H.R. 2853

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2853 Referred in Senate (RFS)]

<DOC>
119th CONGRESS
2d Session
H. R. 2853

_______________________________________________________________________

IN THE SENATE OF THE UNITED STATES

May 13, 2026

Received; read twice and referred to the Committee on the Judiciary

_______________________________________________________________________

AN ACT

To combat organized crime involving the illegal acquisition of retail 
goods and cargo for the purpose of selling those illegally obtained 
goods through physical and online retail marketplaces.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Combating Organized Retail Crime Act 
of 2025''.

SEC. 2. FINDINGS.

It is the sense of Congress that--
(1) organized theft groups, involving sophisticated and 
structured groups of individuals, continue to increase criminal 
activities carried out by the groups against the retail 
industry and the supply chain of the Nation, and these 
activities, at unprecedented levels, involve theft and fraud of 
both physical and digital goods, leading to escalating 
financial losses and violence in the workplace--all impacting 
the national economy and security of the United States;
(2) retailers face mounting thefts and fraud because of 
organized retail crime in and around stores, online, and 
throughout the retail ecosystem, and, according to the National 
Retail Federation, larceny incidents increased by 93 percent in 
2023 compared to 2019, with a 90 percent rise in average dollar 
loss;
(3) these thefts are often orchestrated by organized theft 
groups reselling and redistributing the stolen goods back into 
the economy of the United States or overseas to gain illicit 
profit and to finance other criminal activity, and more than 84 
percent of retailers report that violence and aggression from 
these criminal activities has become more of a concern since 
2022, resulting in injuries and deaths among employees, 
customers, security officers, and law enforcement personnel;
(4) product manufacturers and the supply chain of the 
Nation are victims of alarming increases in cargo theft across 
rails, roads, and the various distribution points across the 
Nation;
(5) CargoNet, a database of reported incidents in the 
United States, reported a 27 percent increase in cargo theft 
incidents in 2024 compared to the previous year, while during 
the same period, the average value per theft rose to over 
$202,000;
(6) these thefts range from large-scale physical theft of 
goods from containers and storage to sophisticated 
cybercriminal methods that divert shipments to illicit 
receivers, causing significant financial losses and operational 
supply chain disruptions;
(7) since 2022, more than 30 State laws have been enacted 
to address organized theft, allow for aggregation of thefts, 
and adjust penalties and enhancements, includin in 2024, 
California voters overwhelmingly approving a constitutional 
reform to allow aggregation of multiple or repeated thefts;
(8) although larceny and organized retail crime are 
sometimes prosecuted at State and local levels, States face 
resource and investigative challenges from groups operating 
beyond local, State, and regional law enforcement capabilities, 
and more needs to be done to address the cross-jurisdictional, 
interstate, and international aspects of these crimes;
(9) organized theft groups vary in scope and scale, 
operating across State jurisdictions to avoid or disrupt local, 
State, and Tribal law enforcement response, and these organized 
theft groups build hierarchies to easily redistribute stolen 
goods and illicit profits back into the economy of the United 
States or overseas with disregard for product and consumer 
safety;
(10) the groups exist and operate at the local, regional, 
and transnational level, targeting goods that include raw and 
finished materials, various branded retail products across all 
consumer categories, operational assets in retail commerce such 
as reusable transport packaging products, and consumable goods 
including agriculture, food products, and medicines;
(11) these groups are often polycriminal organizations, 
using profit from the reselling of stolen goods to support 
crimes involving drugs and weapons trafficking;
(12) the organized theft groups engage in human smuggling 
and have been known to use migrants to commit crimes to support 
the organizations;
(13) the groups move products and illicit proceeds beyond 
the borders of the United States, funding nefarious groups and 
activities and threatening the integrity of the international 
economy;
(14) organized theft groups--
(A) threaten the safety and liberty of individuals 
in the United States when those individuals engage in 
commerce;
(B) impact the ability of the Nation to distribute 
goods to consumers, undermine consumer confidence in 
the supply chain, and threaten the integrity of 
agricultural and consumable goods;
(C) erode the national economy by increasing the 
cost of goods, resulting in higher prices for 
consumers, reducing tax revenues, and impacting 
employees, customers, and businesses alike; and
(D) impact the national security of the United 
States through financing transnational criminal 
activity and providing profit and proceeds supporting 
larger criminal goals of the criminal organizations; 
and
(15) it has become necessary for Congress to--
(A) amend title 18, United States Code, to ensure 
that law enforcement has the legal tools necessary to 
combat organized retail crime in the same capacity that 
law enforcement is able to combat theft and diversion 
from other portions of the supply chain; and
(B) direct the executive branch to create a central 
coordination center to align Federal, State, local, 
territorial, and Tribal efforts to combat organized 
retail crime and organized supply chain crime.

SEC. 3. AMENDMENTS TO TITLE 18, UNITED STATES CODE.

Part I of title 18, United States Code, is amended--
(1) in section 982(a)(5)--
(A) by redesignating subparagraphs (C), (D), and 
(E) as subparagraphs (D), (E), and (F), respectively;
(B) by inserting after subparagraph (B) the 
following:
``(C) section 659 (interstate or foreign shipments by 
carrier; State prosecutions);'';
(C) in subparagraph (E), as so redesignated, by 
striking ``; or'' and inserting a semicolon; and
(D) by inserting after subparagraph (F), as so 
redesignated, the following:
``(G) section 2314 (transportation of stolen goods, 
securities, moneys, fraudulent State tax stamps, or articles 
used in counterfeiting); or
``(H) section 2315 (sale or receipt of stolen goods, 
securities, moneys, or fraudulent State tax stamps);'';
(2) in section 1956(c)--
(A) in paragraph (5), by striking ``and money 
orders'' and inserting ``money orders, general-use 
prepaid cards, gift certificates, and store gift 
cards''; and
(B) in paragraph (7)(D)--
(i) by inserting ``section 659 (interstate 
or foreign shipments by carrier; State 
prosecutions),'' after ``section 658 (relating 
to property mortgaged or pledged to farm credit 
agencies),''; and
(ii) by inserting ``section 2314 
(transportation of stolen goods, securities, 
moneys, fraudulent State tax stamps, or 
articles used in counterfeiting), section 2315 
(sale or receipt of stolen goods, securities, 
moneys, or fraudulent State tax stamps),'' 
after ``section 2281 (relating to violence 
against maritime fixed platforms),'';
(3) in section 2314, in the first paragraph--
(A) by inserting ``or of an aggregate value of 
$5,000 or more during any 12-month period,'' after 
``more,'';
(B) by inserting ``embezzled,'' after ``stolen,''; 
and
(C) by inserting ``, false pretense, or other 
illegal means'' after ``fraud''; and
(4) in section 2315, in the first paragraph, by inserting 
``or of an aggregate value of $5,000 or more during any 12-
month period,'' after ``$5,000 or more,''.

SEC. 4. ESTABLISHMENT OF A CENTER TO COMBAT ORGANIZED RETAIL AND SUPPLY 
CHAIN CRIME.

(a) In General.--Title III of the Trade Facilitation and Trade 
Enforcement Act of 2015 (19 U.S.C. 4341 et seq.) is amended by 
inserting after section 305 the following:

``SEC. 305A. ORGANIZED RETAIL AND SUPPLY CHAIN CRIME COORDINATION 
CENTER.

``(a) Definitions.--In this section:
``(1) Center.--The term `Center' means the Organized Retail 
and Supply Chain Crime Coordination Center established pursuant 
to subsection (b)(1).
``(2) Organized retail and supply chain crime.--The term 
`organized retail and supply chain crime' includes--
``(A) any crime described in section 659, 2117, 
2314, or 2315 of title 18, United States Code that is 
committed by, in coordination with, or at the 
instruction of an organization;
``(B) aiding or abetting the commission of, or 
conspiring to commit, any act that is in furtherance of 
a violation of a crime referred to in subparagraph (A); 
and
``(C) other crimes related to those described in 
subparagraphs (A) and (B).
``(3) Secretary.--The term `Secretary' means the Secretary 
of Homeland Security.
``(4) Executive associate director.--The term `Executive 
Associate Director' means the Executive Associate Director of 
Homeland Security Investigations.
``(b) Organized Retail and Supply Chain Crime Coordination 
Center.--
``(1) Establishment.--Not later than 90 days after the date 
of enactment of the Combating Organized Retail Crime Act of 
2025, the Secretary shall direct the Executive Associate 
Director to establish the Organized Retail and Supply Chain 
Crime Coordination Center.
``(2) Duties.--The duties of the Center shall include--
``(A) coordinating Federal law enforcement 
activities related to organized retail and supply chain 
crime, including investigations of national and 
transnational criminal organizations that are engaged 
in organized retail and supply chain crime;
``(B) establishing relationships with State and 
local law enforcement agencies and organizations, 
including organized retail crime associations and cargo 
theft associations, and sharing information regarding 
organized retail and supply chain crime threats with 
such agencies and organizations;
``(C) assisting State and local law enforcement 
agencies with State and local investigations of 
organized retail and supply chain crime groups;
``(D) establishing relationships with retail, 
transportation, and other companies determined by the 
Executive Associate Director to have significant 
interests relating to organized retail and supply chain 
crime threats, sharing information with those companies 
regarding such threats, collaborating on investigations 
and loss prevention activities as appropriate, and 
providing a mechanism for the receipt of investigative 
information on such threats;
``(E) establishing a secure system for sharing 
information regarding organized retail and supply chain 
crime threats by leveraging existing information 
systems at the Department of Homeland Security and the 
Department of Justice;
``(F) tracking trends with respect to organized 
retail and supply chain crime and releasing annual 
public reports on such trends; and
``(G) supporting the provision of training and 
technical assistance in accordance with subsection (c).
``(3) Leadership; staffing.--
``(A) Director.--The Center shall be headed by a 
Director, who shall be--
``(i) an experienced law enforcement 
officer;
``(ii) appointed by the Director of U.S. 
Immigration and Customs Enforcement; and
``(iii) in a Senior Executive Service 
position as defined in section 3132 of title 5, 
United States Code.
``(B) Deputy director.--The Director of the Center 
shall be assisted by a Deputy Director, who shall be 
appointed, on a 2-year rotational basis, upon request 
from the Executive Associate Director, by--
``(i) the Director of the Federal Bureau of 
Investigation;
``(ii) the Director of the United States 
Secret Service; or
``(iii) the Chief Postal Inspector.
``(C) Federal staff.--The staff of the Center shall 
include--
``(i) special agents and analysts from 
Homeland Security Investigations; and
``(ii) detailed criminal investigators, 
analysts, and liaisons from other Federal 
agencies who have responsibilities related to 
organized retail and supply chain crime, 
including detailees from--
``(I) U.S. Customs and Border 
Protection;
``(II) the United States Secret 
Service;
``(III) the United States Postal 
Inspection Service;
``(IV) the Bureau of Alcohol, 
Tobacco, Firearms and Explosives;
``(V) the Drug Enforcement 
Administration;
``(VI) the Federal Bureau of 
Investigation; and
``(VII) the Federal Motor Carrier 
Safety Administration.
``(D) State and local staff.--The staff of the 
Center may include detailees from State and local law 
enforcement agencies, who shall serve at the Center on 
a nonreimbursable basis.
``(4) Coordination.--
``(A) In general.--The Center shall coordinate its 
activities, as appropriate, with other Federal agencies 
and centers responsible for countering transnational 
organized crime threats.
``(B) Shared resources.--In establishing the 
Center, the Executive Associate Director may co-locate 
or otherwise share resources and personnel, including 
detailees and agency liaisons, with--
``(i) the National Intellectual Property 
Rights Coordination Center established pursuant 
to section 305(a)(1); or
``(ii) other existing interagency centers 
within the Department of Homeland Security.
``(C) Agreements.--The Director of the Center, or 
his or her designee, may enter into agreements with 
Federal, State, local, and Tribal agencies and private 
sector entities to facilitate carrying out the duties 
described in paragraph (2).
``(D) Information sharing.--
``(i) In general.--Subject to the approval 
of the Director of the Center, information that 
would otherwise be subject to the limitation on 
the disclosure of confidential information set 
forth in section 1905 of title 18, United 
States Code, may be shared if such disclosure 
is operationally necessary.
``(ii) Non-delegable authority.--The 
Director may not delegate his or her authority 
under this subparagraph.
``(5) Reporting requirements.--
``(A) Initial report.--
``(i) In general.--Not later than 1 year 
after the date of enactment of the Combating 
Organized Retail Crime Act of 2025, the 
Secretary shall submit a report regarding the 
establishment of the Center to--
``(I) the Committee on the 
Judiciary of the Senate;
``(II) the Committee on Homeland 
Security and Governmental Affairs of 
the Senate;
``(III) the Committee on the 
Judiciary of the House of 
Representatives; and
``(IV) the Committee on Homeland 
Security of the House of 
Representatives.
``(ii) Contents.--The report required under 
clause (i) shall include a description of--
``(I) the organizational structure 
of the Center;
``(II) the agencies and partner 
organizations that are represented 
within the Center;
``(III) any challenges required to 
be addressed while establishing the 
Center;
``(IV) any lessons learned from 
establishing the Center, including 
successful prosecutions resulting from 
the activities of the Center;
``(V) recommendations for ways to 
strengthen the enforcement of laws 
involving organized retail and supply 
chain crime;
``(VI) the intersections and 
commonalities between organized retail 
crime organizations and other organized 
theft groups, including supply chain 
diversion and theft; and
``(VII) the impact of organized 
theft groups on the scarcity of vital 
products, including medicines, personal 
protective equipment, and infant 
formula.
``(B) Annual report.--Beginning on the date that is 
1 year after the submission of the report required 
under subparagraph (A), and each year thereafter, the 
Secretary shall submit an annual report that describes 
the activities of the Center during the previous year 
to the congressional committees listed in subparagraph 
(A)(i).
``(6) Sunset.--
``(A) In general.--The authority of the Center 
shall terminate on the date that is 7 years after the 
date on which the Center is established under paragraph 
(1).
``(B) Wind down.--The Secretary shall take such 
actions as may be necessary to wind down the Center in 
accordance with subparagraph (A).
``(c) Training and Technical Assistance.--
``(1) Evaluation.--Not later than 180 days after the date 
of enactment of the Combating Organized Retail Crime Act of 
2025, the Secretary and the Attorney General shall conduct an 
evaluation of existing Federal programs that provide grants, 
training, and technical support to State, local, and Tribal law 
enforcement to assist in countering organized retail and supply 
chain crime.
``(2) Evaluation scope.--The evaluation required under 
paragraph (1) shall evaluate, at a minimum--
``(A) the Homeland Security Grant Program at the 
Federal Emergency Management Agency;
``(B) grant programs at the Office of Justice 
Programs within the Department of Justice; and
``(C) relevant training programs at the Federal Law 
Enforcement Training Center.
``(3) Report.--Not later than 45 days after the completion 
of the evaluation required under paragraph (1), the Secretary 
and the Attorney General shall jointly submit a report to the 
congressional committees listed in subsection (b)(5)(A)(i) 
that--
``(A) describes the results of such evaluation; and
``(B) includes recommendations on ways to expand 
grants, training, and technical assistance for 
combating organized retail and supply chain crime.
``(4) Enhancing or modifying training and technical 
assistance.--Not later than 45 days after submitting the report 
required under paragraph (3), the Secretary and the Attorney 
General shall jointly issue formal guidance to relevant 
agencies and offices within the Department of Homeland Security 
and the Department of Justice for modifying or expanding, as 
appropriate, the prioritization of training and technical 
assistance designed to counter organized retail and supply 
chain crime.''.
(b) Clerical Amendment.--The table of contents for the Trade 
Facilitation and Trade Enforcement Act of 2015 (Public Law 114-125; 130 
Stat. 122) is amended by inserting after the item relating to section 
305 the following:

``Sec. 305A. Organized Retail and Supply Chain Crime Coordination 
Center.''.

Passed the House of Representatives May 12, 2026.

Attest:

KEVIN F. MCCUMBER,

Clerk.