A bill passing the Senate reverses a federal rule that allows the use of a firearms code for transactions involving firearms, accessories, components and ammunition.
It comes after some debate from gun control advocates in recent years.
The bill’s prime sponsor – District 24 Senator Jim Mehlhaff - called it the “finest piece of legislation” this year.
He said the bill comes as a quick solution to a recent issue.
“Now we aren’t bringing this bill to stop a behavior that’s been going on for decades, or even just years. This is something that reared its head sometime in September of 2022 when the Internation Organization for Standardization – the ISO – approved a merchant category code specific to firearms and firearm retailers in order to record all firearm and ammunition transactions,” Mehlhaff said.
Gun control advocates had pushed for the ISO’s 2022 adoption of merchant code specifics for firearms.
The push came after a 2018 New York Times article cited many mass shooters and killers quote “built stockpiles of high-powered weapons with the convenience of credit.”
This helped lead to the ISO legislation that gives credit card companies an opportunity to flag suspicious firearm purchases.
Gun control advocates say the process is similar to flagging fraud and money laundering and could save many lives.
However - many Republicans claim the adoption was government overreach and could leave to unauthorized government surveillance. Some states have employed similar laws to SB 81 to protect the rights of citizens during legal firearm transactions.
Mehlhaff said this bill would resolve such problems.
“It protects Second Amendment and the privacy rights of South Dakotans,” Mehlhaff said.
The bill does outline that state government agencies can maintain a list of firearm owners in the context of criminal investigations.
It passed with overwhelming majority – 33 in favor to two opposed. It now moves to the House of Representatives.
