1. U.S. Department of Justice Bureau of Alcohol, Tobacco, Firearms and Explosives Dallas Field Division

2. Agenda ATF By the Numbers ATF’s Mission ATF Explosive Fast Facts
Records
Storage
Rulings
Safety and Security
Information and Questions

3. ATF By the Numbers
ATF is comprised of approximately 2,700 Special Agents, 820 Industry Operations Investigators and 1,650 Professional Staff
Special Agents conducted over 30,900 investigations
Industry Operations Investigators conducted approximately 5,300 explosive compliance inspections and 8,700 firearms compliance inspections
(Fiscal Year 2015)

4. ATF’s Mission and Objectives

5. ATF protects the public from crimes involving firearms, explosives, arson, and the diversion of alcohol and tobacco products; regulates lawful commerce in firearms and explosives; and provides worldwide support to law enforcement, public safety, and industry partners.

6. Organized Crime Control Act
All persons must store explosives in conformity with regulatory requirements
Safe Explosives Act
Restricts availability of explosives to persons prohibited from possessing explosives, strengthen licensing and permitting requirements, and aid in the fight against terrorism.
Background checks required for Employee Possessors
Federal permit or license required to purchase explosives materials and for intrastate transfers
Physically inspect all Licensees and Permittees every 3 years

7. ATF’s Safety and Security Objectives
Ensure the integrity of records in order to facilitate the tracing of explosives and deter theft or diversion.
Investigate and detect explosives thefts or diversion and to aid in the investigation of explosive accidents.
Ensure the safe and secure storage of explosives.
Help the industry identify areas of weakness and vulnerability in security and internal controls in order to reduce the threat of terrorism, prevent crimes involving commercial explosives, and protect the general public from explosives accidents.

8. ATF Explosive Facts

9. The explosive industry is made up of more than 10,440 federal explosive licensees and permittees working in two major areas, commercial explosives and fireworks.
ATF’s jurisdiction over explosives extends to requiring licenses to those engaged in the business of importing, manufacturing and/or distributing explosives materials.

10. ATF protects the public from unsafe or unsecure storage and inspects the explosives storage magazines and records of explosives licensees and permittees on a regular basis to ensure compliance with federal explosives regulations.

11. Required Recordkeeping

12. Accountability – Audit trail from manufacture or acquisition to final use or distribution
Records of acquisitions and disposition
Daily summary of magazine transactions
Theft or Loss Report

13. Acquisitions & Disposition Records
No later than close of the next business day following the date of acquisition or distribution, enter in separate records of acquisition and disposition.
May use distributor invoices/commercial records as the acquisitions records, ONLY if they contain all required information.
Until the required entry is made in the permanent record, dealers must keep commercial records separate from other commercial documents and make available for inspection on the licensed premises.

14. Acquisitions & Disposition Records

15. Daily Summary of Magazine Transactions (DSMT)
Must include, by manufacturer’s name or brand name
The date of receipt or removal
Total quantity received in and removed from each magazine during the day
Total remaining on hand at end of the day

16. DSMT Records
Maintain at each magazine or at a central location on the premises (separate record for each magazine)
Entries of transactions must be recorded no later than the close of the next business day

17. Annual Inventory
Take an annual physical inventory of all explosive materials on hand and/or a special inventory:
When commencing business (license/permit effective date)
When changing the business location to another region
When discontinuing business
At any time ATF may require such in writing
If no special inventory is taken during the calendar year, at least 1 inventory is required.

18. Recordkeeping Requirements
Retain for at least 5 years from the transaction date and make available for inspection
Required annual physical inventory of all explosive materials on hand (if inventory does not match DSMT, a full inventory and reconciliation of any discrepancies is strongly encouraged)
When going out of business, last 5 years of records must be sent to ATF Out of Business Records Center

19. Storage

20. EXPLOSIVES MUST BE STORED IN A MAGAZINE EXCEPT WHEN:
Manufacturing
Physically handled in operating process
Being used
Being transported

21. High Explosives Type-1 permanent magazines
Explosives materials which can be caused to detonate by means of a blasting cap when unconfined. Must be stored in:
Blasting Caps
Detonating Cord
Dynamite
Shaped charges
Boosters
Flash powder
Bulk Salutes
Type-1 permanent magazines
Type-2 mobile and portable indoor/outdoor magazines
Type-3 magazines for temporary attended storage

22. Low Explosives
Explosives materials which can be caused to deflagrate when confined. Must be stored in:
Black Powder
Display Fireworks
Safety Fuse,
Igniters, igniter cord, fuse
lighters
Type 1, 2, or 4 permanent, portable or mobile magazines
Type-3 magazines for temporary attended storage

23. Blasting Agent
Any material or mixture consisting of fuel and oxidizer or certain water gels intended for blasting must be stored in:
CANNOT be detonated by means of a blasting cap when unconfined
Ammonium Nitrate- Fuel Oil
Tovex
Type 1, 2, or 4 permanent, portable or mobile magazines
Type-3 magazines for temporary attended storage
Type-5 permanent or mobile magazines

24. Tables of Distances (TOD)
Adopted to protect the public in the event of a magazine explosion
Apply to outdoor storage of explosive materials
Outdoor magazines must be located no closer to inhabited buildings, passenger railways, public highways, or other magazines in which explosives are stored, than the minimum distances specified in the TODs for storage of explosive materials.

25. Measuring for TOD
Determine minimum separation distances using the weight of explosive materials in each magazine – use the actual weight of explosive material contained in a product (exclude inert shell casing, boxes, container or packaging).
If any two or more magazines are separated by less than the specified distance, you must combine the weights in the magazines and consider them as one.
When determining the distance from a magazine, an individual should measure from the nearest edge of the magazine to the nearest edge of the inhabited building, highway, railway, or other magazine.

26. Table of Distances – Definitions
27 CFR Meaning of Terms
Ruling & 3
Highway
Inhabited Building
Passenger Railway
Barricade
Natural Barricade
Artificial Barricade
(See ATF Ruling for definitions)

27. Specific Tables For Explosive Types
27 CFR § – High Explosives
27 CFR § – Low Explosives
27 CFR § – Ammonium Nitrate and Blasting Agents from Explosives or Blasting Agents.
27 CFR § – Fireworks Process Buildings and between Fireworks Process & Non-Process Buildings
27 CFR § – Fireworks Process Buildings and other areas.
27 CFR § – Display Fireworks

28. Housekeeping
Interior must be clean, dry, and free of grit, paper, empty packages and containers. Floors to be swept regularly.
No spark-producing metal on cleaning utensils in magazine.
Keep surrounding area clear of rubbish, brush, dry grass, or trees under 10' tall, within 25’ of magazine.
Keep volatile materials at least 50' away from outdoor magazines.
Smoking, matches, open flames, and spark producing devices not permitted in any magazine, in any room containing a magazine or within 50’ of an outdoor magazine.

29. Rulings

30. ATF Rulings ATF Ruling 2012-5 – Type 4 Magazine Construction
ATF Ruling – Alternate Locks Authorized for Explosive Magazines
ATF Ruling – Locking Requirements for Outdoor Type 5 Bin and Silo Magazines
ATF Ruling – Perforating Gun Storage

31. ATF Ruling 2010-2 – Visibility of Marks on Explosives Containers Stored in Magazines
ATF Ruling – Preloading and Temporary Storage of Blasting Agents on Bulk Delivery Vehicles

32. Safety and Security

33. Report Suspicious Activity
ATF encourages industry members to report suspicious activity, e.g. delivery vehicles being followed (voluntary—not a requirement)
Notify ATF of attempted/actual magazine break-ins
Call ATF-BOMB
Immediately notify local authorities if witnessing criminal activity

34. ATF Form 5400.5, Report of Theft or Loss - Explosive Materials
Contact ATF explosives theft hotline at or ATF 24-hour hotline:
Must report theft or loss within 24 hours of discovery
Complete and submit ATF Form
Contact local authorities
Penalties for failure to report theft include $10,000 fine and up to 5 years in prison
For theft/loss reporting assistance, contact the U.S. Bomb Data Center at or

35. Identifying areas of weakness and vulnerability in security .
Safety and Security Booklet
Produced in partnership with International Society of Explosives Engineers (ISEE) and the Institute of Makers of Explosives (IME)
Provides industry members with useful tips, techniques, and tools for properly securing explosive materials
ATF hotlines and contact information

36. Good Advice Prioritize safety and security Develop a relationship with
Take frequent inventories
Keep records daily
Review security at your premises
Upgrade padlocks
Consider internal controls
Develop a relationship with
your local ATF office
Educate us about your business
Call if you have any questions
Invite the investigators to talk with your
employees about requirements and
inspections

37. Information and Questions

38. Explosives Information
ATF Federal Explosives Law and Regulations (P5400.7)
Bi-annual Explosives Industry Newsletter
Printable Pamphlets
updates

39. ATF Contacts Explosives Industry Programs Branch (EIPB)
EIPB address:
EIPB phone number: (202)
Federal Explosives Licensing Center (FELC)
FELC address:
FELC phone number: (877)
Dallas Area Office
(469)