Senate hearing focuses on the need to pass the Combating Organized Retail Crime Act

“Imagine an organization that leverages masters-level business school concepts to unite individuals toward a common goal, meticulously measures results, harnesses technology to its advantage, and defines clear roles and responsibilities.”

That could refer to a successful retail organization — but add fear, violence and intimidation, and it describes the operations of an organized retail crime group. American Eagle Outfitter’s Chief Global Asset Protection Officer Scott McBride began his testimony with this anecdote during the July 15 Senate Judiciary Committee hearing, “Beyond the Smash and Grab: Criminal Networks and Organized Theft.”

The hearing explored the sophistication of organized retail crime and supply chain theft and addressed the need to pass the bipartisan Combating Organized Retail Crime Act. McBride was one of four expert witnesses invited to testify about the ongoing challenges industry and law enforcement face with ORC and to emphasize how CORCA would equip law enforcement with critical tools to enhance coordination and response.

Despite what some may believe, ORC is not a victimless crime. It impacts every aspect of the retail environment from stores to the supply chain to financial networks.

IMC Logistics Chief Strategy Officer Donna Lemm said in her testimony, “IMC Logistics has seen cargo theft of intermodal volumes rise from five incidents in 2021 to 876 incidents in 2024. That is a 17,520% increase in just three years.”

NRF's David Johnston joins American Eagle Outfitter’s Scott McBride and NRF's Jon Gold at the July 15 Senate Judiciary Committee hearing.

ORC not only disrupts supply chains, but it also presents safety concerns among retail associates. “Our store staff face threats with knives, guns or even dirty needles,” McBride said. He described attacks that range from vandalism to physical assault on associates. McBride’s peers have even witnessed the deaths of associates and customers as a result of ORC.

One major setback toward fighting ORC is the lack of coordination once merchandise crosses states’ borders.

“Organized crime rings easily traverse jurisdictions and state lines to evade detection and to continue their nefarious operations,” San Diego County District Attorney and current chair of the National District Attorneys Association Summer Stephan shared in her testimony. “Without a coordinated response, theft incidents get siloed within jurisdictions, and justice is never fully achieved,” she said.

“Organized theft crime’s impact is not limited to economic loss. It’s a crime that threatens people’s well-being and livelihoods.”

CORCA seeks to provide a tool to help law enforcement, retail and other stakeholders address ORC and supply chain theft. The bill currently has 28 Senate co-sponsors and 129 co-sponsors in the House.

It also enjoys strong industry support from the National Retail Federation as well as the National District Attorneys Association, the National Association of Attorneys General and supply chain organizations including the American Trucking Associations and the Association of American Railroads. NRF submitted a letter signed by over 260 retailers in support of the bill.

The bill would create the Organized Retail and Supply Chain Crime Coordination Center under the Department of Homeland Security to expand information sharing among key federal government agencies in partnership with state and local law enforcement. The coordination center would allow investigations to follow ORC as it spreads across state borders and beyond our shores.

It’s time for Congress to pass CORCA now.