Governor Signs Legislation Combating Retail Theft

CalChmaber Support

California Chamber of Commerce-supported legislation to improve public safety and reduce retail theft passed the Legislature this week and was signed by Governor Gavin Newsom on August 16.

“California business owners and operators, and the customers they serve, greatly appreciate the leadership of Governor Gavin Newsom, Assembly Speaker Robert Rivas and Senate President pro Tempore Mike McGuire to address retail theft issues in California,” said CalChamber President and CEO Jennifer Barrera.

“The new laws signed by Governor Newsom provide important tools for law enforcement and prosecutors to crack down on organized crime rings and retail thieves, and also send a strong signal that California is serious about holding criminals accountable. We are grateful that so many groups came together — including business and retail leaders, law enforcement and policy makers — to address the problem with meaningful reforms.”

The CalChamber-backed bills are as follows:

AB 2943 (Zbur; D-Hollywood) creates new crimes for professional retail thieves and gives law enforcement more tools to combat career thieves.

AB 1972 (Alanis; R-Modesto) expands the scope of the California Highway Patrol’s Organized Retail Crime Task Force to support counties with resources to combat cargo theft. As an urgency measure, it will take effect immediately upon being signed.

AB 1779 (Irwin; D-Thousand Oaks) clarifies that acts of retail theft occurring across multiple jurisdictions can be charged in a single jurisdiction.

AB 1802 (Jones-Sawyer; D-South Los Angeles) removes the sunset date from the organized retail crime statute, keeping it in place indefinitely.

AB 3209 (Berman; D-Palo Alto) creates a new retail theft restraining order that allows a court to prohibit a convicted retail thief from entering a retail location or parking lot.

SB 905 (Wiener; D-San Francisco) closes the “locked door” loophole for thefts from automobiles and allows prosecution of individuals who possess stolen property from vehicles with intent to resell.

SB 982 (Wahab; D-Hayward) removes the sunset date from the organized retail theft criminal statute, keeping it in place permanently.

SB 1242 (Min; D-Irvine) adds sentencing enhancement for arson charges when the arson is purposefully caused to facilitate organized retail theft.

SB 1416 (Newman; D-Fullerton) creates sentencing enhancements for selling, exchanging, returning for value (or attempting any of the same) property acquired through shoplifting or theft from a retail business.

The Governor’s office said he will be signing CalChamber-supported AB 1960 (R. Rivas; D-Salinas), which reinstates sentencing enhancements for taking, damaging, or destroying of property during the commission of a felony.

Retail Theft

Retail theft has been an increasingly serious problem for businesses in California. The Public Policy Institute of California (PPIC) reported earlier this month that recently released crime statistics for 2023 show continued growth in shoplifting statewide with reported incidents being 28% higher than in 2019.

Commercial burglaries dropped by 9% in 2023 but remain about 6% above their pre-pandemic level, the PPIC reported. The PPIC analysis showed that while most large counties saw increases in retail theft (both shoplifting and commercial burglary) from 2019 to 2023, more than 90% of the statewide rise occurred in just four counties: Alameda, Los Angeles, Sacramento, and San Mateo.

Repeated thefts have been cited in store closures across the state, depriving communities of brick-and-mortar options for their shopping needs. Additionally, increased security measures can hinder the customer experience and increase costs for businesses. Hiring security guards and installing physical theft-prevention tools, while necessary, cost businesses and impede lawful customers from easily accessing items they’d like to buy. Customers who witness thefts are left feeling unsafe in their own communities.

In the CalChamber People’s Voice survey of voters last fall, a majority of voters said crime has increased in their area, a quarter reporting by “a lot.” When it comes to the retail experience, 44% of voters said they have “felt the need to change when or where they shop” in the past year.