(1) A dealer shall not employ a person who, in the course of the person's duties, handles firearms, processes the sale, loan, or transfer of firearms, or otherwise has access to firearms, who: (a) Has been convicted of an offense that prohibits the person from possessing a weapon pursuant to section 18-12-108; (b) Has been convicted of a misdemeanor offense described in section 24-33.5-424 (3)(b.3) within five years before the date of the person's employment application; or (c) Is prohibited from possessing a firearm pursuant to 18 U.S.C. sec. 922 (g). (2) In order to determine whether the dealer may employ a person consistent with this section, the dealer shall require a prospective employee to submit to a criminal history record check as described in subsection (3) of this section. A dealer shall only accept the results of a criminal history record check completed within seven days before the employee's first day of work. (3) (a) Before a person begins work for the dealer in a position in which the person will handle firearms; process the sale, loan, or transfer of firearms; or otherwise have access to firearms, the person shall submit to a fingerprint-based criminal history record check. The person shall pay the costs associated with the fingerprint-based criminal history record check. (b) The person shall have the person's fingerprints taken by a local law enforcement agency or any third party approved by the Colorado bureau of investigation for the purpose of obtaining a fingerprint-based criminal history record check. The person shall authorize the entity taking the person's fingerprints to submit, and the entity shall submit, the complete set of the person's fingerprints to the Colorado bureau of investigation for the purpose of conducting a fingerprint-based criminal history record check. (c) If an approved third party takes the person's fingerprints, the fingerprints may be electronically captured using Colorado bureau of investigation-approved livescan equipment. Third-party vendors shall not keep the person's information for more than thirty days. (d) The Colorado bureau of investigation shall use the person's fingerprints to conduct a criminal history record check using the bureau's records. The Colorado bureau of investigation shall also forward the fingerprints to the federal bureau of investigation for the purpose of conducting a fingerprint-based criminal history record check. The Colorado bureau of investigation, the person, the department, and the entity taking fingerprints shall comply with the federal bureau of investigation's requirements to conduct a criminal history record check. (e) The Colorado bureau of investigation shall return the results of its criminal history record check to the department, and the department is authorized to receive the results of the federal bureau of investigation's criminal history record check. The department shall use the information resulting from the criminal history record checks to investigate and determine whether a person is qualified for employment pursuant to this section. (f) When the federal bureau of investigation is unable to complete a fingerprint-based criminal history record check of a person, the Colorado bureau of investigation shall inform the department, and the department may conduct a name-based criminal history record check of the person using Colorado bureau of investigation's records as a substitute for the fingerprint-based criminal history record check required in this section. (g) When the results of a criminal history record check of a person performed pursuant to this subsection (3) reveal a record of arrest without a disposition, the department shall require the person to submit to a name-based judicial record check, as defined in section 22-2-119.3 (6)(d). (h) An employee of a dealer shall submit to a fingerprint-based criminal history record check once every three years in the manner described in this subsection (3). (4) A dealer shall maintain a copy of the notice from the department following each background check conducted pursuant to subsection (3) of this section indicating that a person is qualified for employment. The dealer shall maintain a copy of the notice for the duration of the person's employment and shall make the notice available to the department during an on-site inspection of the dealer's place of business. (5) (a) Notwithstanding the requirement in subsection (1) of this section, a person employed by a dealer on July 1, 2025, who submits fingerprints for a background check pursuant to subsection (3) of this section before July 8, 2025, may continue employment without the results of a background check until the department determines whether the employee is qualified for employment pursuant to this section following the background check. (b) This subsection (5) is repealed, effective December 31, 2025. (6) If a dealer knowingly employs a person in violation of this section, the department shall: (a) For a first offense, issue a warning to the dealer that includes a description of the offense and the penalty for subsequent offenses; and (b) For a second or subsequent offense, revoke the dealer's state permit. A dealer who has had a state permit revoked pursuant to this subsection (6)(b) may apply for a new permit no sooner than three years after the revocation.
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