Combating Organized Retail Crime Act of 2023
This bill expands federal enforcement of criminal offenses related to organized retail crime. Organized retail crime typically refers to large-scale retail theft and fraud by organized groups of professional shoplifters, or boosters, who make money by stealing merchandise and reselling it for a fraction of the retail cost.
First, with respect to criminal offenses involving the transportation of stolen property across state lines and the sale or receipt of stolen goods, the bill broadens the scope of conduct that qualifies as offenses. Additionally, the bill makes the offenses predicate offenses (i.e., underlying offenses) for prosecutions under the federal money laundering statute and authorizes the criminal forfeiture of any property representing or traceable to the gross proceeds obtained as a result of an offense or a conspiracy to commit an offense.
Second, with respect to criminal offenses involving theft from an interstate or foreign shipment, the bill makes an offense an underlying offense for prosecution under the federal money laundering statute and authorizes the criminal forfeiture of any property representing or traceable to the gross proceeds obtained as a result of an offense or a conspiracy to commit an offense.
Finally, the bill establishes a center—the Organized Retail Crime Coordination Center—within the Department of Homeland Security to coordinate the federal law enforcement activities related to organized retail crime.
[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 895 Introduced in House (IH)]
<DOC>
118th CONGRESS
1st Session
H. R. 895
To combat organized crime involving the illegal acquisition of retail
goods for the purpose of selling those illegally obtained goods through
physical and online retail marketplaces.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 9, 2023
Mr. Buck (for himself, Mr. Joyce of Ohio, Mrs. Lee of Nevada, and Ms.
Titus) introduced the following bill; which was referred to the
Committee on the Judiciary
_______________________________________________________________________
A BILL
To combat organized crime involving the illegal acquisition of retail
goods for the purpose of selling those illegally obtained goods through
physical and online retail marketplaces.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Combating Organized Retail Crime Act
of 2023''.
SEC. 2. FINDINGS.
It is the sense of Congress that--
(1) organized retail crime, a crime involving groups of
individuals specifically targeting retail stores, often by
using violence or threats of violence to subdue employees and
shoppers while robbing stores of their most valuable and easily
diverted merchandise, has been a growing concern to retailers,
industry, and law enforcement;
(2) retailers have seen a dramatic increase in occurrences
of organized retail crime, costing retailers approximately
$720,000 per every $1,000,000,000 in sales in 2019,
representing more than a 50-percent increase in such losses
since 2015. Further, according to the National Retail
Federation, the use of violence or aggression is increasing in
the commission of these crimes, with \2/3\ of retailers
reporting an increase of violence during the commission of
retail theft;
(3) organized retail crime--
(A) threatens the safety and liberty of individuals
in the United States when those individuals engage in
commerce;
(B) erodes the retail economy for customers and
businesses alike; and
(C) finances transnational criminal organizations
that use the proceeds of those thefts to support the
criminal goals of the criminal organizations; and
(4) it has become necessary for Congress--
(A) to amend title 18, United States Code, to
ensure that law enforcement has the legal tools
necessary to combat organized retail crime in the same
capacity as law enforcement is able to combat theft and
diversion from other portions of the supply chain; and
(B) to direct the executive branch to create a
central coordination center to align Federal, State,
local, territorial, and Tribal efforts to combat
organized retail crime.
SEC. 3. AMENDMENTS TO TITLE 18, UNITED STATES CODE.
Part I of title 18, United States Code, is amended--
(1) in section 982(a)(5)--
(A) by redesignating subparagraphs (C), (D), and
(E) as subparagraphs (D), (E), and (F), respectively;
(B) by inserting after subparagraph (B) the
following:
``(C) section 659 (interstate or foreign shipments by
carrier; State prosecutions);'';
(C) in subparagraph (E), as so redesignated, by
striking ``; or'' and inserting a semicolon;
(D) in subparagraph (F), as so redesignated, by
striking the period at the end and inserting a
semicolon; and
(E) by inserting after subparagraph (F), as so
redesignated, the following:
``(G) section 2314 (transportation of stolen goods,
securities, moneys, fraudulent State tax stamps, or articles
used in counterfeiting); or
``(H) section 2315 (sale or receipt of stolen goods,
securities, moneys, or fraudulent State tax stamps).'';
(2) in section 1956(c)(7)(D)--
(A) by inserting ``section 659 (interstate or
foreign shipments by carrier; State prosecutions),''
after ``section 658 (relating to property mortgaged or
pledged to farm credit agencies),''; and
(B) by inserting ``section 2314 (transportation of
stolen goods, securities, moneys, fraudulent State tax
stamps, or articles used in counterfeiting), section
2315 (sale or receipt of stolen goods, securities,
moneys, or fraudulent State tax stamps),'' after
``section 2281 (relating to violence against maritime
fixed platforms),'';
(3) in section 2314, in the first paragraph--
(A) by inserting ``or by using any facility of
interstate or foreign commerce,'' after ``commerce'';
(B) by inserting ``or of an aggregate value of
$5,000 or more during any 12-month period,'' after
``more,'';
(C) by inserting ``, embezzled,'' after ``stolen'';
and
(D) by inserting ``, false pretense, or other
illegal means'' after ``fraud''; and
(4) in section 2315, in the first paragraph--
(A) by inserting ``or of an aggregate value of
$5,000 or more during any 12-month period,'' after
``$5,000 or more,''; and
(B) by striking ``; or'' and inserting ``, or have
been stolen, unlawfully converted, or taken by the use
of any facility of interstate or foreign commerce in
the commission of said act; or''.
SEC. 4. ESTABLISHMENT OF A CENTER TO COMBAT ORGANIZED RETAIL CRIME.
(a) In General.--Title III of the Trade Facilitation and Trade
Enforcement Act of 2015 (19 U.S.C. 4341 et seq.) is amended by
inserting after section 305 the following:
``SEC. 305A. ORGANIZED RETAIL CRIME COORDINATION CENTER.
``(a) Definitions.--In this section:
``(1) Center.--The term `Center' means the Organized Retail
Crime Coordination Center established pursuant to subsection
(b)(1).
``(2) Organized retail crime.--The term `organized retail
crime' includes--
``(A) any crime described in section 2314 or 2315
of title 18, United States Code; and
``(B) aiding or abetting the commission of, or
conspiring to commit, any act that is in furtherance of
a violation of a crime referred to in paragraph (1).
``(b) Organized Retail Crime Coordination Center.--
``(1) Establishment.--Not later than 90 days after the date
of the enactment of the Combating Organized Retail Crime Act of
2023, the Secretary of Homeland Security shall direct the
Executive Associate Director of Homeland Security
Investigations to establish the Organized Retail Crime
Coordination Center.
``(2) Duties.--The duties of the Center shall include--
``(A) coordinating Federal law enforcement
activities related to organized retail crime, including
investigations of national and transnational criminal
organizations that are engaged in organized retail
crime;
``(B) establishing relationships with State and
local law enforcement agencies and organizations,
including organized retail crime associations, and
sharing information regarding organized retail crime
threats with such agencies and organizations;
``(C) assisting State and local law enforcement
agencies with their investigations of organized retail
crime groups;
``(D) establishing relationships with retail
companies, sharing information with such companies
regarding organized retail crime threats, and providing
mechanisms for the receipt of investigative information
on such threats;
``(E) establishing a secure system for sharing
information regarding organized retail crime threats by
leveraging existing information systems at the
Department of Homeland Security and the Department of
Justice;
``(F) tracking trends with respect to organized
retail crime and releasing annual public reports on
such trends; and
``(G) supporting the provision of training and
technical assistance in accordance with subsection (c).
``(3) Leadership; staffing.--
``(A) Director.--The Center shall be headed by a
Director, who shall be--
``(i) an experienced law enforcement
officer;
``(ii) appointed by the Director of U.S.
Immigration and Customs Enforcement; and
``(iii) in the Senior Executive Service (as
defined in section 3132 of title 5, United
States Code).
``(B) Deputy director.--The Director of the Center
shall be assisted by a Deputy Director, who shall be
appointed, on a 2-year rotational basis, upon request
from the Executive Associate Director of Homeland
Security Investigations, by--
``(i) the Director of the Federal Bureau of
Investigation;
``(ii) the Director of the United States
Secret Service; or
``(iii) the Chief Postal Inspector.
``(C) Federal staff.--The staff of the Center shall
include--
``(i) Special Agents and Analysts from
Homeland Security Investigations; and
``(ii) detailed criminal investigators,
analysts, and liaisons from other Federal
agencies who have responsibilities related to
organized retail crime, including detailees
from--
``(I) U.S. Customs and Border
Protection;
``(II) the United States Secret
Service;
``(III) the United States Postal
Inspection Service;
``(IV) the Bureau of Alcohol,
Tobacco, Firearms and Explosives; and
``(V) the Drug Enforcement
Administration.
``(D) State and local staff.--The staff of the
Center may include detailees from State and local law
enforcement agencies, who shall serve at the Center on
a nonreimbursable basis.
``(4) Coordination.--
``(A) In general.--The Center shall coordinate its
activities, as appropriate, with other Federal agencies
and centers responsible for countering transnational
organized crime threats.
``(B) Shared resources.--In establishing the
Center, the Executive Associate Director of Homeland
Security Investigations may co-locate or otherwise
share resources and personnel, including detailees and
agency liaisons, with--
``(i) the National Intellectual Property
Rights Coordination Center established pursuant
to section 305(a)(1); or
``(ii) other existing interagency centers
within the Department of Homeland Security.
``(C) Agreements.--The Director of the Center, or
his or her designee, may enter into agreements with
Federal, State, local, and Tribal agencies and private
sector entities to facilitate carrying out the duties
described in paragraph (2).
``(D) Information sharing.--Subject to the approval
of the Director of the Center, information that would
otherwise be subject to the limitation on the
disclosure of confidential information set forth in
section 1905 of title 18, United States Code, may be
shared if such disclosure is operationally necessary.
The Director may not delegate his or her authority
under this subparagraph.
``(5) Reporting requirements.--
``(A) Initial report.--
``(i) In general.--Not later than 1 year
after the date of the enactment of the
Combating Organized Retail Crime Act of 2023,
the Secretary of Homeland Security shall submit
a report regarding the establishment of the
Center to--
``(I) the Committee on the
Judiciary of the Senate;
``(II) the Committee on Homeland
Security and Governmental Affairs of
the Senate;
``(III) the Committee on the
Judiciary of the House of
Representatives; and
``(IV) the Committee on Homeland
Security of the House of
Representatives.
``(ii) Contents.--The report required under
clause (i) should include a description of--
``(I) the organizational structure
of the Center;
``(II) the agencies and partner
organizations that are represented
within the Center;
``(III) any challenges that had to
be addressed while establishing the
Center;
``(IV) any lessons learned from
establishing the Center, including
successful prosecutions resulting from
the activities of the Center;
``(V) recommendations for ways to
strengthen the enforcement of laws
involving organized retail crime;
``(VI) recommendations for ways to
include organized retail crime within a
holistic supply chain security
enforcement framework;
``(VII) the intersections and
commonalities between organized retail
crime organizations and other organized
theft groups, including supply chain
diversion and theft; and
``(VIII) the impact of organized
theft groups on the scarcity of vital
products, including medicines, personal
protective equipment, and infant
formula.
``(B) Annual report.--Beginning on the date that is
1 year after the submission of the report required
under subparagraph (A), the Director shall submit an
annual report that describes the activities of the
Center during the previous year to the congressional
committees listed in subparagraph (A)(i).
``(c) Training and Technical Assistance.--
``(1) Evaluation.--Not later than 180 days after the date
of the enactment of the Combating Organized Retail Crime Act of
2023, the Secretary of Homeland Security and the Attorney
General shall conduct an evaluation of existing Federal
programs that provide grants, training, and technical support
to State, local, and Tribal law enforcement to assist in
countering organized retail crime.
``(2) Evaluation scope.--The evaluation required under
paragraph (1) shall evaluate, at a minimum--
``(A) the Homeland Security Grant Program at the
Federal Emergency Management Agency;
``(B) grant programs at the Office of Justice
Programs within the Department of Justice; and
``(C) relevant training programs at the Federal Law
Enforcement Training Center.
``(3) Report.--Not later than 45 days after the completion
of the evaluation required under paragraph (1), the Secretary
of Homeland Security and the Attorney General shall jointly
submit a report to the congressional committees listed in
subsection (b)(5)(A)(i) that--
``(A) describes the results of such evaluation; and
``(B) includes recommendations on ways to expand
grants, training, and technical assistance for
combating organized retail crime.
``(4) Enhancing or modifying training and technical
assistance.--Not later than 45 days after submitting the report
required under paragraph (3), the Secretary of Homeland
Security and the Attorney General shall jointly issue formal
guidance to relevant agencies and offices within the Department
of Homeland Security and the Department of Justice for
modifying or expanding, as appropriate, the prioritization of
training and technical assistance designed to counter organized
retail crime.''.
(b) Clerical Amendment.--The table of contents for the Trade
Facilitation and Trade Enforcement Act of 2015 (Public Law 107-296) is
amended by inserting after the item relating to section 305 the
following:
``Sec. 305A. Organized Retail Crime Coordination Center.''.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on the Judiciary.
ASSUMING FIRST SPONSORSHIP - Mr. Joyce (OH) asked unanimous consent that he may hereafter be considered as the first sponsor of H.R. 895, a bill originally introduced by Representative Buck, for the purpose of adding cosponsors and requesting reprintings pursuant to clause 7 of rule XII. Agreed to without objection.
Llama 3.2 · runs locally in your browser
Ask anything about this bill. The AI reads the full text to answer.
Enter to send · Shift+Enter for new line