Newsletter — August 15, 2024 | |
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POLITICAL NEWS
ECONOMY
ON THE LOCAL FRONT
RETAIL THEFT & PUBLIC SAFETY
IN THE NEWS
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WR candidates perform well in primary
The August 6 primary election yielded strong results for WR endorsed candidates.
The WR Retail Action Council celebrated the positive outcomes, with 75 of their endorsed candidates leading in the primary counts, while only 6 were trailing. The election will be officially certified on August 23. As Washington is a vote-by-mail state, the process of receiving and counting ballots takes time.
Notable results include:
- In the hotly contested 10th District (Whidbey and Camano Islands), WR-endorsed incumbent Senator Ron Muzzall is ahead by 4 points.
- In the newly redrawn 14th District (Yakima), WR-endorsed Senator Curtis King leads with over 57% of the vote.
- In the 17th District (Brush Prairie, Battle Ground, and parts of Vancouver), current House Representative Paul Harris, running for the open Senate seat, is leading his competition.
- In the 45th District (Kirkland, Juanita), incumbent State Representative Larry Springer is ahead of his opponent by 8 points.
WR is committed to electing pro-retail candidates to the legislature who will protect and advocate for the retail industry. WR’s PAC will meet after the certification to decide on further support of office seekers.
Please do your part by voting in the November 5 General Election. Ballots will be sent to voters in mid-October.
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Washington ranked among worst states for retirees due to high taxes
Washington State has been ranked as the third-worst state for retirees in 2024, according to a Bankrate survey. The survey evaluated states based on cost of living, health care costs, weather, crime statistics, and overall well-being, with affordability weighing heavily at 40%. Washington's adoption of a 7% capital gains tax on larger gains, combined with the highest estate tax rate in the nation, has made the state less attractive to wealthier retirees.
Additionally, the state's business and occupation tax on gross receipts indirectly increases the cost of goods, further affecting affordability. Last year, Washington ranked fourth-worst, indicating a decline in its desirability as a retirement destination. Bankrate's report highlights Delaware as the best state for retirees in 2024, while Washington voters will have the opportunity to repeal the capital gains tax in November through Initiative 2109.
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Monthly import cargo sees peak season surge
According to the latest Global Port Tracker report by the National Retail Federation (NRF) and Hackett Associates, major U.S. ports are experiencing a near-record surge in import cargo this month.
Retailers are accelerating shipments in anticipation of a possible strike at East Coast and Gulf Coast ports, where contract negotiations have stalled. The International Longshoremen’s Association's contract expires on September 30, and a strike threat looms if talks fail. To mitigate potential disruptions, many are shifting cargo to West Coast ports, pushing their share above 50% for the first time in over three years.
June saw a 3.6% increase in cargo volumes from May and a 17.7% year-over-year rise, with totals reaching 2.16 million TEUs. July's volume is projected to have surged to 2.34 million TEUs, the highest since May 2022, with August expected to maintain this level. NRF forecasts 2024 retail sales to grow between 2.5% and 3.5% from 2023.
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Paid Leave program celebrates 5-year milestone with over 500,000 recipients
The Employment Security Department’s Paid Leave Program marked its 5-year anniversary on July 31 at the University of Washington Tacoma. The program's success is attributed to bipartisan efforts and collaboration between businesses and labor representatives, leading to the passage of SB 5975 in 2017. Rose Gundersen, WR’s VP of Operations and Retail Services is one of the four business representatives on the advisory committee, attended the celebration alongside Governor Inslee, Senator Karen Keiser, and other advisory committee members.
ESD Commissioner Cami Feek highlighted key achievements as of the anniversary date: the program has received over one million applications and provided benefits to over 410,000 individuals, totaling more than $5 billion. The wage replacement system is designed to be progressive, offering higher benefits to lower-income workers.
Despite these accomplishments, there are ongoing challenges that require continuous improvement. Issues with program implementation have affected the employer community’s ability to respond to ESD inquiries to verify validity of claims and offer supplemental benefits. Additionally, the demand for benefits has surpassed expectations, and policymakers are considering further expansion of eligibility and benefits.
The advisory committee’s business representatives will focus on addressing these implementation challenges and supporting rate stabilization to ensure the program's sustainability. WR is proud to represent our members and the employer community in these efforts.
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WR supports Seattle legislation to curb prostitution and drug markets
On August 13, WR sent a letter to Councilmember Robert Kettle, chair of the Public Safety Committee, expressing strong support for two pieces of legislation aimed at curbing prostitution and open-air drug markets. The letter was sent ahead of the Public Safety Committee meeting, where CB 120835 and CB 120836 were on the agenda.
CB 120835 would authorize the establishment of Stay Out of Drug Area (“SODA”) zones in areas with high concentrations of illegal drug activity. Courts would have the authority to bar individuals from traveling to these zones as a condition of pre-trial release or post-conviction sentencing on drug charges. The legislation establishes the first two SODA zones: one in the Chinatown-International District and another downtown between 1st and 6th Avenues and Stewart and University. Councilmember Kettle, in collaboration with City Attorney Ann Davison, introduced this legislation.
Similarly, CB 120836 would authorize the creation of Stay Out of Areas of Prostitution (“SOAP”) zones. In addition, the legislation creates two new criminal offenses: prostitution loitering and promoting loitering for the purpose of prostitution. The legislation authorizes the City to seek court orders to bar individuals charged or convicted of these offenses from entering a SOAP zone. The first SOAP zone would be established along Aurora Avenue North, between 85th Street and the northern city border at 145th Street. This legislation was sponsored by Councilmember Cathy Moore.
In its letter, WR praised Councilmembers Kettle and Moore, along with City Attorney Davison, for their efforts to combat illegal drug markets and prostitution.
“For too many years, the employees and customers of Washington Retail members have confronted the problems of open-air drug markets and prostitution. From responding to deaths from overdose – sometimes numerous deaths in a store on a single day – to gun violence and aggressive solicitation by drug dealers and prostitutes, many employees and customers have first-hand experience with these problems. Our members have seen it impact the willingness of employees to work in certain locations, as well as change the shopping behavior by customers (i.e., taking their business to a different neighborhood or entirely outside the city).”
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King County Sheriff eases vehicle pursuit restrictions following new legislation
The King County Sheriff’s Office has updated its vehicle pursuit policy, reducing restrictions on when deputies can chase suspects. This change aligns with recent state legislative amendments that broaden the conditions under which law enforcement can engage in pursuits. The new policy still limits pursuits to dangerous felonies, DUI, and now includes burglary. Additionally, deputies can pursue suspects involved in nonfelony crimes against a person under "extraordinary circumstances" if there's an imminent threat to public safety.
This policy shift follows the 2023 legislative adjustments that lowered the threshold from "probable cause" to "reasonable suspicion" for initiating vehicle pursuits. Initiative 2113, which passed earlier this year, further extends police authority in these situations, allowing pursuits based on reasonable suspicion that a suspect poses a threat. The policy change sparked debate, with supporters arguing it enhances public safety, while critics voiced concerns about potential risks.
Sheriff Patti Cole-Tindall expressed confidence in deputies' judgment in balancing the dangers of pursuits with the need to protect King County residents. The number of vehicle pursuits and instances of suspects refusing to stop have fluctuated since the initial 2021 law restricting pursuits was enacted.
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Western States ORC Conference: September 10-12, 2024
Join law enforcement and loss prevention professionals for three days of intensive Organized Retail Crime (ORC) training and networking in Draper, Utah at the Western States ORC Conference.
The conference, hosted at eBay’s facility, will cover a range of critical topics including Romanian theft groups, point-of-sale skimming, open-source investigation techniques, ORC interviewing, and ORC task forces. Attendees will also benefit from a keynote address by Utah Attorney General Sean D. Reyes.
The training is priced at $35. Register today.
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NRF reveals 2024 Hot 25 Retailers list
The National Retail Federation (NRF) has unveiled its 2024 Hot 25 Retailers List, showcasing the fastest-growing retailers in the U.S.
Overstock.com tops the list, with a remarkable 135.1% increase in domestic sales, largely due to its acquisition of Bed Bath & Beyond's online operations. Schwarz Group follows in second place with a 32.8% sales increase, while Fast Retailing and Primark Stores take the third and fourth spots, respectively. Lululemon made a notable jump to sixth place, driven by a 16.7% rise in U.S. sales. H.E. Butt Grocery also climbed to 13th with a 12.7% increase. Sephora and Ulta Beauty secure the ninth and twenty-fourth spots.
The list features several newcomers, including Abercrombie & Fitch, Five Below, and Ollie’s Bargain Outlet. NRF's Mark Mathews notes a resurgence among retailers who have adapted successfully to evolving customer needs, contributing to the overall positive growth observed in this year’s rankings.
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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
Mark Johnson, Sr. VP of Policy & Government Affairs — 360.943.0667 — Email
Crystal Leatherman, State & Local GA Manager — 360.200-6453 — Email
Rose Gundersen, VP of Operations & Retail Services — 360.200.6452 — Email
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