Newsletter — May 22, 2025

Honoring service and sacrifice: Military Appreciation Month and Memorial Day

May is National Military Appreciation Month, a time dedicated to honoring the service, sacrifice, and strength of our military members, veterans, and their families. From Armed Forces Day to Military Spouse Appreciation Day, this month offers many opportunities to show our gratitude.

As we observe Memorial Day on Monday, May 26, we pause to remember and honor those who made the ultimate sacrifice in service to our country. WR proudly joins in recognizing the bravery, dedication, and enduring legacy of our military community.

IN THIS ISSUE

POLICY

IN THE NEWS

ECONOMY

ON THE LOCAL FRONT

POLITICAL NEWS

RETAIL THEFT & PUBLIC SAFETY

Addressing the rising threat of organized retail crime

TRENDS

WR CEO, Renée Sunde, and WR Senior VP of Policy and Government Affairs with Governor Ferguson at the signing of HB 2015.

Governor Ferguson signs Public Safety Law

On Monday, Governor Bob Ferguson signed HB 2015 into law, delivering on his promise to make public safety funding a top priority. Renée Sunde, President/CEO of Washington Retail (WR), and Mark Johnson, SVP of Policy and Government Affairs, were present for the bill signing. WR was a strong supporter of the legislation.

The bill began as SB 5060, sponsored by Senator Jeff Holy (R-6), with the goal of providing law enforcement hiring grants. As it progressed through the legislative process, it was reintroduced as HB 2015 by Representative Debra Entenman (D-47), and its scope was significantly expanded. The final version authorizes grants not only for hiring law enforcement officers but also for prosecutors, public defenders, community resource officers, and specialists in mental health and substance use treatment. Additionally, it allows cities and counties to adopt a local sales tax to sustain long-term public safety funding.

Retailers and communities across Washington have been deeply affected by retail theft and organized retail crime in recent years. Ensuring the safety of retail employees and customers remains a top priority for WR. HB 2015 and its $100 million grant program represent a historic step forward in addressing these challenges.

WR extends its sincere thanks to Governor Ferguson, Representative Entenman, and Senators Dhingra and Holy for their leadership and commitment to this critical issue.

2025 legislative outcomes: Impacts on Washington retailers

The final day of legislative action was marked by the approval of more than $9 billion in new state and local taxes, which were signed into law by Governor Ferguson. Key measures affecting the retail sector include:

Increases to the Business & Occupation (B&O) tax
A new sales tax on services, which is expected to impact small retailers
Property tax increases
Elimination of several tax preferences

WR recognizes the need to address the state’s budget shortfall and acknowledges the complexity of the decisions involved. However, we remain concerned about the potential impact these tax increases may have on retailers, including higher consumer prices and tighter profit margins for businesses.

Several major policy bills also passed in the final days of the session:

SB 5284 – Packaging & Recycling (EPR)

This bill establishes an Extended Producer Responsibility (EPR) program, making Washington the seventh state to adopt such a plan. However, no state has fully implemented an EPR program yet. Retailers and consumers should expect increased costs.

SB 5041 – Unemployment Insurance for Striking Workers

This bill provides up to six weeks of unemployment benefits to striking workers. WR has serious concerns about the legality of this measure, which appears to conflict with federal law. If upheld, it could deplete the state’s unemployment trust fund and raise employer taxes during the next major strike.

HB 1213 – Paid Family & Medical Leave Expansion

This bill removes the small business exemption from the paid family and medical leave program, placing additional cost and compliance burdens on our smallest members. Unfortunately, this move disregards the original agreement between business and labor.

HB 1308 – Employee Access to Personnel Records

This bill increases employer liability and is likely to lead to more legal actions against businesses.

SB 5786 – Spirits Licensing Fee Increases

This bill raises fees for spirits licensing, impacting many retail businesses.

On a more positive note, SB 5408 was enacted, providing a limited right to cure for inadvertent job posting errors. This important measure should help reduce the number of unnecessary lawsuits being filed against employers.

HB 2015, related to public safety funding, is covered in a separate article.

This was a challenging, and quite literally "taxing", legislative session. WR remains committed to supporting our resilient retailers, their employees, and customers as they navigate the impacts of these new laws.

WR Government Affairs team reflects, refines, and refocuses at 2025 session debrief retreat

The WR Government Affairs team recently held its 2025 Legislative Session Debrief Retreat, moderated by Jennie Foglia-Jones.

Together, the team conducted a personal inventory of successes, challenges, and lessons learned in WR’s mission to advocate for Washington’s retail industry. The team engaged in honest dialogue with a focus on continuous improvement.

The retreat also provided a valuable opportunity for the team to begin shaping interim strategies to strengthen retail advocacy across the state. A key focus moving forward is expanding grassroots engagement and increasing retailer participation in policy discussions.

If you’re interested in joining WR’s grassroots advocacy work or want to learn more about how to get involved, please contact Director of Local & State Government Affairs Crystal Leatherman to get involved. (360-884-0771 | cleatherman@washingtonretail.org)

Bedrooms & More’s Blake Garfield is the new Wallingford Chamber President

With 28 years of experience working for Bedrooms & More, which his father created in 1972, Blake Garfield is adding a new role as President of the Wallingford Chamber of Commerce. Blake also serves as President of Bedrooms & More and is a Washington Retail board member.

Garfield explained his reason for taking on the Chamber role by saying “I want to make sure that all Wallingford businesses — large and small — have a strong voice with our government leaders. With so many changes happening in Wallingford’s business core, including major changes to the buildings in that area, we need to work together to help businesses being displaced so they can survive.”

While the Chamber role is new, Garfield has served as President of the Wallingford Parade for the past few years. The next parade is July 12.

Garfield is now focused on outreach to Wallingford businesses to get their perspectives on what the Chamber can do to help them. He is also beginning to recruit new board members for the Chamber.

Done deal: Nordstrom is officially a private company

The deal with Mexican retailer El Puerto de Liverpool is worth $6.25 billion

Published in Seattle Magazine

By Rob Smith

May 20, 2025

Nordstrom is now a private company.

The iconic Seattle-based retailer has closed its $6.25 billion deal to go private with Mexican retailer El Puerto de Liverpool in an all-cash transaction.

Brothers Erik and Pete Nordstrom — great grandsons of company founder John W. Nordstrom — will lead the company as co-CEOs. Nordstrom common stock will be delisted starting tomorrow.

Company stock was up slightly today during its last day of trading, closing at $24.66 per share. It is up about 2% on the year.

“The completion of this transaction is an important milestone in our nearly 125-year history,” Erik Nordstrom said. “We look forward to building on Nordstrom’s strong foundation to reach even greater heights.”

The deal with El Puerto de Liverpool was first announced last December . El Puerto de Liverpool was founded in 1847 and operates 310 stores under the Liverpool and Suburbia banners, 119 specialized boutiques and 29 shopping centers.

A retail analyst told Seattle magazine last year that “Nothing should really change” if Nordstrom went private, but added that “it’s likely that Nordstrom would make some changes and cut costs” after going private. Placer.ai, a company that tracks cell phone data to monitor foot traffic, called the retailer one of its “10 Top Brands to Watch in 2025 .”

Nordstrom tried to go private more than seven years ago but financing fell through.

Nordstrom was founded as a shoe store in downtown Seattle in 1901. It now operates more than 350 full-line department stores and Rack locations. The company is particularly focused on its off-price Rack stores — it opened 23 last year and plans to open another 21 this year.

The 2025 Pacific NorthWest Economic Region (PNWER) Annual Summit will be held July 20–24 at the Hyatt Regency in Bellevue, WA. This premier event brings together over 600 leaders from both the U.S. and Canada to collaborate on cross-border solutions in trade, infrastructure, energy, workforce development, and more.

WR President & CEO Renée Sunde is among the host committee members helping shape this year’s Summit. Attendees will have the opportunity to connect directly with policymakers, legislators, and business leaders to discuss the future of regional economic cooperation.

PNWER is a nonpartisan public-private partnership that fosters collaboration between states, provinces, and territories to strengthen economic resilience across the Pacific Northwest.

Join the conversation. Be part of the region’s future.

Census data shows steady retail sales in April as tariff concerns continued

NRF Chief Economist Jack Kleinhenz says U.S. Census Bureau data shows shoppers remained engaged in April amid continued concern over tariffs on imported merchandise. “While tariffs may have weighed on spending decisions, growth is coming at a moderate pace and consumer spending remains steady, reflecting a resilient economy,” Kleinhenz said. The Census Bureau said overall retail sales in April were up 0.1% from March and up 5.2%. Core retail sales as defined by NRF — excluding auto dealers, gas stations and restaurants — were down 0.1% from March but up 5.1% year over year.

U.S. economy shows resilience despite consumer concerns and inflation expectations

Despite growing caution among consumers, key economic indicators point to a steady and resilient U.S. economy in 2025.

In April, the U.S. labor market remained strong, with payrolls expanding by 177,000 jobs and the unemployment rate holding at a historically low 4.2%, signaling continued confidence in hiring across sectors.

Price pressures also showed signs of easing. The Consumer Price Index (CPI) increased just 0.2% last month and 2.3% over the past year, the slowest annual inflation rate since early 2021, according to the Bureau of Labor Statistics.

Retail spending, though slightly moderated, remained in positive territory with a 0.1% gain in April following a strong 1.7% rise in March, based on data from the Commerce Department. These figures suggest that consumer activity is holding up, even amid broader concerns.

While economic fundamentals appear solid, some consumers remain wary about the outlook. “There is a continued sense of caution among the public,” noted economist Joanne Hsu, reflecting on consumer sentiment.

On the trade front, recent developments have introduced both opportunities and challenges. The Trump administration recently agreed to reduce certain tariffs in partnership with the U.K. and lowered duties on imports from China to 30%, down significantly from 145%. This 90-day reprieve is designed to allow room for further negotiations and reduce cost pressures in the short term.

Nonetheless, U.S. households continue to feel the effects of existing tariffs, which now average 17.8%, the highest level since the 1930s, according to research from the Yale Budget Lab. The group estimates that these trade measures could increase consumer prices by 1.7% and add roughly $2,800 in annual costs per household.

Inflation expectations have edged up recently, with year-ahead forecasts rising among both Democrats and Republicans. Long-term inflation expectations climbed to 4.6%, a modest increase from 4.4% the month prior.

Retail giant Walmart acknowledged the potential impact of these tariffs on pricing. CEO Doug McMillon stated that the company is well-prepared to manage these cost pressures. “We’re in a strong position to adapt, but tariffs at any level are likely to affect consumer prices,” he told analysts.

Meanwhile, tariff-related concerns have become a key topic for corporate America. A record 411 companies in the S&P 500 referenced tariffs during earnings calls between March 15 and May 15, according to FactSet analyst John Butters. This surpasses the previous high of 260 mentions recorded during Q4 of 2020.

Pictured: Governor Bob Ferguson speaks with WR member and Drees owner Ruthann Goularte, alongside WR staff

Thurston County Chamber celebrates 120 years at Annual Meeting featuring Governor Bob Ferguson

The Thurston County Chamber of Commerce celebrated its 120th Annual Meeting this year, marking over a century of leadership in economic development and community building. Held before a full audience of business and civic leaders, the event paid tribute to the Chamber’s longstanding role in shaping the region’s business landscape while also looking ahead to the future of Thurston County and Washington State.

A highlight of the meeting was the keynote address by Washington Governor Bob Ferguson, who shared his fiscal philosophy and vision for the state. Ferguson emphasized a budgetary approach rooted in frugality and responsibility, underscoring the importance of identifying areas where costs can be reduced without sacrificing key services or infrastructure. His remarks resonated with many in the business community who value prudent financial management.

Governor Ferguson also highlighted one of the standout successes from the most recent legislative session: HB 2015, the Public Safety Organized Retail Crime (ORC) Grant. He praised the program as a critical tool in addressing the growing threat of organized retail theft, a concern that has affected businesses across the state, including many in Thurston County. “We’re seeing real momentum in our efforts to improve public safety,” Ferguson said. “The ORC Grant is a strong example of how targeted investments can make communities safer and support the businesses that form the backbone of our economy.” He reaffirmed his continued commitment to public safety, promising that it would remain a top priority of his administration moving forward. His message was one of collaboration between government, law enforcement, and business leaders to build safer, stronger communities throughout Washington.

The event also featured recognitions of longtime chamber members, updates on local economic initiatives, and reflections on the Chamber’s 120-year legacy. What began in 1905 as a small group of local merchants has grown into one of the region’s most influential business organizations, fostering partnerships and driving progress across Thurston County.

As the Chamber moves into its next chapter, leaders remain focused on innovation, inclusion, and sustainability, guided by the same community spirit that has sustained it for more than a century.

Seattle’s 2025 election takes shape after candidate filing deadline

With the May 9 candidate filing deadline behind us, the 2025 election landscape for Seattle and King County is coming into focus. Several high-profile races are now set, offering a glimpse into the political battles ahead.

Mayor Bruce Harrell is seeking to become the first two-term mayor since Greg Nickels, who lost his bid for a third term in 2009. As expected, progressive activist Katie Wilson entered the race for mayor. However, the list of 10 challengers to Harrell included one surprise – Joe Mallahan, a former T-Mobile executive who helped unseat Nickels in the 2009 primary before losing to Mike McGinn in the general election, setting up what will likely be a very competitive race.

The open King County Executive seat drew seven candidates, including frontrunners Girmay Zahilay and Claudia Balducci, both current County Councilmembers, and King County Assessor John Wilson. Zahilay and Balducci have commanding fundraising leads over the other candidates. After 16 years as County Executive, Dow Constantine decided against seeking reelection and, instead, took over the CEO role at Sound Transit.

Other notable races include Seattle City Attorney and three City Council seats:

City Attorney Ann Davison is running for re-election and faces three well-funded challengers. She has secured endorsements from U.S. Representative Adam Smith and former Governor Gary Locke.
City Council President Sara Nelson faces four challengers, including Dionne Foster, a former city policy adviser who leads Nelson’s opponents in both endorsements and fundraising. Nelson has strong support from Congressman Smith, most of the City Council, labor unions, and other former and current elected officials.
Councilmember Alexis Mercedes Rinck, elected last year to a partial term, is now seeking a full four-year term in the other citywide seat. She faces just two challengers.

Three candidates filed for District 2, where appointed Councilmember Mark Solomon is not seeking election. The last person to win this seat, Tammy Morales, resigned from the Council in January.

Image: American Hospital Association

House advances Reconciliation Bill

Late Sunday night, the House Budget Committee advanced the “One Big Beautiful Bill,” setting the stage for the Rules Committee to meet this week and paving the way for floor consideration by Thursday. NRF has expressed strong support for this legislation, sending a Key Vote letter. The bill makes the 2017 Trump tax cuts permanent, protecting taxpayers from a potential 22% tax hike. It also offers provisions, including eliminating taxes on tips, overtime pay and car loan interest. The legislation further expands the 199A small business deduction to 23%. Finally, it maintains the corporate rate at 21% and preserves the C-SALT (B-SALT) deduction.

U.S. Senators introduce Credit Card Competition Act Amendment to GENIUS Act

This week, U.S. Senators Roger Marshall (R-KS) and Dick Durbin (D-IL) introduced the Credit Card Competition Act (CCCA) as an amendment to the GENIUS Act, a bill focused on creating a federal regulatory framework for stablecoins, a type of cryptocurrency.

The CCCA aims to promote more competition in the credit card market, a move supporters believe will help lower transaction fees for businesses and consumers. The amendment is now under Senate consideration as part of broader discussions around financial innovation and regulation.

With a vote expected before the Senate recess at the end of the week, the Food Industry Association (FMI) and the Merchants Payments Coalition are encouraging widespread grassroots advocacy in support of the amendment. Business owners and individuals are being urged to contact their Senators, share messages of support, and spread awareness within their networks.

To take action or find your Senator's contact information, visit: https://www.senate.gov/senators/index.htm.

Addressing the rising threat of organized retail crime

Organized retail crime (ORC) is a growing national issue with wide-reaching impacts on retailers, employees, consumers, and entire communities. Unlike isolated shoplifting, these crimes are driven by coordinated, often transnational networks engaged in broader illegal activity, including cargo theft, financial fraud, and even drug trafficking.

Retailers continue to face increasing losses, safety concerns, and rising operational costs as they combat highly organized theft rings targeting everything from electronics to essential goods. Consumers are feeling the effects too, with reduced product availability and heightened in-store security measures.

Law enforcement and public officials are raising alarms. In a letter sent this February, 38 state attorneys general urged Congress to take swift federal action, calling ORC a nationwide “epidemic.” In response, the bipartisan Combating Organized Retail Crime Act of 2025 (S.1404/H.R.2853) has been reintroduced. It proposes a federal coordination center, improved data sharing, and enhanced penalties to disrupt criminal operations more effectively.

With growing momentum in Congress, WR encourages members to stay informed and engaged. ORC is more than a retail issue, it threatens economic stability, public safety, and supply chain security across the country. Federal support and cross-sector collaboration are critical to turning the tide.

Dick’s Sporting Goods invests in expanding youth sports access

Dick’s Sporting Goods , through its venture capital arm DSG Ventures, has taken a minority stake in Unrivaled Sports as part of a $120 million investment round. Unrivaled Sports, cofounded by private equity leaders David Blitzer and Josh Harris, is a fast-growing youth sports organization with a footprint in 30 states, reaching over 600,000 young athletes and 2 million fans annually.

The investment aligns with Dick’s long-standing commitment to supporting youth sports, including its Sports Matter initiative. Unrivaled’s CEO Andy Campion praised Dick’s as a mission-driven partner dedicated to enriching the youth sports experience. Together, the two companies aim to enhance access and improve amenities across sports destinations like Cooperstown All Star Village and Ripken Baseball Experiences.

Future plans include upgrading playing fields, expanding lodging and hospitality services, and growing sports participation, particularly among underserved communities. The partnership will help Unrivaled further diversify its offerings while reinforcing the belief that youth sports can build community and teach lifelong lessons.

This collaboration highlights how retail investment can play a role in strengthening grassroots sports and promoting greater inclusion in youth athletics nationwide.

Target enhances checkout options to meet evolving shopper preferences

Target is refining its checkout experience by expanding both its Express Self-Checkout lanes and traditional staffed registers. Introduced in March 2024, the Express Self-Checkout, designed for purchases of 10 items or fewer, is now available in most of the retailer’s nearly 2,000 stores. The new lanes have reduced transaction times by nearly 8% and improved customer satisfaction scores related to checkout.

In addition to self-checkout, Target is investing in traditional lanes staffed by team members. The company reports an increase in customers choosing this option, reflecting a desire for personal interaction alongside convenience.

According to Adrienne Costanzo, Target’s Executive Vice President and Chief Stores Officer, the focus remains on giving shoppers flexible checkout choices, whether through self-service, employee-assisted lanes, or curbside Drive Up options.

These checkout updates are part of a broader strategy that includes affordable merchandise, digital and in-store shopping integration, supply chain enhancements, and expanded loyalty offerings. Target projects these efforts will support over $15 billion in sales growth by 2030.

Retailers of all sizes can take note of Target’s approach: offering options tailored to shopper needs while maintaining efficient and scalable operations.

Image: Tractor Supply Company

Retail giants expand footprint through community and customer engagement

Lowe’s and Tractor Supply Company are both accelerating their expansion and community engagement efforts in 2025, each focusing on strengthening customer connections through distinct strategies.

Tractor Supply, currently operating over 2,300 stores, plans to add 90 new locations this year as part of its aggressive growth toward 3,200 stores by 2030. The rural lifestyle retailer is boosting in-store experiential retail with events like Demo Days, allowing customers hands-on trials of big-ticket items such as ride-on lawn mowers and grills. These efforts, combined with targeted marketing, have helped Tractor Supply navigate seasonal and economic challenges, driving steady sales growth.

Meanwhile, Lowe’s is expanding its community footprint through a bold initiative to improve 10 million square feet of public spaces nationwide within the next year. This effort builds on its ongoing $100 million Lowe’s Hometowns program and aims to position the brand as a unifier amid social divisions. Supported by a broad marketing campaign, Lowe’s commitment reflects a focus on local impact and customer engagement, targeting younger consumers who value brands with strong community involvement. The company also projects steady sales growth in 2025, with revenues expected near $84 billion.

Together, these expansions highlight both retailers’ dedication to growth and deepening ties with their customers and communities.

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

Renée Sunde, President/CEO — 360.200.6450 — Email

Mark Johnson, Sr. VP of Policy & Government Affairs — 360.943.0667 — Email

Crystal Leatherman, Dir of Local & State Government Affairs — 360.200-6453 — ‬Email

Rose Gundersen, VP of Operations & Retail Services — 360.200.6452 — Email