December 21, 2021 | CRA December Newsletter
Message from the President
Wishing our members a joyous season and New Year!
Legislative & Political Updates
CalRetailers Secures More ORC Money in Proposed 2022 State Budget

Over the past few weeks, the CRA team has negotiated with the Governor's Office on funding to combat Organized Retail Crime in California to be included in his 2022 State Budget proposal that will be released in January. 

Last week, the Governor announced the following as a result of our conversations:

  1. 2 additional ORC task forces - Sacramento and Central Valley
  2. PERMANENT funding for all 5 task forces
  3. $255 million over the next 3 years for local law enforcement related to retail theft
  4. $18 million to the Attorney General's office for dedicated prosecutors and investigators for Organized Retail Crime.
  5. $20 million for small business grants for those impacted by Organized Retail Crime.
  6. Money earmarked for cargo theft.

Two additional issues we continue to have conversations with the Governor's Office on include training on best practices regarding ORC investigations for local law enforcement and diversion programs/job training programs for retail theft. Those discussions will start back up in January.

Read our press statement HERE. 

Read details of the Governor's announcement HERE. 

The CRA team looks forward to working on substantive policy issues next year that will result in greater security for retail employees, customers and the communities that retailers invest in.
2022 Statewide Ballot Initiative Update

Ten initiatives were cleared for circulation in the last two weeks. Now, we wait and see which ones hire paid signature gatherers.

Click HERE to see a summary of all the initiatives and their status. 
Upcoming Legislative Dates

  • Jan. 1, 2022: New laws take effect
  • Jan. 3, 2022: Legislature reconvenes for the second year of the 2021-2022 legislative session
  • January 10, 2022: Governor must submit State Budget proposal
  • January 14, 2022: Last day for bills introduced in 2021 to be heard in policy committee
  • January 21, 2022: Last day for bills introduced in 2021 to be reported to the Floor
  • January 31, 2022: Bills introduced in 2021 must pass their House of Origin
 Assemblymember Irwin announces Legislation on Organized Retail Theft Prosecutions

Assemblymember Jacqui Irwin (D – Thousand Oaks) joined Ventura County Sheriff Bill Ayub and Ventura County District Attorney Erik Nasarenko to announce her plans to introduce legislation to respond to the recent occurrences of brazen organized retail theft in California.

“We have all seen the news accounts of store clerks being pistol whipped, shoppers being pepper sprayed and thieves using sledgehammers to threaten anyone in their way,” shared Assemblymember Irwin. “I will not wait out this holiday season and let these organized groups continue to believe they can prey on California shoppers and retailers with no repercussions.”

Read more here.

CRA is supportive of this proposal and prepared the following statement:

“Organized retail crime rings don’t often confine themselves to a single jurisdiction. In fact, loss prevention experts say that the majority of the networks they encounter operate across county lines.  

“Consistent, effective prosecution is essential to deterring organized retail crime and reducing the chaos and increasing violence we are seeing in our stores. By clarifying the ability of prosecutors to consolidate these complex cases in a single jurisdiction, this bill will help streamline the process for bringing these crime syndicates to justice.”
Changes in State Legislature,
CA Congressional Delegation and Local District Attorney News

  • Asm. Medina, (D-Riverside), Chair of the Assembly Higher Education Committee announced he will not be seeking a sixth term in the State Legislature.
  • Assemblymember Miguel Santiago replaces Assemblymember Jim Frazier as Chair of the Governmental Organization Committee.
  • Assemblymember Christopher M. Ward replaces Assemblymember Ed Chau, (recently nominated by Gov. Newsom to the Los Angeles County Superior Court) as Assistant Majority Leader. A special election for AD 49 to fill the vacancy created by Ed Chau’s judgeship appointment will be held on April 19, 2022. The primary for the special election will be held on February 15, 2022.
  • Asm. Frazier is resigning at the end of the year, triggering a special election to fill his seat representing parts of Solano and Contra Costa counties.
  • Assemblymembers Kevin Mullin of San Mateo County and Rudy Salas of Bakersfield announced plans to run for seats in the U.S. House of Representatives.
  • Senator Sydney Kamlager filed paperwork to run for the House seat being vacated by Rep. Karen Bass, who’s running for mayor of Los Angeles.
  • House Representative Devin Nunes will give up his seat in January to lead former President Donald Trump’s new media company.
  • House Representative Jackie Speier endorsed Assemblymember Kevin Mullin for the seat she plans to vacate after 2022.
  • Crime victims served Los Angeles County District Attorney George Gascón with papers of intent to recall him a few months after another attempt to oust him from office fizzled.
Regulatory Updates
CDPH and CalOSHA Reinstate Masking Requirement and Other Rules

The State Department of Public Health updated its online guidance, set to last through Jan. 15, and applying to both public and private workplaces. The updates include:
  • Statewide mask mandate for ALL in-door spaces, regardless of vaccine status.
  • Testing for large mega events
  • Recommended testing after traveling to California from outside the state.

Previously, the state had allowed most fully vaccinated workers to forgo masks. Then the standards board of CalOSHA voted to, among other things, eliminate some distinctions between vaccinated and unvaccinated workers. Under the new temporary COVID workplace rules, slated to last from Jan. 14 to April 14, workers exposed to someone who’s tested positive for the virus must quarantine for two weeks (though asymptomatic vaccinated employees will have the option to wear masks and social distance), and companies must make free COVID tests available to them at work.

Read more here.

Access the FAQ's sent by the Governor's office HERE.

What does this means for retailers?
 
Retailers will need signage alerting customers of the statewide mask mandate, regardless of whether the county has a current mask ordinance. Enforcement will be the "honor system."

Exceptions to the universal masking requirements apply in the following circumstances in specified settings:
  • Masks may be removed while actively eating or drinking.
  • Persons who are working alone in a closed office or room.
  • Persons who are actively performing at indoor live or recorded settings or events such as music, acting, or singing. If performers do not wear a mask indoors while performing, CDPH strongly recommends that individuals undergo screening testing at least once weekly. An FDA-approved antigen test, PCR test, or pooled PCR test is acceptable for evaluation of an individual's COVID-19 status.
  • Persons who are obtaining a medical or cosmetic service involving the nose or face for which temporary removal of the face covering is necessary to perform the services.
  • Workers who wear respiratory protection, per CalOSHA requirements.
  • Persons who are specifically exempted from wearing masks by other CDPH guidance.

View all of the CRA team's previous outreach on this issue via CRA's member portal.
SB 1383- Organic Food Recovery Requirements

The City of Los Angeles' Department of Sanitation & Environment (LASAN) has provided CRA members with updated materials on the SB 1383 food recovery requirements, which takes effect on January 1. These include a single-page flyer, as well as a two-page info sheet. The former provides a brief overview of the new law, while the latter document goes into a bit more detail and includes links to other, pertinent resources. Click here and here to view.

SB 1383 will involve significant changes for residents and businesses across the state in terms of how organic waste is managed including wasted food. While SB 1383 has a statewide scope, it is being implemented on a local level by city and county governments, like the City of Los Angeles.

The LASAN is organizing a series of virtual, educational events to connect with business leaders and provide more direct guidance on SB 1383 and food recovery. If you and your company are interested in participating, please email Steve.
CalOSHA COVID-19 ETS Update

As a member of the CalOSHA Advisory Committee, CRA has provided the following updates for our members on a few developments state-side with regard to the CalOSHA ETS. These updates are in response to the reinstatement of the federal OSHA ETS and the vaccine “soft mandate” at the federal level:
  • On Thursday, as expected the CalOSHA Standards Board approved a Second Readoption of the ETS with no changes to the language Steve sent out two weeks ago. This ETS takes effect January 14 through April 14, 2022. Here again is the link to that language for reference, with changes from the First Readoption outlined in blackline: Covid 19 December 16, 2021 Second Readoption Courtesy Regulatory Language (ca.gov). 
  • Also on Thursday, the Governor issued an Executive Order (here) that will allow for a Third Readoption of the emergency ETS from April 15 up to as late as December 31, 2022. This order has the effect of delaying the need for a “permanent” regulation as the limit of two temporary extensions now no longer applies. This is good news and bad news: good in the sense that it delays the permanent regulation and gives industry additional time to push back on its adoption. However, a benefit of the permanent regulation was that it would have eliminated the “exclusion pay” requirement from previous versions of the ETS. Unfortunately, the rumor is that the exclusion pay mandate will be extended into the Third ETS which would mean that CA employers will be dealing with it for the duration of 2022 while the Legislature debates whether to extend it beyond 2022.  
  • The reinstated federal ETS is NOT YET enforceable in California, as we must first adopt the federal standard as part of our State Plan. The next Standards Board meeting is January 20th. However, the matter is now on appeal to the U.S. Supreme Court and the Court has asked for the government’s response by December 30th. So, it appears the Court intends to act quickly and hopefully we can have clarity prior to the next Board meeting. Stay tuned.
Final Multi-Association Letter on FTC Penalty Language in BBB

Click here to view the letter that was sent to the U.S. Senate - signed by 86 organizations across multiple industry sectors, including 32 state retail associations - opposing the inclusion of Sections 31501 and 31502 in H.R. 5376, the “Build Back Better Act.” These provisions would create an unprecedented and unjustified broad civil penalty authority under Section 5 of the Federal Trade Commission (FTC) Act that does not presently exist in the law.

This would constitute a major policy shift in FTC enforcement authority that would unfairly erode due process and would impose significant new costs on companies acting in good faith when serving consumers.
CRA Outreach and Activities
CRA Co-Hosts the 2021 Strategic Issues Conference

President Rachel Michelin moderated a panel with Sacramento County District Attorney Anne Marie Schubert focused on how crime affects California. The Conference was a collaborative effort among business leaders from all sectors of the CA economy.
CRA Members Meet Virtually with Newsom Administration Regarding
Organized Retail Crime in California 

Thank you to our our member companies' subject matter experts who provided crucial insight and expertise to state leadership. In attendance at the virtual meeting were:

GOVENOR'S OFFICE: 
  • Ana Matosantos - Chief of Staff
  • Jim Deboo - Chief of Staff
  • Rhys Williams - Senior Advisor on Emergency Preparedness & Management
  • Jessica Devencenzi - Deputy Legislative Secretary, Public Safety
 
DEPARTMENT OF FINANCE: 
  • Amy Jarvis - Analyst
  • Teresa Calvert - Analyst
 
GO-BIZ: (CA Office of Economic Development)
  • Dee Dee Myers - Director; Sr. Advisor to the Governor
  • Aracely Campa Ramirez - Senior Deputy Director
 
CALIFORNIIA OFFICE OF EMERGENCY SERVICES: 
  • Mark Ghilarducci - Director
  • Christina Curry - Chief Deputy Director 
  • Tom Osborne - Deputy Director of Homeland Security
  • Mark Pazin - Chief of Law Enforcement Branch
 
CALIFORNIA HIGHWAY PATROL: 
  • Amanda Ray - Commissioner
CRA members also virtually met with Attorney General Rob Bonta to discuss concerns around organized retail crime.
CRA joined San Diego County District Attorney Summer Stephan in an online Retail Theft Roundtable, which included local law enforcement and loss prevention representatives who shared their experiences with retail theft to identify issues and solutions to the current problem.   
CRA In The News
IN CASE YOU MISSED IT...

ORGANIZED RETAIL CRIME

California governor boosts efforts to combat smash-and-grabs
Associated Press
Also appeared in:

Threats against retailers/workers
National Public Radio All Things Considered

How online markets may be contributing to organized retail crime
National Public Radio

California crime ring investigation uncovers 15,000 stolen items worth $200,000
Fox Business (National)

California Retailers Association fighting for additional retail crime task forces: 'It's not letting up'
Fox Business (National)

Gutfeld: AOC downplaying rising crime proof she's 'not good'
Fox News The Five

Smash-and-grab robberies plague cities with liberal district attorneys
Fox News (National)

California retailers plead with officials to crack down on brazen looting: Employees, shoppers ‘traumatized’
Fox News (National)
Also appeared in:

California Retailers Association president on rise in smash-and-grab robberies: 'We need to do something'
Fox News Video

Retailers using metal coils to deter robberies, nab thieves
NewsNation Now

Fund The Police: Newsom Responds To California Crime Concerns
CalMatters
Also appeared in:

Op-ed: George Skelton: After smash-and-grab thefts across California, is it time to reconsider Proposition 47?
Los Angeles Times
Also appeared in:

Smash-and-grab robberies take financial, emotional toll on businesses across Los Angeles County
The Mercury News

Newsom unveils $300 million plan to crack down on organized retail theft
San Francisco Chronicle

Nothing says holiday cheer like San Francisco’s newly militarized Union Square
San Francisco Chronicle

‘Prolific’ San Francisco Retail Theft Suspect Back In Jail After New Arrest
KPIX 5 CBS Bay Area/San Francisco

Newsom Announces Plans to Fight Rash of Retail Theft, Follow-Home Crimes
Los Angeles Sentinel
Also appeared in:

Smash-and-grab robberies take financial, emotional toll on businesses across LA County
Los Angeles Daily News

California Retailers Association pushes for an organized retail crime task force in Sacramento
KCRA 3 News Sacramento

‘Like Nothing We’ve Ever Seen’: Retailers Reeling As Thieves Ransack Multiple Stores In Woodland And Davis
Good Day CW 31 CBS 13 Sacramento

Attorney General Bonta Hosts Convening on Organized Retail Theft – Brings Together Law Enforcement, Retailers and Online Marketplaces | State of California – Department of Justice
Watch Our City News (Los Angeles)

California businesses, government leaders call for definitive action on theft prevention
Northern California Record

What Gavin Newsom says he'll do about 'organized retail mobs,' guns and drugs
The Sacramento Bee
Also appeared in:

Shoplifting ring with 15,000 stolen goods worth $200,000 busted, California cops say
The Sacramento Bee

What Gavin Newsom says he’ll do about ‘organized retail mobs,’ guns and drugs
The Sacramento Bee Capitol Alert

‘Smash and Grab’ Crimes, Getting Guns Off Streets Focus of ‘Real Public Safety Plan’ Announced by Governor, State AG and State-Local Officials
The Davis Vanguard

Governor Gavin Newsom Unveils Multipronged Public Safety Plan to Aggressively Fight and Prevent Crime in California
Sierra Sun Times

Governor Newsom Unveils Public Safety Plan to Aggressively Fight and Prevent Crime in California
East County Today

Newsom Touts $300 Million Plan To Tackle Organized Theft
Patch Los Angeles

Surge in high profile crime is targeted by Newsom in new funding plan
Los Angeles Blade

Governor of California Supports Efforts to Fight Smash and Grab | Work
Pennsylvania News Today

DA, retailers say California needs a stronger shoplifting method | Jobs
Pennsylvania News Today
Also appeared in:

State retailers, law enforcement comment on ‘smash and grab’ crime wave
North State Journal (North Carolina)

Smash-and-grabs, California, and the limits of criminal justice reform
The Christian Science Monitor
Also appeared in:

California Retailers Association pushes for an organized retail crime task force in Sacramento
California News Times

Walgreens, CVS, Home Depot among 20 major companies urging Congress to take action on illegal retail sales online
California News Times

Walgreens, CVS among 20 chains urging Congress to take action on illegal retail sales online
ABC7 News Bay Area

Retail Crime; SPUR Revamp of Oakland City Government; and Visitacion Valley
KALW Public Media / 91.7 FM Bay Area

Flash mob store robberies raise security, risk management issues
Business Insurance

California Retailers Association pushes for an organized retail crime task force
Reddit

Lightfoot’s Chicago: Smash and Grab Thieves Steal $1 Million in Merchandise from Auto Gallery
Beritbart

California Retailers Association fighting for additional retail crime task forces: 'It's not letting up'
Big World Tale
Also appeared in:

Op-ed: Estrich: With crime making a comeback, eliminating bail for suspects endangers us all
Lowell Sun (Massachusetts)

Op-ed: Criminals Pillage Where ‘Lax on Crime’ DAs Rule
Metropolitan News-Enterprise

Op-ed: Saunders: After criminal law reforms, ask if you feel safer
HeraldNet (Washington State)

PROPOSITION 12 / PORK

California grocers seek delay to state's new bacon law from being implemented
Associated Press
Also appeared in:

Business Groups Sue Over California Law They Say Could Keep Pork Off Plates
The New York Times

'Pork Apocalypse'?: California Grocers, Suppliers Seek Delay of Animal Welfare Bill
Newsweek

California Grocers, Restaurants Take Legal Action Over New Pork Law [VIDEO]
The Electronic Urban Report

Industry Groups Seek to Save the Bacon
Progressive Grocer

Why California's Meat Industry Is Still Struggling With New Animal Welfare Legislation
Mashed (Online Food Industry Publication)

Grocers, restaurants sue to delay Prop 12
MeatingPlace.com

Prop 12 Countdown: California Food Industry Leaders Fight Back
Farm Journal's Pork

California Bacon Law: Proceedings filed in new animal welfare regulations, increasing uncertainty over 2022 shortages and rising pork prices
Florida News Times

SUPPLY CHAIN/HOLIDAY SHOPPING

Christmas toy drives battle supply chain issues to meet holiday need
Fox Wilmington (North Carolina)

Christmas toys solve supply chain problems to meet holiday needs
Texas News Today

OTHER NEWS

California Imposes New Mask Mandate Starting Wednesday
Associated Press
Also appeared in:

Calif. Attys Tell 9th Circ. To Keep Arbitration Ban Ruling
Law360
CRA Partner Events & News
Small Business Grants Advocacy Campaign – The National Retail Federation (NRF) has launched a grassroots campaign calling on Congress to expand grant funding eligibility under the Restaurant Revitalization Fund (RRF) to small retailers who have faced similar hardships as restaurants. Unfortunately, small retailers have not received the same type of direct grant support despite facing comparable challenges as restaurants. NRF knows a direct grant program will be tremendously impactful for small businesses and asks CRA's member companies to help spread the word with policy makers to advocate for this meaningful program.



Send a letter to your Congressional Delegation – Contact Dylan Jeon if you would like a copy of NRF's template letter of support.
CRA Members: Register Now for Retail's Big Show
Discounted and free passes are available for a limited time!

A special invitation for CRA members: Join us in NYC this January!

To keep up in the next chapter of retail, we can’t slow down. In fact, it’s time to accelerate. We’re excited to bring Retail's Big Show back to NYC in 2022, and we want you to be a part of it.

NRF 2022: Retail's Big Show is where the entire retail community convenes to get all the content, make all the contacts and discover all the tech that will not just prepare you, but accelerate you into this new era.

Speeding up starts with signing up

When we come together, big things happen. Discounted Full Conference Passes and Free Retail Expo Passes are available but only for a limited time! Register now and get ready to bring home tangible takeaways to help you move forward with confidence.
Register Today for Visit California’s 2022 Outlook Forum!

Don’t wait to sign up for Outlook Forum 2022 — California’s premiere tourism industry conference! This year’s in-person event is in San Francisco, Feb. 14-16, capped off by the glamorous Poppy Awards gala. 

Why Should I attend as a retailer?

  • The program will be packed with tourism research, trends and marketing tactics, as well as in-depth conversations on important segments such as luxury travel and new trends in the digital influencer space. 

  • Representatives from our 13 international offices will give market updates on the return of international travelers followed by networking opportunities.

  • A special session on “How to get involved with Visit California.”

  • The conference is also an invaluable opportunity to network in person with industry colleagues and tourism organizations.

  • A special breakfast will be held on the morning of Feb. 15 just for retailers and shopping centers.
Join a CRA Committee, Task Force or Work Group
We know 2022 will be another very busy year for CRA advocacy and education efforts. To ensure your company's voice is included in policy and regulatory decisions at the state and local level and to maximize your member benefits with CRA, sign up for a Committee, Task Force or Work Group today. CRA wants to be as inclusive and responsive to our members as possible, but we need your help and expertise. We welcome CRA members participation on these organizational structures to assist the CRA team with the best policy strategy moving forward.

If you or any of your subject matter colleagues are interested in participating on a committee, task force or work group, please send an email to cra@calretailers.com.
CRA Member Portal
CRA members get access to CRA's exclusive online member portal, which contains coalition letters, floor alerts, regulatory comments and testimony that California Retailers Association authored or signed on to during previous Legislative sessions as well as the latest updates on the 2021-2022 legislative session. The portal also contains newsletter, news alert archives and important association governance documents for your reference. If you have not yet received your login credentials and access instructions please email cra@calretailers.com. We are also available to answer any questions you may have regarding portal navigation.
California Retailers Association https://calretailers.com/
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