It’s called organized retail crime and according to the FBI, it’s the “the large-scale theft of retail merchandise with the intent to resell the stolen items for financial gain.”

Beyond routine shoplifting, this crime may involve a group of individuals stealing large quantities of merchandise from multiple stores. As the FBI explains, these  criminal groups “maintain or utilize fencing operations to convert the stolen goods into cash.”

This isn’t a penny-ante problem. In fact, the financial losses to retailers across the states are estimated to be more than $121 billion annually. This alarming sum has a ripple effect of cutting into the taxes that retailers might have otherwise paid the states in the 44 that levy corporate income taxes.

A number of state attorneys general and legislatures have been battling this problem for some time. In fact, according to a two-year-old paper by the Marshall Project, legislators in California, Florida, Louisiana and North Carolina stiffened penalties for stealing from stores, adding language to target people who act in concert or rob multiple outlets. Under a law amended in Louisiana, for example, anyone caught stealing as part of a group could now face up to seven years in prison.”

But despite this kind of effort, with limited resources, most states seem to be losing the battle.

As a result, last Tuesday, February 24, the National Association of Attorneys General sent a letter to congressional leaders in Washington D.C. pleading for help. It was signed by 38 of the state’s AGs (a remarkable bipartisan show of show of strength) and asked for legislation to “provide the necessary resources at the state and federal level to bring the organizations and individuals behind this nationwide problem to justice.”

As the letter indicated, “Organized retail crime has reached a level never before seen in this country and, unfortunately, no community is immune from the economic impact and violence that come with it. Across the country, retailers such as: Walgreens, Walmart and Target, have been forced to close stores due to a combination of sustained financial losses and their employees being physically assaulted by organized retail crime rings.”

As a result, the letter went on, “Many communities – including underrepresented communities – are devastated by store closures leading to a lack of access to groceries, medication and the staples of everyday life.”

Specifically, the AGs are looking for the passage of an “Organized Retail Crime Coordination Center” at the Department of Homeland Security to help them work together – and with the federal government. “This new entity,” according to the letter, “would act as a force multiplier for our offices and facilitate the information sharing necessary to combat the cross-border nature of organized retail crime.” 

#StateRevenueLossOrganizedRetailCrime #OrganizedRetailCrimeRings #StateFederalIntergovernmentalRelations #IntergovernmentalRelations #StateAttorneysGeneral #StateandLocalPublicSafetyManagementandPolicy #StateandLocalCrimeManagementandPolicy #StateGovernmentManagement #NationalAssociationofAttorneysGeneral #MarshallProject #FBIandOrganizedRetailCrime #OrganizedRetailCrimeCoordination #StateLocalRevenueImpactStoreClosures #StoreClosuresInUnderpresentedCommunities #BandGWeeklyManagementSelection #StateandLocalManagementNews #StateandLocalCrimeNews #StateandLocalEconomicDevelopmentNews #StateandLocalRevenueNews #StateIntergovernmentalNews #BarrettandGreeneInc