During a recent session of the West Virginia Senate Banking and Insurance Committee, lawmakers discussed Senate Bill 776, known as the Firearms Industry Non-Discrimination Act. This proposed legislation aims to prevent state government and its subdivisions from entering into contracts with financial institutions that discriminate against firearm-related entities.

The bill, introduced at the request of the executive branch, outlines two primary provisions. First, it prohibits the state from contracting with any financial institution that discriminates against firearm manufacturers, distributors, or trade associations. An exception exists for unique services that can only be provided by a specific supplier.

Secondly, the bill mandates that any financial institution doing business with the state must not discriminate against firearm entities. However, there are exceptions for institutions that do not provide services for business reasons, those acting under directives from regulatory bodies, or those with written policies against discrimination.

The legislation includes a comprehensive definition section, clarifying terms such as "financial institution," which encompasses a wide range of entities beyond traditional banks, including credit unions, investment companies, and even pawnbrokers. It also defines "governmental entity" and "firearm entity," ensuring clarity in the bill's application.

Importantly, the bill allows individuals harmed by violations to pursue civil action for damages and mandates that the Attorney General can take action against non-compliant financial institutions. If a violation occurs, the Attorney General is required to report the offending institution to the governor, who may then terminate any business relationship with them.

As the committee continues to review the bill, it remains to be seen how this legislation will impact the relationship between the state and financial institutions, as well as the broader firearms industry in West Virginia. The discussions reflect ongoing efforts to address concerns about discrimination against firearm-related businesses, a topic that resonates deeply within the community.