Statement of Bureau of Alcohol, Tobacco,
Firearms and Explosives
Deputy Director Richard J. Hankinson
before the House Subcommittee on Crime
Committee on the Judiciary

May 6, 2003

Mr. Chairman, Mr. Scott, and members of the Subcommittee, I am pleased to be here this afternoon on behalf Director Buckles, representing the men and women of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Thank you for this opportunity to testify.

This is our first time before this committee as a part of the Department of Justice and I am confident you will find that ATF provides great value to the American public, and that we are responsive, thoughtful and effective in the way in which we approach our business. I am equally confident that - as you get to know ATF - you will come to share my pride in its people and their accomplishments.

ATF traces our roots to 1791, when Alexander Hamilton imposed the first Federal tax on distilled spirits. The collection of this tax by revenue officers appointed by President Washington was no easy task and, in some cases, was met with violent physical resistance, such as the Whiskey Rebellion of 1794.

Since then we have been granted and maintained jurisdiction over Federal firearms enforcement and regulation; and we investigate crimes committed via arson and explosives, as well as investigate tobacco smuggling. Above all, our mission today is to reduce violent crime and protect the public. We currently have 2305 special agents; 666(check number on backgrounder) inspectors and 1810 other employees who support our mission.

In fiscal year 2002, ATF initiated 27,241 firearms investigations (including nearly 13,000 NICS referrals). ATF criminal case referrals have resulted in over 6,660 indictments and more than 5,l00 convictions in fiscal year 2002. Also in fiscal year 2002, ATF initiated 3,221 arson and explosives investigations that resulted in 780 defendants recommended for prosecution. Additional arson and explosives cases resulted in 421 indictments and 430 convictions during fiscal year 2002.

ATF's experience has resulted in our assisting in every major explosives investigation in the United States, including: the World Trade Center bombing of 1993; the Murrah Federal Building bombing, and the terrorist acts of September 2001 in New York, the Pentagon, and western Pennsylvania. It was during these major events that ATF contributed unique skills, knowledge and jurisdiction while working closely with other law enforcement agencies at the Federal, State and local levels.

On January 24 of this year, the Homeland Security Act transferred the public safety functions of ATF, both law enforcement and regulatory, to the Department of Justice. The revenue collection (including related law enforcement authorities) and consumer protection functions previously preformed by ATF remain in the Department of the Treasury. A great deal of time, effort, and resources were devoted to ensuring a seamless transition, and we believe those efforts have been successful.

The Department of Justice is the right place for the newly configured ATF. We share a common cause in law enforcement. We share a common mission in protecting the public. And we share a deep commitment to ensuring a safer America. We believe that ATF's mission and expertise will complement other Justice Department assets and agencies as we work together to defeat the nation's number one threat: terrorism. We have worked with Justice components in the past and those experiences have proven positive to the American public. We look forward to strengthening this on-going relationship. In no way does this transfer duplicate missions within DOJ because ATF and each Justice component brings unique jurisdiction, missions, responsibilities, and talents to the table.

The transition has been smooth, but ATF does face significant challenges in what remains of 2003, and into 2004 as a result of a significant increase in responsibilities from the new explosives control laws. The Safe Explosives Act, approved by this committee and included in the larger Homeland Security Act, amended Federal Explosives laws enforced by ATF since 1970. It expands the categories of persons prohibited from purchasing or possessing explosives, requires a federal permit of all retail purchasers of explosives, and mandates additional ATF inspection activity.

The new categories of prohibited persons include non-permanent resident aliens, persons who have renounced their US citizenship and persons dishonorably discharged from the military. The Safe Explosives Act also requires background checks on all purchasers of explosives, and in some cases, on the employees of companies that purchase explosives. Today, a purchaser merely self-certifies on a form that he is not a prohibited person. Beginning this month, May 24, no one will be able to lawfully purchase explosives without a license or permit issued by ATF.

The new law also mandates that we physically inspect permit premises to ensure compliance with rules on the safe and secure storage of explosives. Although the timing and frequency of these inspections varies with the type of permit, the new law still mandates more inspection work than ATF has performed in the past.

ATF currently has less than 500 inspectors to police over 100,000 firearms licensees and over 8,000 explosives licensees and permitees. With the new permit requirements of the Safe Explosives Act, the number explosives permittees is expected to increase by a minimum of 10,000. ATF aims, by this law, to keep explosives out of the hands of those who would use them against us, while facilitating the acquisition of explosives for use in industry and agriculture.

Despite these challenges, the men and women of ATF continue to perform as dedicated professionals and reliable partners in our enforcement of our nation's firearms, explosives, arson and alcohol and tobacco diversion laws. Perhaps the most effective way to provide a clearer picture of their work is to highlight ATF's involvement in several high profile cases over the past few months.

• This past fall, nearly 650 ATF special agents, forensic lab personnel, firearms examiners, and support staff joined forces with other law enforcement agencies in the DC Sniper case. This on-going investigation crossed state and international borders and is one of the very best examples of the strong law enforcement partnerships that ATF has built over the years.
  
  
• In February, ATF agents in Rhode Island responded to one of the worst nightclub fires in our Nation's history which resulted in 99 deaths. ATF special agents and our National Response Team responded immediately and evidence gathered at the fire scene is currently being examined and analyzed at ATF's National Laboratory.
  
  
• During 2002, an ATF investigation in North Carolina resulted in convictions for contraband cigarette trafficking, money laundering, and providing material support to a terrorist organization. The case revealed a conspiracy where in the defendants were illegally trafficking cigarettes between North Carolina and Michigan, and through various methods funneling the profits back to the Hezbollah.

In addition to these and many other important criminal investigations, ATF is a proud participant in the President's Project Safe Neighborhoods initiative. While the threat of terrorism from outside the United States is real, the criminal misuse of firearms and the resulting loss of life is a daily event. Recent statistics show that more than 10,000 lives are lost annually to criminals with a gun, and for every fatal shooting there were three non-fatal shootings. Untold numbers of people are terrorized each year by the threatened use of a gun. While we are ever alert to a possible terrorist angle to everything we do, the overwhelming majority of our work is directed at reducing gun violence in the streets and neighborhoods of this great nation.

The President's Project Safe Neighborhood provides for the effective use of Federal resources through a series of locally designed and driven anti-crime efforts. ATF anchors the Federal enforcement efforts in projects around the country. United States Attorneys leads PSN initiatives by bringing State and local police and prosecutors together with ATF and other federal resources to develop unified strategies tailored to the problems of particular communities.

One component of PSN is specifically designed to protect our youth. The Youth Crime Gun Interdiction Initiative seeks to reduce firearms-related violence among our nation's youth by identifying and interrupting the sources of illegal firearms. This program is due to be expanded from 50 to 60 cities in FY 2004.

This is but a snapshot of what we do. Thank you for taking the time to permit me to testify today. We look forward to working with you and the other committees charged with the oversight of the Department of Justice and its components. I would be happy to answer any questions the committee may have.

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