firearm accessory, or ammunition manufacturer, distributor, wholesaler, supplier, or retailer;

(B) A firearm trade association that has two or more firearm entities as members and is exempt from federal income taxation under section 501(a) of the Internal Revenue Code of 1986, as an organization described by section 501(c) of such code; or

(C) A shooting range, as defined in §61-6-23 of this code.

(8) “Public entity” means the state of West Virginia, or any political subdivision thereof, and all spending units of state government.

(9) “Sole source provider” means a supplier who provides services of a unique nature or services that are solely available through the supplier and the supplier is the only practicable source to provide the services.

(c) Effective July 1, 2024, a public entity may not enter into a contract with a company for goods or services valued at $100,000 or more unless the contract includes a written certification that the company is not currently engaged in, and will not for the duration of the contract, engage in discrimination against firearm entities.

(d) If a public entity learns that a company has made the certification required in subsection (c) of this section but is engaged in discrimination against firearm entities at the time the certification is made or during the duration of the contract, the public entity shall immediately take steps necessary to terminate the contract in a commercially reasonable manner.

(e) If the Attorney General determines that a company has made the certification required in subsection (c) of this section but is engaged in discrimination against firearm entities at the time the certification is made or during the duration of the contract, the Attorney General may file a cause of action against that the company for breach of contract, fraudulent misrepresentation, or any other legal grounds determined appropriate by the Attorney General. If the Attorney General prevails in such action, the court shall award reasonable attorneys’ fees to the State, actual damages, and any punitive damages determined appropriate by the court.

(f) The requirements of this section do not apply to contracts between a public entity and a sole source provider.  

(g) The Director of the Purchasing Division is authorized to promulgate legislative rules, including emergency rules, to implement the provisions of this section.