Newsletter | February 24, 2026

WR launches search for next president and CEO


WR has launched a national search for its next President and Chief Executive Officer following the planned retirement of longtime leader Renée Sunde.


Since December 2025, Interim CEO Alesha Shemwell has provided continuity and stability while the WR Board of Directors conducts a comprehensive search. She will continue serving until a new CEO is selected.


WR is seeking a strategic leader to guide advocacy efforts, strengthen member engagement, and position the association for continued success in a changing retail environment.


Learn more about the role and apply here.

IN THIS ISSUE


ON THE LOCAL FRONT

POLICY

IN THE NEWS

ECONOMY

RETAIL THEFT & PUBLIC SAFETY

Mayor Wilson delivers her first State of the City address


After a month and a half in office, Mayor Katie Wilson delivered her first wide-ranging look at Seattle in a speech at the Langston Hughes Performing Arts Institute. Three issues dominated the speech – public safety, homelessness, and affordability.


Early in her address, she expressed her sadness that two Rainier Beach High School students were shot to death while waiting for a bus after school. She also highlighted recent shootings in Chinatown International District and in Pioneer Square.


"How can students be expected to learn if you are worried, as one young woman told me, that if you leave school for lunch, you might never come back? How can you be expected to concentrate in class if you’re living in a constant state of grief or fear? How can you be expected to thrive when you’ve seen so much tragedy and not nearly enough hope, and opportunity, and joy? We have to do better for our kids."


Wilson declared that “my job is to take action,” and she outlined specific steps to reduce violence, including:

  • Implementing an intensive stabilization plan through the end of the school year to reduce conflict and prevent retaliation;
  • Restoring late-night police patrols in the Chinatown International District;
  • Developing a robust and multi-pronged gun violence strategy, under the leadership of Seattle Police Chief Shon Barnes and other SPD leaders who “bring extensive experience in gun violence reduction that will be invaluable in this effort.”


She also committed to carefully review the City’s planned expansion of surveillance cameras. While she said she remains concerned about the data security and privacy issues raised by the cameras, she has also heard the voices of people who want gun violence reduced in their neighborhoods. She promised to collect the best information available to guide this decision.


Next, the Mayor turned to the issue of homelessness, another area where she said, “we are falling short.”


"We have to make sure that everyone can access and enjoy our parks, trails, sidewalks, and other public spaces. And we can’t just keep moving people from place to place and calling that progress."


So, the Mayor committed to prioritizing keeping parks, trails, and public spaces available for all to enjoy. She continued that she would prioritize encampment removals based on “safety issues and neighborhood impacts. . . I’m committed to minimizing harm to people living in encampments at the same time as I take seriously the City’s mandate to keep public spaces open and accessible for their intended use.”


She highlighted her efforts to expand shelters with services, tiny homes, and other housing for the homeless, “exploring every possible administrative and legal tool we have to accelerate the expansion of emergency housing and shelter.”


She admitted putting off any discussion of taxes and revenue, saying that her staff is hard at work combing through the budget at this point. Instead of attaching price tags to her ideas and goals, she explained “there’s a lot more to be gained by starting that conversation by looking at what we need and where we want to be, then figuring out how to get there.”


Wilson shared how her experience as an organizer guides her: 

"I came to the job of mayor as an organizer and a coalition builder. And when you build a campaign to make progress on an issue, you start by bringing people together around the biggest vision possible. You find consensus where you can. You attract more people. You move forward. You make some gains. Maybe you don’t get everything you wanted, but when you accomplish things, you raise expectations, and you set the stage to achieve even more."


She also expressly welcomed the voices of employers, saying “we want you at the table. We can build a city that’s more affordable and safer.”


Mayor Wilson admitted that she is a new football fan, with the NFC Championship game at Lumen Field being the first she’s seen in person. She closed with her vision for Seattle.


"The parade last week was an amazing experience, just seeing that spirit where everyone was united, joyfully celebrating our city. And that feeling of unity, and pride, and celebration – that’s what I want to cultivate all year round. And it’s how I want my term to be judged. I want to be judged on whether people are feeling excited to live here, whether they love their neighborhoods, enjoy our parks and public spaces, and feel free to live their lives and pursue their dreams. I want to be judged on whether we are living our values as a welcoming city. Whether people are excited to start a business. To have a family. To retire. To celebrate. To just be who they are in all of their beautiful complexity."

Seattle police clarify response to federal immigration enforcement rumors


The Seattle Police Department has issued a formal directive outlining how officers should respond to reports and rumors of federal immigration enforcement activity in the city. The guidance comes amid heightened public concern and unverified reports of Immigration and Customs Enforcement activity across the Puget Sound region.


The directive reaffirms that Seattle police will not assist with or participate in federal immigration enforcement actions and will not act under the direction of federal authorities. At the same time, officers are instructed not to interfere with federal operations. The department emphasized that its role is to remain functionally independent while prioritizing public safety and constitutional protections.


Under the new guidance, officers are expected to respond promptly to community reports of unidentified or unverified law enforcement activity. When safe and feasible, officers may respectfully request official identification to help confirm the status of individuals presenting themselves as law enforcement. Supervisors must be notified, and officers are required to document incidents, activate video recording equipment, and coordinate with the department’s communications team if public messaging is needed.


The directive also addresses how officers should manage related public safety concerns, such as demonstrations or traffic disruptions, without escalating tensions. Incidents are to be reported in a way that preserves the anonymity of those involved, with senior department staff notifying the mayor’s office as appropriate.


City leaders say the guidance is intended to provide clarity for officers and reassurance to the community during a period of uncertainty fueled by rumors and national developments. For businesses and residents, the department’s message is that Seattle police will focus on safety, transparency, and the protection of constitutional rights while maintaining clear boundaries regarding federal immigration enforcement.

Sensory Tool House receives Distinguished Leaders Award


Sensory Tool House (STH) has received this year’s Distinguished Leaders Award from Leadership Thurston County. Celebrating community leadership for more than 20 years, the Distinguished Leaders Awards recognize individuals who demonstrate outstanding initiative, inspire others, and make a significant impact that extends beyond their own organizations through meaningful community involvement. This marks the second consecutive year a retailer making a strong local impact has earned the honor.


Founded during the COVID lockdown, STH grew from founder Katie McMurray’s personal experience as a neurodivergent adult and as the mother of a child with autism spectrum disorder. She identified a clear gap in the marketplace. Many individuals with neurosensitivities need to touch, feel, and test products before purchasing, an experience rarely available through online shopping. Today, 90% of the store’s staff identify as neurodivergent, allowing them to provide informed and empathetic guidance that helps customers make confident decisions.


Local teachers, therapists, and parents consistently praise the store’s welcoming and supportive environment. In addition to retail services, STH offers employer training programs focused on understanding and leveraging neurodivergent strengths in the workplace, equipping businesses to build inclusive teams where all employees can thrive.


Those who know McMurray describe her as courageous, innovative, and deeply committed to her community. Sensory Tool House demonstrates how retail can be both economically vibrant and mission-driven. WR is proud to count STH among its members and celebrates this well-deserved recognition of leadership and impact.


Katie McMurray – 2026 Distinguished Leader Awards Honoree

Washington Retailers support bipartisan legislation to head off onslaught of lawsuits after state Supreme Court ruling last year


An April 2025 court ruling on the Commercial Electronic Email Act applied a broad standard for lawsuits against businesses using email marketing to grow and sustain their businesses.


The Washington State House of Representatives passed House Bill 2274 last week with a bipartisan vote of 86–11.The measure was introduced by Rep. Larry Springer, D-Kirkland, and Rep. Stephanie McClintock, R-Vancouver.


The legislation updates the state’s Commercial Electronic Mail Act (CEMA) following the Washington Supreme Court’s 2025 decision in Brown v. Old Navy, LLC. Since that ruling, nearly 80 lawsuits have been filed in Washington courts, many targeting routine email subject lines without allegations of consumer harm.


The bill responds to the lawsuit surge by providing targeted stabilization measures while preserving core consumer protections. House Bill 2274, as adopted: 

  • Reduces statutory damages from $500 to $100 per email, lowering the financial multiplier driving high-volume litigation. 
  • Applies a knowledge standard, tying liability to what a sender knew or reasonably should have known at the time the email was sent. 
  • Preserves accountability for genuinely false or misleading subject lines. 
  • Maintains CEMA as a per se violation of the state’s Consumer Protection Act, keeping enforcement authority intact.


“This legislation reflects bipartisan recognition that the current trajectory of lawsuits is unsustainable,” said Alesha Shemwell, Interim President and CEO of the Washington Retail Association. “The bill maintains meaningful consumer protections while reducing the immediate litigation pressures created by the Court’s interpretation of a decades-old statute.”


Under the current CEMA law, statutory damages may reach up to $1,500 per violation over a four-year statute of limitations, creating substantial financial exposure based solely on the volume of emails sent. House Bill 2274 provides greater proportionality and predictability while ensuring that deceptive practices remain subject to strong enforcement tools.


The bill now moves to the Washington State Senate for consideration.

Lawmakers reconsider estate tax increase amid relocation concerns


Democratic lawmakers in Washington are moving to reconsider a 2025 increase that raised the state’s top estate tax rate to 35%, the highest in the nation. The change, approved last year, applies to the largest estates and took effect in June.


Senate Bill 6347, introduced in early February, would roll back the increase. The measure advanced quickly through the Senate Ways and Means Committee and could soon receive a full Senate vote.


Supporters of revisiting the policy cite anecdotal reports that some high-net-worth residents are considering relocating to states with lower taxes. While state officials say it is too early to determine the revenue impact, some lawmakers have expressed concern that potential moves could also affect collections from other sources, including the capital gains tax.


The proposal comes as Democrats continue to debate additional tax measures, including a new income tax on individuals earning more than $1 million annually.


Business advocates and critics argue that recent tax changes may influence investment and residency decisions. Others maintain that tax policy design and long-term revenue stability remain central considerations as lawmakers weigh possible adjustments. 


WR will continue to monitor developments and provide updates for members.


SeattleTimes.com

At the Employment Security Department in Olympia, the paid family and medical leave program has seen astounding growth in less than six years of existence, writes the author. (Ellen M. Banner / The Seattle Times, 2025)

Alarm is sounding on WA’s social insurance programs. Olympia must act


By Mark Schoesler

Special to The Seattle Times

Published on Jan. 21, 2026


Olympia, we have a problem. And no, it’s not just the billion-dollar shortfall facing the general fund that you might have already heard about. Three programs comprising the backbone of Washington’s social-insurance safety net — paid family and medical leave, unemployment insurance and workers’ compensation — all are quietly facing severe fiscal turmoil.


At the Employment Security Department, the paid family and medical leave program has seen astounding growth in less than six years of existence. By 2022, after being notified that PFML was facing insolvency, lawmakers took action based on stakeholders’ recommendations to get the program back on track. But even with those changes, program use has continued to skyrocket and benefit costs have repeatedly ballooned following new legislation.


Once again, ESD projects the program is headed toward drastic insolvency. Estimates show PFML being at least $350 million in the red by 2029.


If structural changes aren’t made soon to stabilize what has become an unsustainable program, it may go belly-up. Legislators need to rein in the program’s excesses before it goes bankrupt. We must also ensure that any bill expanding the program is reviewed by the Legislature’s fiscal committees.


ESD also projects new trouble ahead for the state’s unemployment insurance program. Until recently, Washington has enjoyed one of the most stable UI programs in the country, while providing the highest benefit available nationally. It’s why we were able to get through the pandemic and provide for workers without taking federal loans like many other states.


But a new analysis of the UI fund now shows there will not be enough in the fund to cover the reserves required by law. The agency’s fix? A “solvency surcharge” — that’s Olympia-speak for about $700 million in additional taxes imposed on employers. Rather than force even more taxes on business, especially taxes automatically imposed without legislative input, we need to explore possible program changes that would avoid the need for a tax in the first place.

WR connects with Everett Chamber and Port of Everett at chamber luncheon


In January, WR’s Rose Gundersen attended the Greater Everett Chamber of Commerce’s luncheon at the historic APEX in downtown Everett, joining approximately 80 civic and business leaders from across the community. The event marked the Chamber’s one-year anniversary, following its launch in response to strong interest from local businesses and civic leaders in a dedicated, city-focused organization. The Everett Chamber works to connect businesses of all sizes while supporting networking, advocacy, and economic vitality throughout the city. WR is excited to build a new partnership with the Everett Chamber to connect with local employers and celebrate the Chamber’s rapid growth and early success.


During the luncheon, Gundersen also met with Glen Bachman, a commissioner with the Port of Everett, which is a WR member. Bachman shared updates on the Port’s plans to expand retail and commercial activity along the Everett waterfront as part of its broader redevelopment efforts. The Port’s vision includes creating new retail, dining, and destination spaces designed to strengthen the local economy and attract both residents and visitors.


The enthusiasm and collaboration on display at the luncheon highlighted the strong momentum underway in Everett. WR looks forward to continued collaboration with both the Greater Everett Chamber of Commerce and the Port of Everett as they work to support a connected, vibrant, and growing business community in the region.

Nordstrom marks 125 years with brand partnerships and promotions


Nordstrom is celebrating its 125th anniversary in 2026 with a yearlong series of events, exclusive merchandise, and expanded promotions. The retailer is launching the milestone during fashion week with events in New York City and Paris, alongside partnerships with luxury brands including Chanel, Christian Louboutin, Manolo Blahnik, and Tory Burch.


Anniversary offerings include limited edition products inspired by historic company logos and designs. The annual Nordstrom Anniversary Sale will feature new brands, an expanded catalog, and special promotions such as $1.25 coffee at Nordstrom restaurants and cafes during the event.


The company is also inviting customers to share personal stories as part of a broader marketing campaign that will roll out later this year across television, social media, and in Seattle. Loyalty members can expect additional perks throughout 2026, including exclusive products, curated experiences, and giveaways. Nordstrom Rack plans to participate with loyalty offers and 125 featured deals in September.


The celebration follows the company’s transition to private ownership in a $6.25 billion transaction completed in 2025 at $24.25 per share, with the Nordstrom family retaining a controlling stake.

Preparing Washington retailers for the 2026 FIFA World Cup™


With the 2026 FIFA World Cup™ fast approaching, Washington retailers have a once-in-a-generation opportunity to welcome the world, and it’s never too early to prepare. SeattleFWC26 is leading efforts to ensure our state is ready not just logistically, but inclusively and responsibly.


A key step is Seattle’s new Inclusion Training Initiative, designed to help businesses and frontline employees create welcoming, respectful experiences for visitors from around the globe. This training focuses on cultural awareness, accessibility, and customer engagement—critical tools as international attention turns to Washington. Learn more at seattlefwc26.org.


Small businesses can also take advantage of the Small Business Readiness Playbook, developed in partnership with the Seattle FIFA World Cup 26™ Local Organizing Committee. The playbook offers practical guidance on staffing, safety, marketing, and operations to help businesses prepare for mega-event demand. The guide is available at seattlechamber.com.


January is National Human Trafficking Prevention Month, and prevention is another essential part of readiness. Large-scale international events can increase trafficking risks, making awareness and training vital. SeattleFWC26, in partnership with BEST (Businesses Ending Slavery & Trafficking), aims to train 2,500 individuals through the BEST Basics program. WR encourages retailers, especially in hospitality, retail, and transportation, to get involved.


As planning continues for the Olympia–Lacey Fan Zone, preparing our business community today will help ensure Washington shines on the world stage tomorrow. Together, we can welcome the world safely, inclusively, and responsibly.

Seahawks championship celebration delivers major boost to downtown Seattle


The Seattle Seahawks returned home after the Super Bowl to celebrate their second Super Bowl title with a championship ceremony and parade that drew massive crowds to downtown Seattle. City officials estimated that as many as 1 million fans lined Fourth Avenue for the victory parade, creating one of the largest public gatherings in the city’s history. 

The day began with a sold-out Trophy Celebration at Lumen Field, followed by a parade route stretching from South Washington Street to Cedar Street near Seattle Center. Fans gathered hours in advance, filling sidewalks and nearby public spaces as players waved from buses and hoisted the Lombardi Trophy.

Beyond the celebration, the event provided a concentrated boost to downtown business activity. Restaurants, coffee shops, bars, and quick service establishments experienced high volume traffic during peak parade hours. Retailers saw strong demand for championship merchandise and related purchases, while parking facilities, transit services, and nearby hotels also benefited from the influx of visitors.

WR staff attended the celebration and were hosted by WR Board member Jerry Irwin, GGP.


The event highlights how major civic celebrations can drive short-term economic activity in core retail corridors. While long-term economic impacts are more difficult to measure, the immediate surge in foot traffic and consumer spending offered a clear example of how large-scale events can support local businesses.

State seeks federal aid for record flood damage


Washington is requesting a federal major disaster declaration following December flooding that officials say caused the largest public infrastructure losses in more than four decades. Gov. Bob Ferguson announced a preliminary damage estimate of $182.3 million for roads, bridges, debris removal, and related repairs. The request seeks access to FEMA’s Public Assistance Program, which can reimburse up to 75% of eligible costs, with state and local governments responsible for the remaining share.


A separate appeal submitted earlier seeks $21.3 million in support for affected families. The state is also applying for FEMA’s Hazard Mitigation Grant Program, which could provide up to 20% of the total damage estimate, or more than $36 million, for projects that reduce future disaster risk.


Some transportation impacts, including certain highways, are being addressed through a separate federal process and are not included in the current estimate. Officials note the damage total may rise as assessments continue.


Attorney General Nick Brown also joined a multistate effort urging a federal court to require FEMA to reinstate a disaster mitigation program that has funded projects nationwide. State leaders and business groups have voiced bipartisan support for securing federal assistance.

Tariff studies find most costs borne by U.S. firms and consumers


Recent analyses from the Federal Reserve Bank of New York and other research groups indicate that U.S. businesses and households are absorbing the majority of costs associated with tariffs implemented in 2025.


According to New York Fed researchers, tariffs introduced in April 2025 increased the average tariff rate from 2.6% to 13% by year end. Import prices for affected goods rose about 11% more than prices for untaxed goods. The report concludes that U.S. firms and consumers bore nearly 90% of the added costs.


Additional findings from the Kiel Institute for the World Economy estimate that 96% of tariff costs have been paid domestically, with about $200 billion in revenue generated in 2025. The Tax Foundation reported the average household paid about $1,000 in higher costs last year, with that figure projected to rise to $1,300. The Yale Budget Lab estimates a 1.3% short-term price increase and a $1,751 annual household impact, along with a 0.4 percentage point reduction in gross domestic product growth.


Separately, Boston Consulting Group noted that the share of U.S. imports covered by tariffs increased from 13% to 61% in 2025, potentially affecting trade flows and supply chains.

Image: Covington Police Department

Covington police arrest suspects in $3,500 retail theft



Covington police arrested two individuals after a local retailer reported more than $3,500 in stolen merchandise. Officers quickly identified the suspects using clear images and the distinctive van involved. Officer Crookston leveraged Flock technology and database information to confirm the vehicle and the suspects’ identities.


Following the identification, police coordinated with the King County Sheriff’s Office to locate the van. Deputies successfully stopped the vehicle and arrested the two individuals, who were booked for investigation of trafficking in stolen property. Authorities have obtained a search warrant for the van and expect to recover additional stolen merchandise and evidence.


WR encourages members to stay vigilant and utilize available security tools, such as video monitoring and license plate recognition technology, to help prevent and respond to retail theft.

King County increases focus on repeat retail theft cases


King County prosecutors are filing more retail theft cases as part of a renewed effort to address repeat offenders who target the same stores across the Seattle region. Prosecutors report that 640 felony economic and property crime cases were charged in 2025, the highest total since 2019. That compares with 506 cases in 2024 and 367 in 2023. The increase is largely attributed to more cases being referred by law enforcement as officers have greater capacity to pursue nonviolent crimes.


Recent filings include multiple felony organized retail theft cases involving Ulta Beauty stores in North Seattle. According to charging documents, investigators allege repeated thefts of fragrances and other health and beauty products over a period of weeks, in some cases spanning locations from North Seattle to Federal Way. Surveillance footage, loss prevention records, and merchandise tracking technology were used to connect incidents across time and stores. Prosecutors note that small, high value items such as beauty products, electronics, and metals are frequently targeted because they can be concealed and resold quickly.


Retail theft has broader impacts beyond inventory loss. WR notes that theft affects employee safety, store operations, and ultimately consumer prices. Industry data cited by WR shows that 54% of retailers nationally report increases in theft by repeat offenders, and many retailers report that fewer than half of incidents are reported to police due to limited response or losses falling below felony thresholds.


A joint report from Challenge Seattle and WR describes organized retail theft as a repeat offender issue that often requires months of coordination among retailers, police, and prosecutors before cases can be combined for felony charges.


Looking ahead, retail groups are supporting HB 2209, legislation intended to strengthen tools for addressing organized retail theft, with a focus on repeat and higher impact offenders. Supporters say the bill is narrowly tailored and does not target everyday shoplifting.

WR diversity statement

WR is committed to the principles of justice, equity, diversity, and inclusion. We strive to create a safe, welcoming environment in which these principles can thrive.

We value all people regardless of race, ethnicity, gender, religion, age, identity, sexual orientation, nationality, or disability, and that is the foundation of our commitment to those we serve. 
Washington Retail Staff

Alesha Shemwell

Interim CEO

360.200.6450

Email

John Engber
Director, Retail Industry
Coalition of Seattle
206.850.5517

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