“Criminal action must be met with criminal punishment,” Grassley said. (Eric Lee/Bloomberg)

The leader of the Senate Judiciary Committee recently called on colleagues to approve legislation designed to reduce cargo theft nationwide.

At a hearing July 15, Sen. Chuck Grassley (R-Iowa), the influential chairman of the panel, listed myriad benefits linked to an enhanced congressional response that would boost federal agencies’ response to this growing concern throughout the freight sector.

Grassley is the co-lead sponsor of the bipartisan Combating Organized Retail Crime Act. Addressing industry leaders and experts, the chairman emphasized: “Criminal action must be met with criminal punishment. Federal coordination is needed to share information, promote collaborative investigations and fully address this sweeping, cross-jurisdictional crime that impacts all Americans.”



Specifically, Grassley’s bill would establish an Organized Retail and Supply Chain Crime Coordination Center at the Department of Homeland Security. The center would be tasked with “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,” according to the legislation.

This year, senior lawmakers have pointed to the need for further steps to dismantle organized criminal operations found to be disrupting supply chains and harming freight operations. Sen. Catherine Cortez Masto (D-Nev.), a member of the Finance Committee, is a co-lead sponsor.

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“Large criminal organizations are constantly evolving their tactics to steal goods from retailers and the supply chain in communities across the Silver State,” she said during the bill’s introduction in April.

At the hearing, Sen. Dick Durbin (D-Ill.), the panel’s ranking member, agreed, saying, “We have to have an open and honest discussion about the role of the federal government in reducing organized retail crime.”

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Donna Lemm

Lemm. (American Trucking Associations)

Donna Lemm, chief strategy officer at IMC Logistics, endorsed Grassley’s bill, noting the significance of coordinating multijurisdictional law enforcement resources to dismantle criminal activity pertaining to cargo theft.

“By empowering federal agencies to take a leading role in the coordination of enforcement activities and providing law enforcement agencies with the tools necessary to tackle the increasingly complex crimes targeting our interstate and international supply chains, the legislation effectively takes a stand against the growing threat of organized and sophisticated criminal networks,” Lemm said while testifying on behalf of American Trucking Associations.

IMC ranks No. 53 on the Transport Topics Top 100 list of the largest for-hire carriers in North America.

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Chris Spear

Spear. (John Sommers II for Transport Topics)

Cargo theft costs the supply chain about $35 billion annually, which ultimately affects consumers, according to ATA. In April, ATA President Chris Spear reacted to the Combating Organized Retail Crime Act’s introduction: “The trucking industry takes great pride in delivering America’s freight safely and on time; however, the billions of tons of goods transported by trucks from coast to coast have increasingly become a prime target for organized crime rings, including transnational organizations, putting truck drivers at risk and raising costs for consumers.”

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On the House side, Rep. Dave Joyce (R-Ohio) is among the companion measure’s lead sponsors.

“These criminal organizations are not only harming small businesses and retailers in our communities but are also putting American consumers at risk of violence and fraud. These crimes also have more widespread consequences for public safety, as these organized groups often resell stolen goods to finance other illicit activities, including drug and human trafficking operations,” Joyce said earlier in the year. “Our bipartisan, bicameral legislation will give law enforcement the tools they need to put a stop to these rampant crimes.”

Rep. Dina Titus (D-Nev.), ranking member on the Railroads, Pipelines and Hazardous Materials Subcommittee, is a co-sponsor: “This legislation will help law enforcement better pursue and prosecute these bad actors while protecting businesses and saving consumer dollars.”

The bicameral legislation awaits consideration in committees of jurisdiction.