In this subtitle the following words have the meanings indicated. “Firearm” has the meaning stated in § 5–101 of this title. “Gun buyback program” means a program that is operated by a federal firearms licensee or a law enforcement agency that: allows firearm owners to voluntarily surrender firearms; is operated, either explicitly or impliedly, for the purpose of reducing the number of firearms in a community; and advertises that firearms that are surrendered to the program will be destroyed or made permanently inoperable. “Secretary” has the meaning stated in § 5–101 of this title.

This section does not apply to a firearm if a law enforcement agency determines that the firearm is stolen or is evidence of a crime. Subject to subparagraph (ii) of this paragraph, a federal firearms licensee or law enforcement agency operating a gun buyback program shall destroy each firearm, including every component and part attached to the firearm, that is surrendered to the federal firearms licensee or law enforcement agency at a gun buyback program. The destruction required under subparagraph (i) of this paragraph shall make the firearm and every component and part attached to the firearm permanently inoperable and unrepairable. A federal firearms licensee or law enforcement agency may contract with a law enforcement agency or a business to satisfy the requirement under paragraph (1) of this subsection. A federal firearms licensee or law enforcement agency that violates this section is subject to a fine not exceeding $10,000 per violation. If a person violates this section and the person holds a dealer’s license under § 5–106 of this title: the person shall be subject to the penalty provided in subsection (c) of this section; and the Secretary shall revoke the person’s dealer’s license in accordance with § 5–114 of this title.

A person may not operate a gun buyback program except in accordance with § 5–902 of this subtitle. A person who violates this section is guilty of a misdemeanor and on conviction is subject to a fine not exceeding $10,000.

A law enforcement agency that receives a firearm as part of a gun buyback program under this subtitle shall make reasonable efforts, including a check of the National Crime Information Center database, to determine whether the firearm is a crime firearm or has been reported as lost or stolen before the firearm or its component parts may be destroyed as required under § 5–902 of this subtitle.

Nothing in this subtitle may be interpreted as an exception to any other requirement or restriction under State or federal law relating to the purchase, rental, loan, or transfer of a firearm.