Firearms Dealer Penalty Flexibility Act of 2000 - Amends the Brady Handgun Violence Prevention Act to authorize the Secretary of the Treasury, after notice and opportunity for hearing, to: (1) suspend or revoke any license under the Act, or to subject the licensee to a civil penalty of up to $10,000 per violation, if the holder of such license has willfully violated Federal firearms provisions or any rule or regulation prescribed by the Secretary under such provisions; or (2) suspend or revoke the licence of, or assess a civil penalty of up to $10,000 on, a dealer who willfully transfers armor piercing ammunition. Authorizes the Secretary at any time to compromise, mitigate, or remit the liability with respect to any willful violation. Limits review of the Secretary's action.

Requires the Secretary, upon denying a license application, revoking or suspending a license, or assessing such a civil penalty, to provide written notice of such action to the affected party, which notice shall: (1) state specifically the grounds upon which such action was taken; and (2) with respect to a notice of license revocation or suspension, be given to the holder before the effective date of the revocation or suspension. Sets forth provisions regarding the appeal process, including a hearing, notice of decision and timetable for appeal, and a stay pending appeal.

(Sec. 3) Terminates a firearms dealer's license upon the date of conviction (currently, upon the date such conviction becomes final) pursuant to indictment for a crime punishable by imprisonment for a term exceeding one year.