State Legislature's Summer Conferences Rank ORC #1 Trend
ICSC: State Legislative Trends
State policymaker groups, such as the National Conference of State Legislatures (NCSL), the American Legislative Exchange Council (ALEC) and the Council of State Governments (CSG), held large gatherings to discuss emerging policy trends. Below are five with implications for the commercial real estate industry.

Trend #1: Organized Retail Crime (ORC)

Recently, state lawmakers and law enforcement officials have been united in efforts to stop organized criminals from terrorizing stores and communities. The issue has become a key priority for the Attorney General Alliance (AGA), which created a separate ORC Working Group solely devoted to bringing Attorneys General, their staff, and private sector members, such as ICSC, to the table to share best practices and solutions. The ORC Working Group had a robust discussion on the topic at their annual meeting in June and the working group is scheduled to next meet in early October in Boston. The agenda for that meeting is still being developed and ICSC, as a member of the AGA, is involved in those discussions. Our focus is to ensure that law enforcement officials have the information they need to prosecute criminal activity and the policy tools necessary to deter future crime. icsc.com


Attorney General Alliance -Forms ORC Working Group

Overview

Organized Retail Crime (ORC) is an increasingly troubling issue and is at the forefront of the interests of Attorneys General across the nation. These rings are often involved in other criminal networks within their communities, including narcotics, money laundering and human trafficking. This is not a new fight in the U.S.; it has cost retailers and consumers billions of dollars. There is, however, a growing level of cooperation between the public and private sectors to combat these crimes. AG Offices have launched units to tackle ORC in their states, and retailers and eCommerce sites are spending more time and resources on preventing theft in their storefronts and online while working closely with law enforcement officials. These relationships are critical to the future of consumer safety.

ORC Working group members include Attorneys General, senior staff, and private sector partners in retail and eCommerce. This joint public and private partnership was created to combine efforts and help share information including best practices for AGOs and law enforcement, and current trends and statistics. agalliance.org


Happening This Month!

RILA, NDAA Launch National Store Walk Month to Boost Safety & Fight ORC
National Store Walk Month: A Groundbreaking Initiative by RILA and NDAA to Strengthen Community Safety and Combat Organized Retail Crime
In a groundbreaking initiative aimed at addressing retail crime and violence, the Retail Industry Leaders Association (RILA) and the National District Attorneys Association (NDAA) are proud to announce the launch of National Store Walk Month, set to debut this September. This initiative seeks to address the pressing issues of organized retail crime and habitual theft and its impact on our communities and represents a pioneering effort to facilitate a vital exchange between local prosecutors and community retailers.

Throughout the month of September, District Attorneys nationwide will walk retail stores with management teams, exchanging insights, fostering understanding, and working synergistically to reduce retail crime and address other unlawful activity occurring in and around retail stores. This partnership will provide both parties with a comprehensive understanding of their challenges, enabling a unified, effective response.

"National Store Walk Month represents our next leap forward in establishing comprehensive retail crime mitigation strategies and fostering community well-being," said Lisa LaBruno, RILA's Senior Executive Vice President. "This initiative will bridge the gap between retailers and prosecutors, helping us collectively address the complex challenges our communities face." rila.org


Texas ORC Task Force to Make Legislative Suggestions
With organized retail crime increasing, Texas forms task force to combat it

Companies including H-E-B, Amazon and EBay have joined the task force.

With Texas retailers' concern for organized retail theft activity increasing, the Texas Comptroller has organized a task force of 10 members to analyze and manage the growing issue.

Houston has ranked fourth in the country for organized retail theft activity since 2021, and organized retail crime in Texas as a whole has risen to 26.5% since the end of the pandemic. While Houston hasn't seen retail theft nearly to the extent of other highly populated cities like Los Angeles or New York, retailers are still concerned that it's only a matter of time.

John McCord, the Texas Retail Association Executive Director, said that the task force is being implemented to get ahead of the curve before it reaches those levels.

The Task Force consists of a combination of representatives from retailers - Amazon, eBay, H-E-B, and several others - along with several law enforcement and state agencies.

They will meet quarterly to make legislative suggestions to prevent organized retail theft, manage the crime's long-term economic impact and improve consumer protections based on their research of the impact of organized retail crime in Texas. They'll also be responsible for advising those affected by it on how to minimize theft and how to manage hot-spot areas.

Comptroller Glenn Hegar said he's proud to be chair of the task force. houstonpublicmedia.org


LAPD Compstat Data Shows Shoplifting Reports Up 73% Over 2016
Los Angeles New ORC Task Force is Making Arrests
Although most forms of property crime in the city are down this year, according to LAPD Compstat data the category of personal/other theft has increased by 14.9%. Department stores have been hit particularly hard.

There were 941 reports of shoplifting in August. That is a 36% increase over the same month last year. It is also well above August count in the years before the pandemic.

During the Sept. 12 meeting of the Los Angeles Police Commission, Chief Michel Moore said the new task force made an arrest following a smash-and-grab theft at a Macy's in Northridge.

"Since the inception of this task force we now have made 21 arrests," Moore told the commission. "They have investigated more than 93 of these various instances, and they have a number of other individuals that we have now identified."  xtown.la

GA.'s Reigning In 'Rogue' Progressive DA's Who "Refuse to Uphold the Law"
Georgia DAs' Fear Of 'Witch Hunt' Unfounded, Judge Told
Counsel for members of Georgia's new commission tasked with investigating complaints against prosecutors urged an Atlanta judge Friday to reject an attempt by four district attorneys to halt the commission's work before it starts accepting complaints Oct. 1.

Judge Whitaker noted that the Georgia Supreme Court has yet to approve the commission's proposed rules, saying that process is likely to take some time.

Gov. Brian Kemp said as he signed the bill (S.B. 92) that the new commission is targeted at "far-left" and "rogue" prosecutors who "refuse to uphold the law."

Critics are concerned the Peach State's conservative leaders simply want to get rid of reform-minded prosecutors unwilling to dedicate limited resources to low-level crimes such as marijuana possession and abortion.

Commission members can start investigating complaints against prosecutors starting Oct. 1, but no disciplinary action would occur until the agency's rules are confirmed.   law360.com


New Federal Office Focused on Gun Violence
Biden is creating a new White House office focused on gun violence prevention
President Biden is creating a new office for gun violence prevention to coordinate his administration's efforts to reduce gun violence and elevate an issue that - while stalled in Congress - remains important to Democratic activists and young voters.

Biden formally made the announcement at the White House on Friday. Vice President Harris will oversee the office, and White House staff secretary Stefanie Feldman will direct its work.

"This office will dig deep to find additional life-saving actions that this administration can take," Feldman told reporters, explaining that it will aim to coordinate support for communities hurt by gun violence.

The president has called for "common sense" regulations and a ban on assault-style weapons. Republicans and a small number of Democrats oppose the measures. opb.org


House ORC Bill Gets More Cosponsors
H.R.895 - Combating Organized Retail Crime Act of 2023
Two new co-sponsors signed onto the legislation (2 Democrats), bringing the total to 72 cosponsors (36 Republicans, 36 Democrats). It's picking up activity.

A list of mass killings in the United States since January

Computer vision beckons as grocers search for ways to reduce shrink

Tech vendors say retailers are showing growing interest in using AI-based systems as a way to stop theft - and the solutions providers are stepping up with innovations.

LAS VEGAS - Mounted on the side of a Toshiba self-checkout terminal on display in the Groceryshop exhibit hall this week, an arm shaped like a lightning bolt promises to help grocers get a tighter grip on the theft crisis striking the retail industry.

Toshiba is not the only vendor to adopt computer vision to clamp down on self-checkout users who, intentionally or not, miss items when processing their orders.

Puma said he has seen strong interest among retailers in the new features during Groceryshop, with visitors to Toshiba's booth at the conference indicating that fighting shrink has become one of their most pressing priorities.

Other vendors with expertise in computer vision also said that clients have been asking for ways to use their technology to deal with theft.

"When we've been talking to retailers here at Groceryshop, definitely shrink is top of mind. It's come up over and over again as a topic,"

Interest among retailers in strategies to stop losses has been rising during the past three to six months, Fenyo added. "I wouldn't say it wasn't something we talked about in the past, but now it's sort of people leading with it [and asking] 'What are you doing? What's happening with shrink?'"

Artificial intelligence is so good at monitoring shopping behavior, in fact, that companies that develop and use it have to take strict precautions to avoid trampling on people's rights.

Smart carts, which also use computer vision to track items as people take them, are also well suited to reducing shrink. grocerydive.com


Active Shooter Events & Response Evolution Podcast Series Sponsored by FirstNet

A new six-part podcast series by OFFICER Magazine and FirstNet looks at how law enforcement has adapted tactics and training to combat active shooter incidents over the years.

Active shooter incidents have become one of the biggest challenges for 21st-century law enforcement. These incidents have become a point of emphasis for agencies over the past two decades, and new tactics, strategies and training have continued to be developed in order to best prepare officers and save lives.

In the next several weeks, OFFICER Magazine's Officer Roll Call podcast will air a six-part series-sponsored by FirstNet-that examines the topic. The "Active Shooter Events & Response Evolution" podcast series will look at not how active shooter incidents have changed over the years and how law enforcement has been using accumulated knowledge and new technology to adapt.

Subscribe to the podcast or check back here for new episodes on their release date.

Episode 1: Columbine: The 'Pearl Harbor' of Active Shooter Events? Released Date: Sept. 19, 2023

This episode looks at why the attack-considered the Pearl Harbor of active shooter incidents-was perceived so differently than others before it and how the basic response by officers to such events has changed since then.

Episode 2: Response Evolution Began in Austin, Texas. Release Date: Oct. 3, 2023

Before that incident, no U.S. police departments had SWAT units, and the Texas shooting was one of the events that prompted agencies to develop special tactical teams and develop a new set of practices.

Episode 3: The Importance & Impact of Communications. Release Date: Oct. 17, 2023
Episode 4: Pre-Modern Events & Returning Concerns. Release Date: Oct. 31, 2023
Episode 5: Legally Armed Citizens In/Near Active Shooter Events Release Date: Nov. 14, 2023
Episode 6: Needed Equipment from Minimum to Optimum Release Date: Nov. 28, 2023  officer.com


Rising QR Code Scams Point to Increasing Abuse of Tech
The FBI said this week as part of its "Tech Tuesday" briefing, QR code scams are on the rise as consumers increasingly use the option, which can direct them to websites and/or payment portal across a variety of settings, from restaurants to parking garages.

"If you happen to scan a scammer's bad code, you could end up giving them access to your device. They can access your contacts, download malware, or send you to a fake payment portal. Once there, you can inadvertently give them access to your banking and credit card accounts. If you make a payment through a bad QR code, it's difficult if not impossible to get those funds back," the FBI noted, adding that it had seen a rise in such activities beginning with last year.

In the PYMNTS report "Navigating Big Retail's Digital Shift: The New Payments Strategy Evolution," a ACI Worldwide collaboration, we found that roughly a quarter of merchants in the United States are adding or planning to offer QR payments in the next three years. pymnts.com


ICSC September 21, 2023
Half of U.S. Retail Chains Plan to Expand over the Next 5 Years, 4 Tenant Trends Marked by Store Openings, and More
Retail tenants are in growth mode. Nearly 49% of U.S. retail chains plan to expand their footprints over the next five years, compared with 28.5% that plan to reduce space, according to Colliers' Fall 2023 Retail Report. Colliers surveyed 123 midsize and large chains.

Grocery retailers are the most aggressive in their plans to expand these days. According to Colliers, 84.2% of grocers plan to expand their physical retail space in the next five years. Aldi, Costco, H-E-B, Sprouts Farmers Market and Wegmans are among the chains rolling out new stores this year. Drug and beauty is the category in which the greatest share of retailers want to shrink their footprints. According to Colliers, 42.1% of drug and beauty retailers aim to reduce their amount of physical space to some degree in the next five years.

According to Colliers, 81.7% cite increasing their geographical reach as a reason to expand, and 73.3% cite attracting new shoppers.

New store formats are underway, as well. According to Colliers, 39% of all retailers plan to test new formats over the next couple of years. They cited both keeping up with changing customer tastes and competitors as the biggest reasons. The most common type of format retailers expect to test? One that caters to omnichannel shopping with collection points for online orders, ordering kiosks and drive-up/curbside-pickup facilities.

Direct-to-consumer brands continue to build physical store networks to support omnichannel sales. icsc.org


500 Rite Aid Closures Coming?
Struggling Rite Aid proposes closing up to 500 stores under bankruptcy plan
Rite Aid is negotiating with creditors over the terms of a bankruptcy plan that would include liquidating a substantial portion of its more than 2,100 drugstores, the Wall Street Journal reported Friday, citing people familiar with the talks.

The company has proposed to close roughly 400 to 500 stores in bankruptcy, and either sell or let creditors take over its remaining operations, according to the report.

Given the conversations remain ongoing, no decisions have been made at this time, Rite Aid said.

The Philadelphia-based company faces more than $3.3 billion in debt and over a thousand federal lawsuits alleging it oversupplied opioids, the Journal reported. The company operates more than 2,330 stores in 17 states, although it is much smaller than rivals such as Walgreens Boots Alliance and CVS Health. nypost.com


ShopRite Brings Back Full-Service Checkout After Self-Checkout Plan Backfires
Stores in Delaware reintroduce a full staff of cashiers after criticism from customers

Target gives inside view of its 'stores-as-hubs' strategy

H-E-B plots more Dallas-area store expansion
 

Senior LP & AP Jobs Market

Sr. Dir SC Safety & Asset Protection job posted for Lowe's in Mooresville, NC
The principal purpose of the Sr. Director of Supply Chain (SC) Safety and Asset Protection (AP) is to provide strategic leadership and oversight in the development, administration, execution and maintenance of Lowe's U.S. SC and Pro-Services (MSH) safety and asset protection program. The director of SC Safety and AP works cross-functionally with SVP and VP-level to develop and manage plans that consistently improve the safety culture while simultaneously protecting our U.S. SC and assets. talent.lowes.com


Director, Safety job posted for Goodwill in Phoenix, AZ
Responsible and accountable for developing strategies, plans, and operational guidelines for Goodwill of Central and Northern Arizona's (GCNA) in Arizona and Maryland environmental, safety, health, and injury management programs. Responsible for all operations designed to protect Team Member health and safety or promote environmental compliance. Works cross-functionally with the Claims, Asset Protection, Finance, and Retail Store teams. as well as other departments to mitigate risks.  goodwillaz.wd1.myworkdayjobs.com
 

Last week's #1 article --

America's Shoplifting Epidemic Is Becoming Increasingly Deadly
CVS store manager killed by shoplifter as epidemic grows increasingly deadly
A CVS store manager was killed on the job by a man suspected of shoplifting, police say - the latest example of a US retail theft epidemic that is becoming increasingly deadly.

Michael Jacobs, 49 - an operations manager at CVS Pharmacy in Mesa, Ariz., where he had worked for the past 20-plus years - was shot and killed allegedly by Jared Sevey in the evening hours of Sept. 7, according to KKTV 11 News.

Sevey, 39, was reportedly inside the Arizona CVS location earlier that day, arguing with Jacobs about shoplifting, KKTV reported. After the conflict, Sevey went home to get a gun.

Sevey admitted to police that he shot Jacobs because he was "tired of being bullied," and "this was the last straw," according to the news outlet.

Stories of seemingly consequence-free shoplifting are everywhere: There's an epidemic of drugstore thefts in New York, and a "landmark" grocery store in Baltimore shut its doors after nearly 25 years after a community desperate for fresh food resorted to simply stealing it. nypost.com

1H 2023 Report
While BEC Attacks, Demands & Losses Spike - Carriers Up Their Game as Well
Coalition Report Reveals Ransomware Resurgence
Coalition, a provider of cyberinsurance, today published a report showing a 12% increase in claims made in the first half of this year-driven largely by a spike in ransomware attacks and funds transfer fraud (FTF).

The report also noted that organizations with more than $100 million in revenue saw both the largest increase (20%) in the number of claims and the total amount of damages (72%) year over year. Cybercriminals have increased their demands to an average of $1.62 million, a 74% increase over the past year.

Chris Hendricks, head of incident response for Coalition, said the report suggested that there is a resurgence in ransomware activity as cybercriminals adjust their tactics and techniques.

However, despite this increased level of activity, in many cases, the insurance carrier was able to recover the funds used to ransom data, he noted. Overall, the report found the average recovery amount was $612,000 per FTF claim, representing 79% of all FTF losses in instances where recovery was possible. Overall, FTF claims frequency increased by 15% in 1H 2023, and FTF severity increased by 39% to an average loss of more than $297,000.

The discrepancy between initial demand and payment can be attributed to negotiations. On average, Coalition reported ransomware payments down to an average of 44% of the initial amount demanded.

All funds recovered were given back to policyholders. The key to recovering funds once payment is made is to involve carriers that have developed expertise in this area as soon as possible, said Hendricks.

The report also noted that businesses using Google Workspace for email were markedly more secure than those using Microsoft Office 365 (M365) and on-premises Microsoft Exchange. M365 users were more than twice as likely to experience a claim compared to Google Workspace users. On-premises Microsoft Exchange users were nearly three times more likely to experience a claim than businesses using Google Workspace, the report found.

Organizations using Google Workspace experienced a 25% risk reduction for FTF or business email compromise (BEC) claims and a 10% risk reduction for ransomware claims, the report notes.

As losses in the last few years continued to mount, cyberinsurance carriers began to increase the level of cybersecurity required to qualify for a policy. In addition to directly negotiating with cybercriminals, carriers are also making managed security services available to better secure IT environments and help organizations recover from a breach. securityboulevard.com


Average insider cyberthreat cost spikes 40% in 4 years

Outsmarting insiders is a "go-to tactic" for many cyberattackers looking to steal credentials and gain access to critical data, the Ponemon Institute found.

• The average annual cost of insider cybersecurity threats increased to $16.2 million during the past 12 months, a 40% increase over four years, according to research conducted by the Ponemon Institute.

• The biggest costs associated with insider risks came after the incident had occurred, with containment and remediation representing the most expensive areas at $179,209 and $125,221 per incident, respectively, according to a report, released Wednesday. The average period of time it takes to contain an insider incident increased to 86 days.

• "The cost of an insider risk is the highest it's ever been, as organizations spend more time than ever trying to contain insider incidents," the report said.

During the past year, 20% of incidents where an insider was outsmarted involved stolen credentials, at an average annualized cost of $4.2 million, down from $4.6 million in 2022, the report said.

Employee negligence or mistakes - such as not ensuring devices are secured, not following the company's security policy, or forgetting to patch and upgrade - accounted for 55% of cyberattacks covered in the report. These incidents average annual remediation cost reached $7.2 million, up from $6.6 million in 2022.

Total potential losses from cyberattacks and cyber fraud surged 48% last year to $10.2 billion from $6.9 billion in 2021, according to the FBI. cybersecuritydive.com


Europol: International operation closes down Piilopuoti dark web marketplace
In a significant victory against dark web criminals, the Finnish Customs (Tulli), together with European partners, has successfully taken down the dark web marketplace 'Piilopuoti'.

Drugs and other illegal commodities were sold in large quantities on this Finnish-language platform which had been operating on the Onion Router (Tor) network since May 2022.

The investigation is still ongoing as law enforcement worldwide work together to identify the sellers and users on the platform.

This successful takedown happened just days ahead of the annual 2023 Dark Web Conference at Europol's headquarters between 4-5 October. This event, restricted to law enforcement, will bring together over 180 investigators from across the world to discuss the latest criminal trends and developments on the dark web.

Europol's labour force

Special Note: The U.S. has 37 personal from various agencies assigned to Europol. Seven from the FBI, eight from ICE, seven from the DEA, and the rest from various agencies.

Europol has a 1,594 labor force. With 285 Liaison officers from member states, 1058 staff numbers from member states. Gender balance - 33% female and 67% male staff.  europol.europa.eu


DOJ: Nigerian National Pleads Guilty To His Role In A $6M Business Email Compromise Schemes
Simon-Ebo and his co-conspirators, including co-conspirators residing in Maryland, gained unauthorized access to email accounts associated with individuals and businesses targeted by the conspirators and sent false wiring instructions to the victims' email accounts from "spoofed" emails to deceive the victims into sending money to bank accounts controlled by perpetrators of the scheme, called "drop accounts."

Simon-Ebo faces a maximum sentence of 20 years in federal prison for the wire fraud conspiracy and for the money laundering conspiracy. justice.gov

Ventura County, CA: Gucci bags lifted in Camarillo heist
An organized theft crew struck the Gucci store at the Camarillo factory outlet center Friday night and escaped with purses and wallets, the Ventura County Sheriff's Office reported. The establishment was apparently still open so clerks would have been present when the commercial burglary occurred around 7:30 p.m., Sheriff's Capt. Steve Michalec said Sunday. He did not know whether any customers were inside the Italian luxury goods store or the total amount of merchandise taken. Michalec said no one was injured and the burglars were not armed to his knowledge. They removed the merchandise from security features and fled in a white Mercedes Benz and a black Tesla Y, according to an eyewitness who reported the incident to law enforcement. Sheriff's Office investigators are still working with Gucci to determine the amount of merchandise stolen from the store in the 900 block of Camarillo Center Drive, located on the east side of the Camarillo Premium Outlets. The perpetrators are described as a woman and four men ages 20 to 30 along with a slightly older man age 30 to 40. They were still at large Sunday.  abc7.com


Los Angeles, CA: 4 charged with stealing from California Macy's suspected in 15 other thefts
Four people charged earlier this month with stealing thousands in clothing from Macy's in Pasadena are suspected of committing retail thefts in Los Angeles, Orange, San Bernardino and Ventura counties, police said. The group, who had Romanian passports, have been linked to 15 other thefts, according to Pasadena Police Lt. Carolyn Gordon. Details about the other crimes have not been released. "This group could have been doing it for awhile. I would say within the last two months," she said. Police do not know yet when the suspects entered the U.S and how long they have been here. The suspects did not provide statements to police and claimed they could not speak English, she said. On Sept. 8, Pasadena detectives were conducting an operation on organized retail theft and vehicle burglaries that included businesses within the South Lake Shopping District. "We were targeting any group that walked into stores (and) was stealing," Gordon said. Investigators spotted four people at the Macy's at 401 S. Lake Avenue. who were choosing "high value clothing items", a police statement said.   mercurynews.com


DOJ: Tennessee Man Sentenced to 18 Months for Stolen Sports Memorabilia Scheme
FRANKFORT, Ky. - A Friendsville, Tenn., man, Thomas Z. Kasemeyer, 34, was sentenced to 18 months in federal prison on Thursday, by U.S. District Judge Gregory Van Tatenhove, for conspiring to transport stolen goods across state lines.

In 2021 and early 2022, Kasemeyer, along with his co-defendant, Coy Lee Best, committed a series of burglaries in Tennessee, Georgia, and Kentucky, where they stole valuable sports cards and similar merchandise from various businesses. After these burglaries, Kasemeyer and Best admitted that they would then travel, often across state lines, to other sports cards stores, to sell what they had stolen.

Kasemeyer was also ordered to pay $198,775 in restitution, representing the value of the merchandise stolen during the conspiracy. For his role in the conspiracy, Coy Best was sentenced to 24 months in prison, in May 2023. The Court also directed Kasemeyer to pay a money judgement in the amount of $30,000, reflecting his personal proceeds from the stolen merchandise. justice.gov


Holyoke, MA: Smooth-Skinned Criminals: Men Stole $10K In Health, Beauty Products form Stop & Shop
Jayson Johnson, 25, and Sequanne Madden, 19, both of Queens, New York, face several charges after being busted by Holyoke police, authorities said. Officers were called to Stop and Shop on Northampton Street after the store's security saw the men stealing thousands of dollars worth of products, Holyoke police said. Police arrived as the men spotted them and tried to make a getaway, but neither made it very far, authorities reported. The store said it recovered $5,000 worth of merchandise from the two men. Inside their car in the parking lot, officers recovered "several full large trash bags" filled with items from surrounding stores, Holyoke police said. Many still had the security tags on them. Investigators say they recovered more than 300 items worth nearly $10,000.  dailyvoice.com


Redlands, CA: Three women steal items worth more than $4,000 from business in Redlands