Newsletter — July 03, 2025 | | |
Happy Fourth of July
As we celebrate the Fourth of July, WR honors the freedoms and ideals that define our nation. Independence Day is a time to reflect on the values of liberty, resilience, and opportunity, and to recognize the contributions of retailers across Washington who help keep our communities strong and connected.
We wish everyone a safe and joyful holiday filled with pride, celebration, and gratitude.
Happy Independence Day from all of us at WR.
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IN THE NEWS
POLICY
ECONOMY
POLITICAL NEWS
RETAIL THEFT & PUBLIC SAFETY
ON THE LOCAL FRONT
TRENDS
| | Pictured left to right: WR's Mark Johnson, Senator Jeff Holy (R-6th), Senator Manka Dhingra (D-45th), and WR President & CEO, Renée Sunde. | |
Senators Dhingra and Holy awarded as Champions of Public Safety
Washington Retail proudly recognizes Senator Manka Dhingra (D-45th) and Senator Jeff Holy (R-6th) as the“2025 Champions of Public Safety,” honoring their outstanding leadership in passing HB 2015, a landmark bipartisan bill that addresses Washington’s public safety challenges with bold, long-term solutions.
Public safety has been a top priority for WR, as retail theft and threats to employee and community well-being have escalated statewide. WR and its members have invested countless hours in advocating for practical, effective responses to these complex issues, culminating in the passage of HB 2015 during the 2025 legislative session.
Championed by Senator Holy and Senator Dhingra, HB 2015 provides state funding to hire more law enforcement officers, prosecutors, public defenders, and community-based service providers. The legislation also empowers local governments to establish sustainable, long-term public safety funding programs.
The success of HB 2015 is a direct result of bipartisan collaboration and tireless effort. WR is grateful for Governor Ferguson’s early commitment to public safety and for the extraordinary leadership demonstrated by Senators Dhingra and Holy throughout the process.
On behalf of WR’s members, board, and staff, we thank and applaud both Senators for their vision and determination, and proudly name them our 2025 Champions of Public Safety.
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Washington Retail Association Board retreat: Building momentum for the future of retail
Set against the backdrop of the lush forests and historic architecture of The Lodge at St. Edward in Bothell, the Washington Retail Association (WR) Board of Directors convened for its annual summer retreat on June 26–27, 2025. With the state's retail sector undergoing significant change, the gathering offered a vital opportunity for WR’s leadership, comprising CEOs, operations executives, and public affairs professionals, to shape the future of retail in Washington.
Bringing together representatives from approximately 3,500 storefronts across the state, the retreat allowed the board to reflect on WR’s mission to be the unified voice of Washington’s diverse retail community. Through strategic discussions, policy planning, and collaborative visioning, Board members reaffirmed their commitment to strengthening the state’s retail landscape and ensuring its continued resilience.
A strong emphasis was placed on foundational governance, including financial stewardship, board structure, and administrative transitions. These discussions helped ensure WR remains agile, transparent, and aligned with best practices as it moves into a new era.
One of the key themes throughout the retreat was partnership, particularly in addressing complex challenges such as organized retail crime. WR continues to partner in the development of public-private collaborations to confront this growing threat. Representatives from the Attorney General’s Office and the Washington State Fusion Center joined WR leaders to share insights and discuss coordinated strategies to improve safety and reduce loss in communities statewide.
The group also explored WR’s role in shaping public opinion and local elections. As part of the ongoing "Promise of the Future" campaign, our contract team provided updates on efforts to influence critical municipal elections, particularly in Seattle, where retail policy outcomes often have statewide implications. The conversation reinforced WR’s proactive role in helping to elect leaders who understand the economic and social importance of a thriving retail sector.
Policy and legislative engagement remained central throughout the retreat. Board members reviewed the outcomes of the 2025 legislative session and began identifying top priorities for the year ahead. With a rapidly evolving political landscape, the retreat allowed WR’s Government Affairs team to align closely with board members on long-term strategies, grassroots mobilization, and preparing for the 2026 session.
Special guest appearances by Senators Manka Dhingra and Jeff Holy, along with Representatives Janice Zahn and Shelley Kloba, highlighted the strong, bipartisan relationships WR maintains with lawmakers. Their participation underscored the importance of the retail sector in broader economic and public policy conversations.
Beyond formal sessions, the retreat included time for reflection and connection. A guided trail walk to Lake Washington offered a moment of shared rejuvenation, while an evening dinner provided space to celebrate milestones, most notably the retirement of longtime WR Sr. VP of Policy and Government Affairs, Mark Johnson.
As WR looks to the future, succession planning remained a critical focus. A facilitated discussion explored how to maintain organizational continuity and leadership development. These conversations are part of a broader effort to ensure WR is prepared for the long term, both in governance and in the evolving needs of its membership.
The 2025 Board Retreat served as a powerful reminder of what can be achieved when retail leaders come together with purpose. With clarity, collaboration, and renewed energy, WR is well-positioned to continue advocating for its members, promoting innovation, and safeguarding the future of retail in Washington.
| | Pictured left to right: WR's Mark Johnson, Past Board Chair, Alesha Shemwell, Kemper Development/The Bellevue Collection, and Board Chair, Opio Dupree, Macy's. | |
Mark Johnson honored for 20 years of service
After more than two decades of dedicated service to the Washington Retail Association and a remarkable 40-year career in government affairs, Mark Johnson, Sr. Vice President of Policy and Government Affairs, is retiring.
Mark has been a pillar of WR’s advocacy efforts, bringing deep experience, thoughtful leadership, and unwavering commitment to representing the interests of Washington’s retail industry. Throughout his tenure, he has successfully lobbied the state legislature, fostered collaboration among diverse stakeholders, and cultivated meaningful partnerships with business groups across the state.
“Mark has been an essential part of our success in Olympia,” said Renee Sunde, President and CEO of the Washington Retail Association. “His intellect, integrity, and ability to build relationships have made a lasting impact, not just on our organization, but on the entire retail community in Washington. It has been an honor to work alongside him.”
Representative Andrew Barkis (R-2nd) shared his appreciation as well: “It has been a pleasure working with Mark for the last ten years in the legislature. A consummate professional. I have really enjoyed getting to know Mark and wish him all the best.”
Known by his colleagues as observant, intelligent, considerate, polished, and well-spoken, Mark’s professionalism and warmth have left an indelible impression on all who have worked with him.
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Walgreens government affairs leader Jake Mayson joins WR Board of Directors
The Washington Retail Association (WR) is proud to welcome Jake Mayson, Government Affairs representative for Walgreen Co., to its Board of Directors. Jake brings extensive experience in public policy, advocacy, and industry engagement that will help guide WR’s work on behalf of retailers statewide.
In his current role, Jake represents Walgreens in government affairs across ten states, navigating key issues that impact both the healthcare and retail sectors. His background includes legislative work in the Washington State Senate, lobbying with Carney Badley Spellman, and leading public policy efforts for the Central Washington Home Builders Association and Greater Spokane Incorporated.
Jake’s deep understanding of policy and his multi-industry perspective make him a valuable addition to WR’s Board. We are thrilled to welcome him and look forward to the leadership he brings.
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2025 Law Review: A comprehensive tool for members only
Washington Retail (WR) has published and distributed its 2025 Legislative Law Review to all dues-paying members. This in-depth, 49-page report provides a comprehensive summary of the most impactful legislation passed during the recent session. It outlines the new laws retailers must comply with, their implementation timelines, and the specific requirements that will affect business operations.
Equally important, the Law Review details the legislative proposals that WR successfully opposed, particularly those that would have introduced excessive regulations or additional costs for retailers.
Retailers who are not yet members but wish to receive the Legislative Law Review, along with access to WR’s full suite of resources and advocacy services, are encouraged to contact Crystal Leatherman, State & Local Government Affairs Director, at (360) 200-6453 or via email at CLeatherman@washingtonretail.org.
If you are a current member and did not receive your copy of the Law Review, please reach out to kdavies@washingtonretail.org to request one.
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WR releases its 2025 Consumer Affordability Scorecard
Washington Retail (WR) has released the 2025 Consumer Affordability Scorecard, tracking how lawmakers voted on key issues impacting retailers and the customers we serve.
This year’s scorecard includes 15 House votes, 17 Senate votes, and for the first time, a score for the Governor based on action he took on 15 bills.
These votes reflect WR’s priorities on public safety, labor, taxation, and business regulation—issues we actively engaged on through testimony, direct communication, and coalition work.
Some of the bills on the scorecard include:
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Public Safety Funding (ESHB 2015)
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Unemployment Insurance for Striking Workers (ESSB 5041)
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Significant B&O Tax Increases (ESHB 2081)
Retailers across Washington continue to face mounting challenges as the cost of doing business in the state increases. Significant tax increases, strains on safety net programs like unemployment insurance, and growing threats from private rights of action all contribute to an increasingly difficult environment. These policy choices ultimately affect consumer affordability, limiting the ability of retailers to keep prices down, hire and retain workers, and invest in communities.
Please feel free to use this scorecard as a guide to understand which lawmakers are championing policies that promote a competitive, safe, and affordable retail landscape in Washington.
To view the full 2025 Consumer Affordability Scorecard, click here.
To learn more about WR’s advocacy efforts, please contact Crystal Leatherman, WR’s Director of Government Affairs, at cleatherman@washingtonretail.org.
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Report raises red flags over Washington’s business climate
A recent report by the Washington Policy Center (WPC) highlights rising concerns about Washington State’s business and tax climate. The nonprofit think tank released a digital dashboard as part of its ongoing “Report Card for Washington’s Future” project, using data from sources including the Tax Foundation and the U.S. Bureau of Labor Statistics.
According to the report, Washington dropped from sixth to 45th in state tax competitiveness rankings over the past decade. It also has the eighth-highest business failure rate nationwide over the last ten years. Business leaders, including representatives from Amazon, Microsoft, Costco, and others, recently urged state lawmakers to avoid additional business tax increases.
While opinions differ on policy direction, business advocates say recent tax and regulatory changes are creating challenges for employers, particularly small businesses. Concerns include higher business and occupation (B&O) taxes, a new rent cap law, and expanded unemployment benefits for striking workers.
Leaders from both WPC and the Seattle Metropolitan Chamber of Commerce say these changes may affect job growth and consumer prices. They warn that without greater tax stability and predictability, Washington could face long-term economic impacts affecting businesses and residents alike.
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Capital gains tax increase spurs debate on business impact
Washington State's capital gains tax has increased to 9.9% for gains exceeding $1 million, following the passage of SB 5813. The updated rate, retroactive to January 1, applies to long-term asset sales such as stocks and bonds. Supporters say the change helps address tax inequities and funds essential services, particularly education and school construction. The Washington State Department of Revenue reports that tax collections for 2024 have already surpassed $560 million.
However, some business advocates caution that the tax hike could drive wealth and businesses out of state. Critics argue that higher rates may discourage investment and prompt business owners to relocate to more tax-friendly states, potentially reducing future tax revenue and local economic activity. They also express concern that the policy could impact not just the ultra-wealthy but also small- and medium-sized business owners relying on asset sales for retirement.
Despite these concerns, Washington voters chose to retain the capital gains tax in November 2024, rejecting Initiative 2109 with 64% of the vote. As the state moves forward, the conversation continues about balancing revenue generation with maintaining a business-friendly climate.
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Retail Action Council Board approves first round endorsements
WR's Retail Action Council Committee has approved its first round of endorsements for the 2025 state legislative special elections.
Endorsements were based on several key factors, including candidates’ scores on WR’s Consumer Affordability Scorecard, their willingness to engage with WR’s Government Affairs team, their support for policies that promote economic growth and public safety, and their responsiveness to business community concerns.
The endorsed candidates are:
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The Retail Action Council Political Action Committee represents a diverse coalition of retail members across a broad spectrum of sectors and business sizes. The Retail Action Council PAC proudly endorses candidates from both sides of the aisle who understand the critical role the retail industry plays in Washington State’s economy and are supportive of retail issues.
Local election endorsements will be announced later this month. For questions regarding the endorsement process, please contact Crystal Leatherman, WR’s Government Affairs Director, at cleatherman@washingtonretail.org.
| | The StarChase device used by Massachusetts State Police has multiple components: the projectile tracker, left, control panel, center, and the key fob, right. (Irene Rotondo/MassLive) | |
Seattle approves new vehicle tracking tech for police pursuits
The Seattle City Council has approved a new two-year pilot program that will equip 25 Seattle Police Department patrol cars with GPS launchers from the company StarChase. The system allows officers to attach a tracking device to a fleeing vehicle using a magnet and adhesive, enabling law enforcement to monitor its location in real time.
The Council voted 8 to 1 in favor of the pilot, which is supported by a $250,000 state grant. The goal is to reduce high-speed pursuits and enhance public safety. Unlike traditional GPS tracking, which requires a warrant, this system can be deployed based on reasonable suspicion.
StarChase is already used by several agencies in the Puget Sound region, though Seattle’s wetter climate has resulted in a lower success rate. The device’s battery lasts about eight hours.
While proponents say the technology can help reduce dangerous chases and ease burdens on limited police staff, some civil liberties advocates have raised privacy concerns. The ACLU of Washington voiced caution about potential warrantless surveillance and long-term data use.
If deemed successful, the program could continue after the pilot at an annual cost of $40,000. Seattle’s move reflects a broader trend toward technology-driven policing solutions.
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Mayor and Councilmember propose new tax restructuring and hikes
Mayor Bruce Harrell and Councilmember Alexis Mercedes Rinck released a plan to shift some of the city’s business and occupancy (“B&O”) tax from small businesses to the businesses in the city with the highest gross revenues.
Facing a $240 million budget shortfall over the next two years, this tax plan would also generate additional tax revenue for the city. The proposal would exempt businesses with less than $2 million in gross revenue from paying any city B&O tax. According to the Mayor’s office, this exemption would cover 76% of businesses in Seattle. Another 14% of businesses would pay less in taxes.
The remaining 10% of businesses, those with the highest gross revenues, would pay B&O taxes that are 50% higher than what they currently pay. For large grossing retailers, the tax rate would jump from $.22 per $100 in revenue to $.34.
The Seattle Metropolitan Chamber of Commerce has already announced its opposition to the tax proposal. Katie Wilson, the progressive challenger to Mayor Harrell, supports the proposal but also called it cynical. “Harrell’s in a corner and he’s doing what he has to do and he’s trying to make it look like he’s taking the lead,” Wilson said. “He’s not.”
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Consumers weigh costs and weather ahead of Fourth of July celebrations
As communities gear up for the Fourth of July, many shoppers are navigating economic uncertainty and unpredictable weather while preparing for the holiday. Although Independence Day is not among the top spending holidays, it remains one of the most cherished, second in popularity only to the winter holidays.
Most Americans say they celebrate the Fourth to enjoy time with family and friends. Classic traditions like cookouts and fireworks remain central to the holiday experience. However, rising food prices and tariff-related costs may prompt some to scale back their plans. Shoppers report higher prices on items like meat and produce, which could lead to fewer people hosting barbecues and picnics compared to last year.
Retailers are also feeling the pressure. Small business owners report cost increases and supply delays that could impact peak holiday demand
Weather may add another layer of unpredictability. While this year is expected to be cooler than last year’s record heat, potential rainfall could affect outdoor plans.
Despite these challenges, nearly one third of consumers plan to purchase additional patriotic merchandise, showing that enthusiasm for the holiday remains strong.
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The Home Depot expands pro reach with $4.3 billion acquisition
The Home Depot is expanding its focus on professional contractors with a $4.3 billion agreement for its SRS Distribution subsidiary to acquire GMS Inc., a specialty building products distributor. The acquisition includes drywall, ceiling, and steel framing materials used in residential and commercial construction.
The move will enhance The Home Depot’s ability to serve professional customers by creating a combined network of over 1,200 locations and 8,000 trucks, capable of making thousands of jobsite deliveries daily. This merger is expected to close by the end of the fiscal year and brings the total value of the transaction to approximately $5.5 billion when including debt.
GMS will help accelerate SRS’s expansion into multiple product categories and grow its footprint in the U.S. and Canada. This is the latest in The Home Depot’s ongoing strategy to deepen its support for pro customers, following its $18.25 billion purchase of SRS last year.
Despite a cooling housing market, The Home Depot reported $39.9 billion in Q1 net sales, with professional sales outperforming DIY. With this latest acquisition, The Home Depot aims to further streamline service options and improve operational efficiency for contractors and commercial customers nationwide.
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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.
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Renée Sunde, President/CEO — 360.200.6450 — Email
Crystal Leatherman, Dir of Local & State Government Affairs — 360.200-6453 — Email
Rose Gundersen, VP of Retail Services — 360.200.6452 — Email
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