Existing law authorizes the Governor to appoint and commission individuals designated by a railroad company to serve as police officers. Existing law, until January 1, 2026, requires the Department of the California Highway Patrol to coordinate with the Department of Justice to convene a regional property crimes task force to identify geographic areas experiencing increased levels of property crimes and assist local law enforcement with resources, such as personnel and equipment.

This bill would require the task force to assist railroad police and would specify cargo theft as a property crime for consideration by the regional property crimes task force.

This bill would declare that it is to take effect immediately as an urgency statute.

Existing law authorizes the Governor to appoint and commission individuals designated by a railroad company to serve as police officers. Existing law, until January 1, 2026, requires the Department of the California Highway Patrol to coordinate with the Department of Justice to convene a regional property crimes task force to identify geographic areas experiencing increased levels of property crimes and assist local law enforcement with resources, such as personnel and equipment.

This bill would require the task force to assist railroad police and would specify cargo theft as a property crime for consideration by the regional property crimes task force.

This bill would declare that it is to take effect immediately as an urgency statute.

Existing law authorizes the Governor to appoint and commission individuals designated by a railroad company to serve as police officers. Existing law, until January 1, 2026, requires the Department of the California Highway Patrol to coordinate with the Department of Justice to convene a regional property crimes task force to identify geographic areas experiencing increased levels of property crimes and assist local law enforcement with resources, such as personnel and equipment.

This bill would require the task force to assist railroad police and would specify cargo theft as a property crime for consideration by the regional property crimes task force.

This bill would declare that it is to take effect immediately as an urgency statute.

Existing law authorizes the Governor to appoint and commission individuals designated by a railroad company to serve as police officers. Existing law, until January 1, 2026, requires the Department of the California Highway Patrol to coordinate with the Department of Justice to convene a regional property crimes task force to identify geographic areas experiencing increased levels of property crimes and assist local law enforcement with resources, such as personnel and equipment.

This bill would require the task force to assist railroad police and would specify cargo theft as a property crime for consideration by the regional property crimes task force.

Existing law makes a person guilty of organized retail theft if, among other things, the person acts in concert with one or more persons to steal merchandise from one or more merchants premises or online marketplace with the intent to sell, exchange, or return the merchandise for value. Under existing law, these crimes are punishable as either misdemeanors or felonies, as specified.

This bill would expand that crime to include merchandise stolen from a merchants cargo. By expanding the scope of a crime, this bill would create a state-mandated local program.

The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement.

This bill would provide that no reimbursement is required by this act for a specified reason.

CONCURRENCE IN SENATE AMENDMENTS

CSA1 Bill Id:AB 1972

Author:(Alanis)

As Amended Ver:June 26, 2024

2/3 vote. Urgency

SUMMARY

Expands the regional property crimes tasks force within the California Highway Patrol (CHP) to include railroad police and cargo theft.

Senate Amendments

1. Add an urgency clause.
2. Make technical non-substantive changes.

COMMENTS

As passed by the Assembly, this bill, expanded the regional property crimes tasks force within the California Highway Patrol (CHP) to include railroad police and cargo theft.

According to the Author

"Cargo theft crimes not only affect businesses, but can also create backlogs at ports causing major disruptions to California's supply chain. Cases like these show the increasing level of sophistication of these criminals and how far organized crimes rings will go to steal from our consumers and businesses. AB 1972 will ensure that law enforcement has the support they need to combat cargo theft statewide."

Arguments in Support

According to the California Retailers Association (CRA), "AB 1972 would expand the CHP's ORCTF to support identified counties with increased cargo theft. The bill will also require the CHP to provide railroad police with logistical support and other law enforcement resources, such as personnel and equipment, to combat cargo theft. Investigating and prosecuting ORC, and more specifically cargo theft, is a complex undertaking, involving investigations that can be many months in length and can involve multiple jurisdictions. The ORCTF is a dedicated entity with the resources to conduct these investigations, educate other law enforcement agencies on how to address ORC and cargo theft, and establish relationships with retailers and asset protection professionals. As a statewide task force, the ORCTF is uniquely positioned to coordinate and oversee investigations involving local law enforcement agencies across multiple cities or counties, or to assist in local investigations where needed. California will not stem the tide on ORC and cargo theft without this kind of dedicated, state-level commitment. This measure sends the message that ORC and cargo theft will not be tolerated in California."

Arguments in Opposition

FISCAL COMMENTS

According to the Senate Appropriations Committee, "Likely minor and absorbable costs to the California Highway Patrol (CHP) and the Department of Justice (DOJ) to provide assistance to local law enforcement agencies and prosecutors related to cargo theft. The Governor's 2024-25 budget proposal includes $6 million to expand and make permanent the regional property crimes taskforce. The Governor's budget proposal for 2024-25 includes $373.5 million General Fund over four years to support law enforcement operations relating to organized retail theft, including $6 million in fiscal year 2024-25 and $10.5 million in fiscal year 2025-26 to CHP for retail theft task force expansion."

VOTES:

ASM PUBLIC SAFETY: 8-0-0

YES: McCarty, Alanis, Lackey, Stephanie Nguyen, Reyes, Ting, Wilson, Zbur

ASM APPROPRIATIONS: 14-0-1

YES: Wicks, Sanchez, Arambula, Bryan, Calderon, Wendy Carrillo, Dixon, Mike Fong, Grayson, Haney, Hart, Jim Patterson, Pellerin, Ta

ABS, ABST OR NV: Villapudua

ASSEMBLY FLOOR: 70-0-10

YES: Addis, Aguiar-Curry, Alanis, Alvarez, Arambula, Bains, Bauer-Kahan, Bennett, Berman, Boerner, Bonta, Bryan, Juan Carrillo, Wendy Carrillo, Chen, Connolly, Davies, Dixon, Flora, Mike Fong, Vince Fong, Gabriel, Gallagher, Garcia, Gipson, Grayson, Haney, Hart, Hoover, Irwin, Jackson, Jones-Sawyer, Kalra, Lackey, Low, Lowenthal, Maienschein, McCarty, Muratsuchi, Stephanie Nguyen, Ortega, Pacheco, Papan, Jim Patterson, Joe Patterson, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Rendon, Reyes, Rodriguez, Blanca Rubio, Sanchez, Santiago, Schiavo, Soria, Ta, Ting, Valencia, Villapudua, Waldron, Wallis, Ward, Weber, Wicks, Wilson, Wood, Zbur, Robert Rivas

ABS, ABST OR NV: Calderon, Cervantes, Megan Dahle, Essayli, Friedman, Holden, Lee, Mathis, McKinnor, Luz Rivas

SENATE FLOOR: 38-0-2

YES: Allen, Alvarado-Gil, Archuleta, Ashby, Becker, Blakespear, Bradford, Caballero, Cortese, Dahle, Dodd, Durazo, Eggman, Glazer, Gonzalez, Grove, Hurtado, Jones, Laird, Limón, McGuire, Menjivar, Min, Newman, Nguyen, Niello, Ochoa Bogh, Padilla, Portantino, Roth, Rubio, Seyarto, Skinner, Smallwood-Cuevas, Umberg, Wahab, Wiener, Wilk

ABS, ABST OR NV: Atkins, Stern

UPDATED

VERSION: June 26, 2024

CONSULTANT: Samarpreet Kaur / PUB. S. / (916) 319-3744 FN: 0003810

 THIRD READING  

Bill No: AB 1972

Author: Alanis (R), et al.

Amended: 6/26/24 in Senate

Vote: 27- Urgency

SENATE PUBLIC SAFETY COMMITTEE: 5-0, 6/11/24

AYES: Wahab, Seyarto, Bradford, Skinner, Wiener

SENATE APPROPRIATIONS COMMITTEE: 7-0, 6/17/24

AYES: Caballero, Jones, Ashby, Becker, Bradford, Seyarto, Wahab

ASSEMBLY FLOOR: 70-0, 5/22/24 - See last page for vote

SUBJECT: Regional property crimes task force

SOURCE: Author

DIGEST:

This bill expands the focus of the California Highway Patrol’s (CHP) and the Department of Justice’s (DOJ) regional property crimes task force to include cargo theft, and allows the task force to provide logistical support and law enforcement resources to railroad police.

Senate Floor Amendments of 6/26/24 add co-authors and make technical changes.

ANALYSIS:

Existing law:

1. Requires CHP, in coordination with the DOJ, to convene a regional property crimes task force to assist local law enforcement in counties identified as having elevated levels of property crime, including, but not limited to, organized retail theft, vehicle burglary, and theft of vehicle parts and accessories. (Pen. Code, § 13899.)
2. States that the task force shall provide local law enforcement with logistical support and other law enforcement resources, including, but not limited to, personnel and equipment. (Pen. Code, § 13899.)
3. States that every person who steals, takes, carries, leads, or drives away the personal property of another is guilty of theft. (Pen. Code, § 484, subd. (a).)
4. Defines grand theft as theft of money, labor, real or personal property of a value exceeding $950. Grand theft is a wobbler, punishable by imprisonment in a county jail not exceeding one year, or as a felony by imprisonment in the county jail for 16 months, two years, or three years (Pen. Code, § 487, 489.)
5. Provides that every person who steals, takes, or carries away cargo of another, if the cargo is taken of a value exceeding $950, is guilty of grand theft. (Pen. Code, § 487h, subd. (a).)
6. Provides that every person who enters any vessel, railroad car, locked or sealed cargo container, with attempt to commit theft or any felony is guilty of burglary, a wobbler, punishable as a misdemeanor by imprisonment in the county jail for up to a year, or as a felony by imprisonment in the county jail for 16 months, two years, or three years. (Pen. Code, §§ 459, 461.)
7. Defines “cargo” as any goods, wares, products or manufactured merchandise that has been loaded into a trailer, railcar, or cargo container, awaiting or in transit. (Pen. Code § 487h, subd. (b).)
8. Defines “cargo container” as a receptacle with strong enough for repeated use, designed to facilitate the carriage of goods, fitted for handling from one mode of transport to another, designed to be easy to fill and empty, and having a cubic displacement of 1,000 cubic feet or more. (Pen. Code, § 458.)
9. Provides that the value of the money, labor, real property, or personal property taken exceeds $950 over the course of distinct but related acts, the value of the money, labor, real property, or personal property taken may properly be aggregated to charge a count of grand theft, if the acts are motivated by one intention, one general impulse, and one plan. (Pen. Code, § 487, subd. (e).)
10. Provides that every person who destroys any part of a railroad, including any structure or fixture attached to or connected with any railroad, is guilty of a misdemeanor punishable by imprisonment in the county jail not exceeding one year, or a felony, punishable by imprisonment in county jail for a period of 16 months, two, or three years. (Pen. Code, § 489, subd. (c)(1).)
11. Makes it a felony, punishable by imprisonment in a county jail for a term of two, three, or four years, to obstruct a railroad track. (Pen. Code, § 218.1.)
12. Makes trespassing on a railroad or any transit related property a misdemeanor. (Pen. Code, § 369i.)
13. Allows the Governor to appoint and commission, upon application by a railroad company, to appoint police officers to serve at the expense of the company that have the same powers and jurisdiction of peace officers listed in Section 830.33 of the Penal Code. (Public Utilities Code § 8226).
14. States that the railroad company responsible for designating these peace officers shall also be responsible civilly for any abuse of their authority. (Public Utilities Code § 8226).

This bill:

1. Expands the focus of the regional property crimes tasks force to include cargo theft.
2. Allows railroad police to receive logistical support and law enforcement resources from the regional property crimes task force.

Comments

CHP’s Regional Property Crimes Task Force. AB 1065 (Jones-Sawyer, Chapter 803, Statutes of 2018), among other things, operation of CHP’s regional property crimes task force. AB 1065 had a sunset date of January 1, 2021. AB 331 (Jones-Sawyer, Chapter 113, Statutes of 2021), extended the sunset through January 1, 2026.

Under Penal Code section 13899, CHP is required to, in coordination with the DOJ, convene a regional property crimes task force to assist local law enforcement in counties with elevated levels of property crime, including, but not limited to, organized retail theft, vehicle burglary, and theft of vehicle parts and accessories. The task force provides local law enforcement and in these regions with logistical support and other law enforcement resources, including, but not limited to, personnel and equipment, in consultation with task force members. In response to AB 1065, the CHP, in consultation with the DOJ, developed a task force concept to work with allied agencies to combat organized retail theft. Three regional task forces, known as Organized Retail Crime Task Forces (ORCTF), were established by the CHP in three field Divisions with the greatest need for immediate action: Golden Gate Division (encompassing the greater Bay Area), Southern Division (encompassing the greater Los Angeles region), and Border Division (encompassing Orange and San Diego counties). (CHP, Organized Retail Theft Program.)

This bill adds railroad police to the task force and would require CHP and the DOJ to assist railroad police and local law enforcement agencies with cargo thefts.

Railroad and Cargo Theft. Under existing law, any person who steals, takes, or carries away cargo of another, if the cargo is taken of a value exceeding $950, is guilty of grand theft. (Pen. Code, § 487h, subd. (a).) And, any person who enters any railroad car or locked or sealed cargo container with attempt to commit theft or any felony is guilty of burglary, which is a felony, punishable by imprisonment in county jail for a period of 16 months, two or three years. (Pen. Code, §§ 459; 461, subd. (b).)

In instances where the property stolen from a cargo container is less than $950, the crime is punishable by a fine not exceeding $1,000 or by imprisonment in the county jail not exceeding 6 months, or both. (Pen. Code, § 490.) If a person trespasses on a railroad or any transit related property during the commission of the offense, they can be charged with an additional misdemeanor. (Pen. Code, § 369i.) If a person trespasses on a railroad with intent to commit robbery, they can be subject to imprisonment of a term of not more than twenty years under federal law. (18 U.S.C. § 1991.)

According to Cargo Net, a database which is the product of a national information-sharing system to combat cargo theft, during the first quarter of 2024 there were 925 documented theft incident reports nationwide, which is a 10 percent rise from the previous quarter, and a 46 percent increase from the first quarter of 2023. In California, there was a 72 percent year-over-year increase in theft incident reports during 2023. Of these documented cases, the most commonly targeted goods were small appliances, liquor, energy drinks, and copper. Types of thefts ranged from complex fraud schemes, where entire truckloads were picked up and never delivered or delivered with digitally altered paperwork to hide the theft from the customer, to simple cargo theft, stealing from unattended, loaded trailers (2024 First Quarter Supply Chain Risk Trends Analysis, CargoNet, Verisk (2024).).

In December 20, 2021, Union Pacific Police Department (UP) sent a letter to Los Angeles County District Attorney George Gascón, regarding train thefts and security concerns. UP often works with local, state, and federal law enforcement agencies on issues concerning the railroad. Union Pacific special agents and local law enforcement officers have overlapping jurisdictions, but UP railroad property is the Union Pacific Police Department’s responsibility. The letter raises concerns over the increase in rail theft since the pandemic and states, in part:

Since December 2020, UP has experienced an over 160% increase in criminal rail theft in Los Angeles County. In several months during that period, the increase from the previous year surpassed 200%. In October 2021 alone, the increase was 356% over compared to October 2020. Not only do these dramatic increases represent retail product thefts – they include increased assaults and armed robberies of UP employees performing their duties moving trains […]

(Letter from Union Pacific Railroad (Dec. 20, 2021).)

Notably, UP’s train thefts started right around the time it laid off thousands of workers. According to UP’s annual reports to the federal Surface Transportation Board, the company ended 2019 with 23,096 employees. In 2020, that number fell to 20,334. And that number fell again to 18,408 in the third quarter of 2021. (Quarterly Wage A&B Data, Surface Transportation Board.) According to the Los Angeles Times, former UP employees and police say budgetary issues have slashed the ranks of the company’s force, leaving as few as half a dozen in the region. (‘Like A Third World Country’: Gov. Newsom Decries Rail Thefts amid Push to Beef up Enforcement, Los Angeles Times (Jan. 20, 2022).) “Union Pacific from Yuma, Ariz., to L.A. has six people patrolling…” and “thefts started about seven months ago as the police presence ebbed.” (Ibid.) UP’s employment numbers remain low, despite record profits for the rail operator. UP reported a net income of $6.5 billion for 2021. (Union Pacific Reports Fourth Quarter and Full Year 2021 Results, UP (Jan. 2022).) The New York Times reported on rail theft as it exists in the 21^st century and cited how over the past decade, during a period of record-breaking profits, the largest railroad companies in the country have been running increasingly longer trains. Some trains stretch two and three miles in length. During this same period of record profits and extended train lengths, the same companies have reduced the number of employees by almost 30 percent. And the Federal Railroad Administration currently does not limit the lengths of trains despite increasing concerns over safety (The Great Freight-Train Heists of the 21st Century, The New York Times (Jan. 23, 2024).

By adding railroad police to CHP’s task force, this bill allows CHP to provide resources and assistance to railroad police agencies such as UP and other railroad law enforcement agencies.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

According to the Senate Appropriations Committee, “Likely minor and absorbable costs to the California Highway Patrol (CHP) and the Department of Justice (DOJ) to provide assistance to local law enforcement agencies and prosecutors related to cargo theft. The Governor’s 2024-25 budget proposal includes $6 million to expand and make permanent the regional property crimes taskforce. The Governor’s budget proposal for 2024-25 includes $373.5 million General Fund over four years to support law enforcement operations relating to organized retail theft, including $6 million in fiscal year 2024-25 and $10.5 million in fiscal year 2025-26 to CHP for retail theft task force expansion.”

SUPPORT: (Verified 6/26/24)

California Association of Highway Patrolmen
California Contract Cities Association
California Correctional Supervisors Organization, Inc.
California Department of Justice
California District Attorneys Association
California Downtown Association
California Problem Solvers Caucus
California Retailers Association
City of Artesia
City of Buena Park
City of Citrus Heights
City of El Cerrito
City of Fullerton

City of La Mirada
City of Lakeport
City of Los Alamitos

City of Mission Viejo
City of Norwalk 
City of Port Hueneme
City of Rancho Palos Verdes
City of Riverside

City of Stockton
Darrell Steinberg, Mayor of Sacramento
League of California Cities
Los Angeles County District Attorney's Office
Los Angeles County Sheriff's Department
Mayor Todd Gloria, City of San Diego
Peace Officers Research Association of California
Town of Apple Valley

OPPOSITION: (Verified 6/26/24)

None received

ARGUMENT IN SUPPORT: According to the California Department of Justice:

[…] Assembly Bill 1972, which will address organized retail crime by increasing resources to protect the cargo supply networks that retailers depend on. Existing law requires California Highway Patrol (CHP) to coordinate with the Department of Justice (DOJ) to convene a regional property crimes task force in areas experiencing increased levels of property crimes and to assist local law enforcement by providing support, personnel, and equipment. AB 1972 will require the task force to also provide assistance to local law enforcement, including railroad police, in counties with elevated levels of cargo theft.

[…] The problem of organized retail crime is multi-faceted and the answers will be multi-faceted. AB 1972 is an important prong in California’s plan to hold the perpetrators of these crimes accountable and keep our communities free of crime. The Attorney General is committed to collaborative strategies to end organized retail theft and thanks you for your leadership on this important bill.

ASSEMBLY FLOOR: 70-0, 5/22/24

AYES: Addis, Aguiar-Curry, Alanis, Alvarez, Arambula, Bains, Bauer-Kahan, Bennett, Berman, Boerner, Bonta, Bryan, Juan Carrillo, Wendy Carrillo, Chen, Connolly, Davies, Dixon, Flora, Mike Fong, Vince Fong, Gabriel, Gallagher, Garcia, Gipson, Grayson, Haney, Hart, Hoover, Irwin, Jackson, Jones-Sawyer, Kalra, Lackey, Low, Lowenthal, Maienschein, McCarty, Muratsuchi, Stephanie Nguyen, Ortega, Pacheco, Papan, Jim Patterson, Joe Patterson, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Rendon, Reyes, Rodriguez, Blanca Rubio, Sanchez, Santiago, Schiavo, Soria, Ta, Ting, Valencia, Villapudua, Waldron, Wallis, Ward, Weber, Wicks, Wilson, Wood, Zbur, Robert Rivas

NO VOTE RECORDED: Calderon, Cervantes, Megan Dahle, Essayli, Friedman, Holden, Lee, Mathis, McKinnor, Luz Rivas

Prepared by: John Duncan / PUB. S. /

6/27/24 15:38:49

**** END ****

 THIRD READING  

Bill No: AB 1972

Author: Alanis (R), et al.

Amended: 6/20/24 in Senate

Vote: 27- Urgency

SENATE PUBLIC SAFETY COMMITTEE: 5-0, 6/11/24

AYES: Wahab, Seyarto, Bradford, Skinner, Wiener

SENATE APPROPRIATIONS COMMITTEE: 7-0, 6/17/24

AYES: Caballero, Jones, Ashby, Becker, Bradford, Seyarto, Wahab

ASSEMBLY FLOOR: 70-0, 5/22/24 - See last page for vote

SUBJECT: Regional property crimes task force

SOURCE: Author

DIGEST:

This bill expands the focus of the California Highway Patrol’s (CHP) and the Department of Justice’s (DOJ) regional property crimes task force to include cargo theft, and allows the task force to provide logistical support and law enforcement resources to railroad police.

ANALYSIS:

Existing law:

1. Requires CHP, in coordination with the DOJ, to convene a regional property crimes task force to assist local law enforcement in counties identified as having elevated levels of property crime, including, but not limited to, organized retail theft, vehicle burglary, and theft of vehicle parts and accessories. (Pen. Code, § 13899.)
2. States that the task force shall provide local law enforcement with logistical support and other law enforcement resources, including, but not limited to, personnel and equipment. (Pen. Code, § 13899.)
3. States that every person who steals, takes, carries, leads, or drives away the personal property of another is guilty of theft. (Pen. Code, § 484, subd. (a).)
4. Defines grand theft as theft of money, labor, real or personal property of a value exceeding $950. Grand theft is a wobbler, punishable by imprisonment in a county jail not exceeding one year, or as a felony by imprisonment in the county jail for 16 months, two years, or three years (Pen. Code, § 487, 489.)
5. Provides that every person who steals, takes, or carries away cargo of another, if the cargo is taken of a value exceeding $950, is guilty of grand theft. (Pen. Code, § 487h, subd. (a).)
6. Provides that every person who enters any vessel, railroad car, locked or sealed cargo container, with attempt to commit theft or any felony is guilty of burglary, a wobbler, punishable as a misdemeanor by imprisonment in the county jail for up to a year, or as a felony by imprisonment in the county jail for 16 months, two years, or three years. (Pen. Code, §§ 459, 461.)
7. Defines “cargo” as any goods, wares, products or manufactured merchandise that has been loaded into a trailer, railcar, or cargo container, awaiting or in transit. (Pen. Code § 487h, subd. (b).)
8. Defines “cargo container” as a receptacle with strong enough for repeated use, designed to facilitate the carriage of goods, fitted for handling from one mode of transport to another, designed to be easy to fill and empty, and having a cubic displacement of 1,000 cubic feet or more. (Pen. Code, § 458.)
9. Provides that the value of the money, labor, real property, or personal property taken exceeds $950 over the course of distinct but related acts, the value of the money, labor, real property, or personal property taken may properly be aggregated to charge a count of grand theft, if the acts are motivated by one intention, one general impulse, and one plan. (Pen. Code, § 487, subd. (e).)
10. Provides that every person who destroys any part of a railroad, including any structure or fixture attached to or connected with any railroad, is guilty of a misdemeanor punishable by imprisonment in the county jail not exceeding one year, or a felony, punishable by imprisonment in county jail for a period of 16 months, two, or three years. (Pen. Code, § 489, subd. (c)(1).)
11. Makes it a felony, punishable by imprisonment in a county jail for a term of two, three, or four years, to obstruct a railroad track. (Pen. Code, § 218.1.)
12. Makes trespassing on a railroad or any transit related property a misdemeanor. (Pen. Code, § 369i.)
13. Allows the Governor to appoint and commission, upon application by a railroad company, to appoint police officers to serve at the expense of the company that have the same powers and jurisdiction of peace officers listed in Section 830.33 of the Penal Code (Public Utilities Code § 8226).
14. States that the railroad company responsible for designating these peace officers shall also be responsible civilly for any abuse of their authority (Public Utilities Code § 8226).

This bill:

1. Expands the focus of the regional property crimes tasks force to include cargo theft.
2. Allows railroad police to receive logistical support and law enforcement resources from the regional property crimes task force.

Comments

CHP’s Regional Property Crimes Task Force. AB 1065 (Jones-Sawyer, Chapter 803, Statutes of 2018), among other things, operation of CHP’s regional property crimes task force. AB 1065 had a sunset date of January 1, 2021. AB 331 (Jones-Sawyer, Chapter 113, Statutes of 2021), extended the sunset through January 1, 2026.

Under Penal Code section 13899, CHP is required to, in coordination with the DOJ, convene a regional property crimes task force to assist local law enforcement in counties with elevated levels of property crime, including, but not limited to, organized retail theft, vehicle burglary, and theft of vehicle parts and accessories. The task force provides local law enforcement and in these regions with logistical support and other law enforcement resources, including, but not limited to, personnel and equipment, in consultation with task force members. In response to AB 1065, the CHP, in consultation with the DOJ, developed a task force concept to work with allied agencies to combat organized retail theft. Three regional task forces, known as Organized Retail Crime Task Forces (ORCTF), were established by the CHP in three field Divisions with the greatest need for immediate action: Golden Gate Division (encompassing the greater Bay Area), Southern Division (encompassing the greater Los Angeles region), and Border Division (encompassing Orange and San Diego counties). (CHP, Organized Retail Theft Program.)

This bill adds railroad police to the task force and would require CHP and the DOJ to assist railroad police and local law enforcement agencies with cargo thefts.

Railroad and Cargo Theft. Under existing law, any person who steals, takes, or carries away cargo of another, if the cargo is taken of a value exceeding $950, is guilty of grand theft. (Pen. Code, § 487h, subd. (a).) And, any person who enters any railroad car or locked or sealed cargo container with attempt to commit theft or any felony is guilty of burglary, which is a felony, punishable by imprisonment in county jail for a period of 16 months, two or three years. (Pen. Code, §§ 459; 461, subd. (b).)

In instances where the property stolen from a cargo container is less than $950, the crime is punishable by a fine not exceeding $1,000 or by imprisonment in the county jail not exceeding 6 months, or both. (Pen. Code, § 490.) If a person trespasses on a railroad or any transit related property during the commission of the offense, they can be charged with an additional misdemeanor. (Pen. Code, § 369i.) If a person trespasses on a railroad with intent to commit robbery, they can be subject to imprisonment of a term of not more than twenty years under federal law. (18 U.S.C. § 1991.)

According to Cargo Net, a database which is the product of a national information-sharing system to combat cargo theft, during the first quarter of 2024 there were 925 documented theft incident reports nationwide, which is a 10 percent rise from the previous quarter, and a 46 percent increase from the first quarter of 2023. In California, there was a 72 percent year-over-year increase in theft incident reports during 2023. Of these documented cases, the most commonly targeted goods were small appliances, liquor, energy drinks, and copper. Types of thefts ranged from complex fraud schemes, where entire truckloads were picked up and never delivered or delivered with digitally altered paperwork to hide the theft from the customer, to simple cargo theft, stealing from unattended, loaded trailers (2024 First Quarter Supply Chain Risk Trends Analysis, CargoNet, Verisk (2024).).

In December 20, 2021, Union Pacific Police Department (UP) sent a letter to Los Angeles County District Attorney George Gascón, regarding train thefts and security concerns. UP often works with local, state, and federal law enforcement agencies on issues concerning the railroad. Union Pacific special agents and local law enforcement officers have overlapping jurisdictions, but UP railroad property is the Union Pacific Police Department’s responsibility. The letter raises concerns over the increase in rail theft since the pandemic and states, in part:

Since December 2020, UP has experienced an over 160% increase in criminal rail theft in Los Angeles County. In several months during that period, the increase from the previous year surpassed 200%. In October 2021 alone, the increase was 356% over compared to October 2020. Not only do these dramatic increases represent retail product thefts – they include increased assaults and armed robberies of UP employees performing their duties moving trains […]

(Letter from Union Pacific Railroad (Dec. 20, 2021).)

Notably, UP’s train thefts started right around the time it laid off thousands of workers. According to UP’s annual reports to the federal Surface Transportation Board, the company ended 2019 with 23,096 employees. In 2020, that number fell to 20,334. And that number fell again to 18,408 in the third quarter of 2021. (Quarterly Wage A&B Data, Surface Transportation Board.) According to the Los Angeles Times, former UP employees and police say budgetary issues have slashed the ranks of the company’s force, leaving as few as half a dozen in the region. (‘Like A Third World Country’: Gov. Newsom Decries Rail Thefts amid Push to Beef up Enforcement, Los Angeles Times (Jan. 20, 2022).) “Union Pacific from Yuma, Ariz., to L.A. has six people patrolling…” and “thefts started about seven months ago as the police presence ebbed.” (Ibid.) UP’s employment numbers remain low, despite record profits for the rail operator. UP reported a net income of $6.5 billion for 2021. (Union Pacific Reports Fourth Quarter and Full Year 2021 Results, UP (Jan. 2022).) The New York Times reported on rail theft as it exists in the 21^st century and cited how over the past decade, during a period of record-breaking profits, the largest railroad companies in the country have been running increasingly longer trains. Some trains stretch two and three miles in length. During this same period of record profits and extended train lengths, the same companies have reduced the number of employees by almost 30 percent. And the Federal Railroad Administration currently does not limit the lengths of trains despite increasing concerns over safety (The Great Freight-Train Heists of the 21st Century, The New York Times (Jan. 23, 2024).

By adding railroad police to CHP’s task force, this bill allows CHP to provide resources and assistance to railroad police agencies such as UP and other railroad law enforcement agencies.

FISCAL EFFECT: Appropriation: No Fiscal Com.: Yes Local: No

According to the Senate Appropriations Committee, “Likely minor and absorbable costs to the California Highway Patrol (CHP) and the Department of Justice (DOJ) to provide assistance to local law enforcement agencies and prosecutors related to cargo theft. The Governor’s 2024-25 budget proposal includes $6 million to expand and make permanent the regional property crimes taskforce. The Governor’s budget proposal for 2024-25 includes $373.5 million General Fund over four years to support law enforcement operations relating to organized retail theft, including $6 million in fiscal year 2024-25 and $10.5 million in fiscal year 2025-26 to CHP for retail theft task force expansion.”

SUPPORT: (Verified 6/19/24)

California Association of Highway Patrolmen
California Contract Cities Association
California Correctional Supervisors Organization, Inc.
California Department of Justice
California District Attorneys Association
California Downtown Association
California Problem Solvers Caucus
California Retailers Association
City of Artesia
City of Buena Park
City of Citrus Heights
City of El Cerrito
City of Fullerton

City of La Mirada
City of Lakeport
City of Los Alamitos

City of Mission Viejo
City of Norwalk 
City of Port Hueneme
City of Rancho Palos Verdes
City of Riverside

City of Stockton
Darrell Steinberg, Mayor of Sacramento
League of California Cities
Los Angeles County District Attorney's Office
Los Angeles County Sheriff's Department
Mayor Todd Gloria, City of San Diego
Mission Viejo; City of
Peace Officers Research Association of California
Town of Apple Valley

OPPOSITION: (Verified 6/19/24)

None received

ARGUMENT IN SUPPORT: According to the California Department of Justice:

[…] Assembly Bill 1972, which will address organized retail crime by increasing resources to protect the cargo supply networks that retailers depend on. Existing law requires California Highway Patrol (CHP) to coordinate with the Department of Justice (DOJ) to convene a regional property crimes task force in areas experiencing increased levels of property crimes and to assist local law enforcement by providing support, personnel, and equipment. AB 1972 will require the task force to also provide assistance to local law enforcement, including railroad police, in counties with elevated levels of cargo theft.

[…] The problem of organized retail crime is multi-faceted and the answers will be multi-faceted. AB 1972 is an important prong in California’s plan to hold the perpetrators of these crimes accountable and keep our communities free of crime. The Attorney General is committed to collaborative strategies to end organized retail theft and thanks you for your leadership on this important bill.

ASSEMBLY FLOOR: 70-0, 5/22/24

AYES: Addis, Aguiar-Curry, Alanis, Alvarez, Arambula, Bains, Bauer-Kahan, Bennett, Berman, Boerner, Bonta, Bryan, Juan Carrillo, Wendy Carrillo, Chen, Connolly, Davies, Dixon, Flora, Mike Fong, Vince Fong, Gabriel, Gallagher, Garcia, Gipson, Grayson, Haney, Hart, Hoover, Irwin, Jackson, Jones-Sawyer, Kalra, Lackey, Low, Lowenthal, Maienschein, McCarty, Muratsuchi, Stephanie Nguyen, Ortega, Pacheco, Papan, Jim Patterson, Joe Patterson, Pellerin, Petrie-Norris, Quirk-Silva, Ramos, Rendon, Reyes, Rodriguez, Blanca Rubio, Sanchez, Santiago, Schiavo, Soria, Ta, Ting, Valencia, Villapudua, Waldron, Wallis, Ward, Weber, Wicks, Wilson, Wood, Zbur, Robert Rivas

NO VOTE RECORDED: Calderon, Cervantes, Megan Dahle, Essayli, Friedman, Holden, Lee, Mathis, McKinnor, Luz Rivas

Prepared by: John Duncan / PUB. S. /

6/21/24 11:02:22

**** END ****

SENATE COMMITTEE ON APPROPRIATIONS

Senator Anna Caballero, Chair

2023 - 2024 Regular Session

AB 1972 (Alanis) - Regional property crimes task force

Bill Summary:

AB 1972 requires the existing regional crimes property task force to assist railroad police and specifies cargo theft is a property crime for consideration by the regional property crimes task force.

Fiscal Impact:

Likely minor and absorbable costs to the California Highway Patrol (CHP) and the Department of Justice (DOJ) to provide assistance to local law enforcement agencies and prosecutors related to cargo theft. The Governor’s 2024-25 budget proposal includes $6 million to expand and make permanent the regional property crimes taskforce. The Governor’s budget proposal for 2024-25 includes $373.5 million General Fund over four years to support law enforcement operations relating to organized retail theft, including $6 million in fiscal year 2024-25 and $10.5 million in fiscal year 2025-26 to CHP for retail theft task force expansion.

Background:

Existing law requires CHP to coordinate with DOJ to convene a regional property crimes task force in geographic areas experiencing increased levels of property crimes and assist local law enforcement by providing support, personnel, and equipment. According to CHP, it has established three regional property crime task forces in areas with the greatest need for immediate action: Golden Gate Division (encompassing the greater Bay Area), Southern Division (encompassing the greater Los Angeles region), and Border Division (encompassing Orange and San Diego counties).

Proposed Law:

This bill requires the regional property task force to also provide assistance to local law enforcement, including railroad police, in counties with elevated levels of cargo theft.

Related Legislation:

AB 1794 (McCarty) authorizes counties to operate a program to allow retailers to submit details of alleged shoplifting, organized retail theft, or grand theft directly to the district attorney through an online portal on the district attorney’s internet website. AB 1794 will heard by this Committee today.

AB 1779 (Irwin) allows specified criminal actions for thefts to be consolidated and brought in any jurisdiction, subject to a hearing on consolidation of the offenses, as specified. AB 1779 will heard by this Committee today.

AB 1802 (Jones-Sawyer) removes the sunset date on the organized retail theft statute and the regional property crimes task force. AB 1802 will heard by this Committee today.

AB 1960 (Soria) creates sentencing enhancements for taking, damaging, or destroying property in the commission or attempted commission of a felony, as specified. AB 1960 will heard by this Committee today.

AB 2943 (Zbur) makes it a crime for any person to possess property unlawfully that was acquired through one or more acts of shoplifting, theft, or burglary from a retail business, if the property is not possessed for personal use and the person has intent to sell, exchange, or return the merchandise for value, or the intent to act in concert with one or more persons to sell, exchange, or return the merchandise for value, and the value of the possessed property exceeds $950. AB 2943 will heard by this Committee today.

AB 3209 (Berman) establishes a retail theft restraining order, as specified. AB 3209 will heard by this Committee today.

SB 1144 (Skinner) revises the types of transactions that qualify a third-party seller as a “high-volume third-party seller,” relating to online marketplaces, as specified. SB 1144 is pending in the Assembly Appropriations Committee.

SB 1416 (Newman) reinstates sentencing enhancements for selling, exchanging, or returning for value, or attempting to sell, exchange, or return for value, any property acquired through one or more acts of shoplifting, theft, or burglary from a retail business, if the property value exceeds specified amounts. SB 1416 is pending in the Assembly Appropriations Committee.

SB 905 (Wiener) creates the new crime of forcibly entering a vehicle with intent to commit theft therein, as specified. SB 905 is pending in the Assembly Appropriations Committee.

SB 982 (Wahab) removes the sunset date on the organized retail theft statute. SB 982 is pending in the Assembly Appropriations Committee.

SB 1242 (Min) makes it a factor in aggravation if arson was carried out within a merchant’s premises in order to facilitate organized retail theft. SB 1242 is pending in the Assembly Appropriations Committee.

Proposed Amendments:

This bill will be amended to contain an urgency clause, allowing the bill’s provisions to take effect immediately upon approval of the Governor.

-- END --

SENATE COMMITTEE ON PUBLIC SAFETY

Senator Aisha Wahab, Chair

2023 - 2024 Regular

Bill No: AB 1972 Hearing Date: June 11, 2024

Subject: Regional property crimes task force

HISTORY

Source: Author

Prior Legislation: AB 1065 (Jones-Sawyer), Chapter 803, Statutes of 2018

AB 331 (Jones-Sawyer), Chapter 113, Statutes of 2021

AB 2543 (Fong), held in Assembly Public Safety 2022

AB 2769 (O’Donnell), held in Assembly Public Safety 2022

Support: California Association of Highway Patrolmen; California Contract Cities Association; California Department of Justice; California District Attorneys Association; California Downtown Association; California Problem Solvers Caucus; California Retailers Association; City of Artesia; City of Buena Park; City of Citrus Heights; City of El Cerrito; City of La Mirada; City of Lakeport; City of Los Alamitos; City of Norwalk; City of Port Hueneme; City of Rancho Palos Verdes; Darrell Steinberg, Mayor of Sacramento; League of California Cities; Los Angeles County Sheriff's Department; Mayor Todd Gloria, City of San Diego; Peace Officers Research Association of California (PORAC); Town of Apple Valley

Opposition: None known

Assembly Floor Vote: 70 - 0

PURPOSE

The purpose of this bill is to expand the focus of the regional property crimes task force to include cargo theft and provide logistical support and law enforcement resources to railroad police as a part of the task force.

Existing law requires CHP, in coordination with the Department of Justice (DOJ), to convene a regional property crimes task force to assist local law enforcement in counties identified as having elevated levels of property crime, including, but not limited to, organized retail theft, vehicle burglary, and theft of vehicle parts and accessories. (Pen. Code, § 13899.)

Existing law states that the task force shall provide local law enforcement with logistical support and other law enforcement resources, including, but not limited to, personnel and equipment. (Pen. Code, § 13899.)

Existing law states that every person who steals, takes, carries, leads, or drives away the personal property of another is guilty of theft. (Pen. Code, § 484, subd. (a).)

Existing law defines grand theft as theft of money, labor, real or personal property of a value exceeding $950. Grand theft is a wobbler, punishable by imprisonment in a county jail not exceeding one year, or as a felony by imprisonment in the county jail for 16 months, two years, or three years (Pen. Code, § 487, 489.)

Existing law provides that every person who steals, takes, or carries away cargo of another, if the cargo is taken of a value exceeding $950, is guilty of grand theft. (Pen. Code, § 487h, subd. (a).)

Existing law provides that every person who enters any vessel, railroad car, locked or sealed cargo container, with attempt to commit theft or any felony is guilty of burglary, a wobbler, punishable as a misdemeanor by imprisonment in the county jail for up to a year, or as a felony by imprisonment in the county jail for 16 months, two years, or three years. (Pen. Code, §§ 459, 461.)

Existing law defines “cargo” as any goods, wares, products or manufactured merchandise that has been loaded into a trailer, railcar, or cargo container, awaiting or in transit. (Pen. Code § 487h, subd. (b).)

Existing law defines “cargo container” as a receptacle with strong enough for repeated use, designed to facilitate the carriage of goods, fitted for handling from one mode of transport to another, designed to be easy to fill and empty, and having a cubic displacement of 1,000 cubic feet or more. (Pen. Code, § 458.)

Existing law provides that the value of the money, labor, real property, or personal property taken exceeds $950 over the course of distinct but related acts, the value of the money, labor, real property, or personal property taken may properly be aggregated to charge a count of grand theft, if the acts are motivated by one intention, one general impulse, and one plan. (Pen. Code, § 487, subd. (e).)

Existing law provides that every person who destroys any part of a railroad, including any structure or fixture attached to or connected with any railroad, is guilty of a misdemeanor punishable by imprisonment in the county jail not exceeding one year, or a felony, punishable by imprisonment in county jail for a period of 16 months, two, or three years. (Pen. Code, § 489, subd. (c)(1).)

Existing law makes it a felony, punishable by imprisonment in a county jail for a term of two, three, or four years, to obstruct a railroad track. (Pen. Code, § 218.1.)

Existing law makes trespassing on a railroad or any transit related property a misdemeanor. (Pen. Code, § 369i.)

Existing law allows the Governor to appoint and commission, upon application by a railroad company, to appoint police officers to serve at the expense of the company that have the same powers and jurisdiction of peace officers listed in Section 830.33 of the Penal Code (Public Utilities Code § 8226).

Existing law states that the railroad company responsible for designating these peace officers shall also be responsible civilly for any abuse of their authority (Public Utilities Code § 8226).

This bill expands the focus of the regional property crimes tasks force to include cargo theft.

This bill allows railroad police to receive logistical support and law enforcement resources from the regional property crimes task force.

COMMENTS

1. Need for This Bill

According to the Author:

AB 1972 builds off the success of the CHP’s regional property crimes task force and incorporates cargo theft into the program assessing the needs of local law enforcement in their efforts to combat this growing crime and providing additional resources for local agencies.

1. CHP’s Regional Property Crimes Task Force

AB 1065 (Jones-Sawyer), Chapter 803, Statutes of 2018, among other things, operation of CHP’s regional property crimes task force. AB 1065 had a sunset date of January 1, 2021. AB 331 (Jones-Sawyer), Chapter 113, Statutes of 2021, extended the sunset through January 1, 2026.

Under Penal Code section 13899, CHP is required to, in coordination with the DOJ, convene a regional property crimes task force to assist local law enforcement in counties with elevated levels of property crime, including, but not limited to, organized retail theft, vehicle burglary, and theft of vehicle parts and accessories. The task force provides local law enforcement and in these regions with logistical support and other law enforcement resources, including, but not limited to, personnel and equipment, in consultation with task force members. In response to AB 1065, the CHP, in consultation with the DOJ, developed a task force concept to work with allied agencies to combat organized retail theft. Three regional task forces, known as Organized Retail Crime Task Forces (ORCTF), were established by the CHP in three field Divisions with the greatest need for immediate action: Golden Gate Division (encompassing the greater Bay Area), Southern Division (encompassing the greater Los Angeles region), and Border Division (encompassing Orange and San Diego counties). (CHP, Organized Retail Theft Program.)

This bill would add railroad police to the task force and would require CHP and the DOJ to assist railroad police and local law enforcement agencies with cargo thefts.

1. Railroad and Cargo Theft

Under existing law, any person who steals, takes, or carries away cargo of another, if the cargo is taken of a value exceeding $950, is guilty of grand theft. (Pen. Code, § 487h, subd. (a).) And, any person who enters any railroad car or locked or sealed cargo container with attempt to commit theft or any felony is guilty of burglary, which is a felony, punishable by imprisonment in county jail for a period of 16 months, two or three years. (Pen. Code, §§ 459; 461, subd. (b).)

In instances where the property stolen from a cargo container is less than $950, the crime is punishable by a fine not exceeding $1,000 or by imprisonment in the county jail not exceeding 6 months, or both. (Pen. Code, § 490.) If a person trespasses on a railroad or any transit related property during the commission of the offense, they can be charged with an additional misdemeanor. (Pen. Code, § 369i.) If a person trespasses on a railroad with intent to commit robbery, they can be subject to imprisonment of a term of not more than twenty years under federal law. (18 U.S.C. § 1991.)

According to Cargo Net, a database which is the product of a national information-sharing system to combat cargo theft, during the first quarter of 2024 there were 925 documented theft incident reports nationwide, which is a 10 percent rise from the previous quarter, and a 46 percent increase from the first quarter of 2023. In California, there was a 72 percent year-over-year increase in theft incident reports during 2023. Of these documented cases, the most commonly targeted goods were small appliances, liquor, energy drinks, and copper. Types of thefts ranged from complex fraud schemes, where entire truckloads were picked up and never delivered or delivered with digitally altered paperwork to hide the theft from the customer, to simple cargo theft, stealing from unattended, loaded trailers (2024 First Quarter Supply Chain Risk Trends Analysis, CargoNet, Verisk (2024).).

In December 20, 2021, Union Pacific Police Department (UP) sent a letter to Los Angeles County District Attorney George Gascón, regarding train thefts and security concerns. UP often works with local, state, and federal law enforcement agencies on issues concerning the railroad. Union Pacific special agents and local law enforcement officers have overlapping jurisdictions, but UP railroad property is the Union Pacific Police Department’s responsibility. The letter raises concerns over the increase in rail theft since the pandemic and states, in part:

Since December 2020, UP has experienced an over 160% increase in criminal rail theft in Los Angeles County. In several months during that period, the increase from the previous year surpassed 200%. In October 2021 alone, the increase was 356% over compared to October 2020. Not only do these dramatic increases represent retail product thefts – they include increased assaults and armed robberies of UP employees performing their duties moving trains […]

(Letter from Union Pacific Railroad (Dec. 20, 2021).)

Notably, UP’s train thefts started right around the time it laid off thousands of workers. According to UP’s annual reports to the federal Surface Transportation Board, the company ended 2019 with 23,096 employees. In 2020, that number fell to 20,334. And that number fell again to 18,408 in the third quarter of 2021. (Quarterly Wage A&B Data, Surface Transportation Board.) According to the Los Angeles Times, former UP employees and police say budgetary issues have slashed the ranks of the company’s force, leaving as few as half a dozen in the region. (‘Like A Third World Country’: Gov. Newsom Decries Rail Thefts amid Push to Beef up Enforcement, Los Angeles Times (Jan. 20, 2022).) “Union Pacific from Yuma, Ariz., to L.A. has six people patrolling…” and “thefts started about seven months ago as the police presence ebbed.” (Ibid.) UP’s employment numbers remain low, despite record profits for the rail operator. UP reported a net income of $6.5 billion for 2021. (Union Pacific Reports Fourth Quarter and Full Year 2021 Results, UP (Jan. 2022).) The New York Times reported on rail theft as it exists in the 21^st century and cited how over the past decade, during a period of record-breaking profits, the largest railroad companies in the country have been running increasingly longer trains. Some trains stretch two and three miles in length. During this same period of record profits and extended train lengths, the same companies have reduced the number of employees by almost 30 percent. And the Federal Railroad Administration currently does not limit the lengths of trains despite increasing concerns over safety (The Great Freight-Train Heists of the 21st Century, The New York Times (Jan. 23, 2024).

By adding railroad police to CHP’s task force, this bill would allow CHP to provide resources and assistance to railroad police agencies such as UP and other railroad law enforcement agencies.

1. Amendments to be taken in Appropriations Committee

This bill will be amended in the Senate Appropriations Committee to contain an urgency clause, allowing the bill’s provisions to take effect immediately upon approval of the Governor. Additionally, the bill will be amended to contain an inoperability clause stating that its provisions will become inoperative if the proposed initiative measure titled, “The Homelessness, Drug Addition, and Theft Reduction Act” (Initiative 23-0017A1) is approved by the voters at the statewide general election on November 5, 2024.

1. Argument in Support

According to the California Department of Justice:

[…] Assembly Bill 1972, which will address organized retail crime by increasing resources to protect the cargo supply networks that retailers depend on. Existing law requires California Highway Patrol (CHP) to coordinate with the Department of Justice (DOJ) to convene a regional property crimes task force in areas experiencing increased levels of property crimes and to assist local law enforcement by providing support, personnel, and equipment. AB 1972 will require the task force to also provide assistance to local law enforcement, including railroad police, in counties with elevated levels of cargo theft.

[…] The problem of organized retail crime is multi-faceted and the answers will be multi-faceted. AB 1972 is an important prong in California’s plan to hold the perpetrators of these crimes accountable and keep our communities free of crime. The Attorney General is committed to collaborative strategies to end organized retail theft and thanks you for your leadership on this important bill.

-- END –

ASSEMBLY THIRD READING

ATR Bill Id:AB 1972

Author:(Alanis)

As Amended Ver:April 11, 2024

Majority vote

SUMMARY

Expands the regional property crimes tasks force within the California Highway Patrol (CHP) to include railroad police and cargo theft.

Major Provisions

COMMENTS

According to the Author

"Cargo theft crimes not only affect businesses, but can also create backlogs at ports causing major disruptions to California's supply chain. Cases like these show the increasing level of sophistication of these criminals and how far organized crimes rings will go to steal from our consumers and businesses. AB 1972 will ensure that law enforcement has the support they need to combat cargo theft statewide."

Arguments in Support

No longer applicable.

Arguments in Opposition

No longer applicable.

FISCAL COMMENTS

According to the Assembly Appropriations Committee, "Likely minor and absorbable costs to CHP and the Department of Justice (DOJ) to provide assistance to local law enforcement agencies and prosecutors related to cargo theft. The Governor's 2024-25 budget proposal includes $6 million to expand and make permanent the regional property crimes taskforce."

VOTES

ASM PUBLIC SAFETY: 8-0-0

YES: McCarty, Alanis, Lackey, Stephanie Nguyen, Reyes, Ting, Wilson, Zbur

ASM APPROPRIATIONS: 14-0-1

YES: Wicks, Sanchez, Arambula, Bryan, Calderon, Wendy Carrillo, Dixon, Mike Fong, Grayson, Haney, Hart, Jim Patterson, Pellerin, Ta

ABS, ABST OR NV: Villapudua

UPDATED

VERSION: April 11, 2024

CONSULTANT: Liah Burnley / PUB. S. / (916) 319-3744 FN: 0002866

Date of Hearing: April 24, 2024

ASSEMBLY COMMITTEE ON APPROPRIATIONS

Buffy Wicks, Chair

ABPCA Bill Id:AB 1972

Author:(Alanis) – As Amended Ver:April 11, 2024

Urgency: No State Mandated Local Program: No Reimbursable: >

SUMMARY:

This bill expands the regional property crimes task force convened by the California Highway Patrol (CHP) to provide assistance to railroad police and operate in counties with elevated levels of cargo theft.

FISCAL EFFECT:

Likely minor and absorbable costs to CHP and the Department of Justice (DOJ) to provide assistance to local law enforcement agencies and prosecutors related to cargo theft. The Governor’s 2024-25 budget proposal includes $6 million to expand and make permanent the regional property crimes taskforce.

COMMENTS:

1. Purpose. According to the author:

Cargo theft crimes not only affect businesses, but can also create backlogs at ports causing major disruptions to California’s supply chain. Cases like these show the increasing level of sophistication of these criminals and how far organized crimes rings will go to steal from our consumers and businesses. AB 1972 will ensure that law enforcement has the support they need to combat cargo theft statewide.

1. Background. Existing law requires CHP to coordinate with DOJ to convene a regional property crimes task force in geographic areas experiencing increased levels of property crimes and assist local law enforcement by providing support, personnel, and equipment. According to CHP, it has established three regional property crime task forces in areas with the greatest need for immediate action: Golden Gate Division (encompassing the greater Bay Area), Southern Division (encompassing the greater Los Angeles region), and Border Division (encompassing Orange and San Diego counties).

This bill requires the regional property task force to also provide assistance to local law enforcement, including railroad police, in counties with elevated levels of cargo theft. The Governor’s budget proposal for 2024-25 includes $373.5 million General Fund over four years to support law enforcement operations relating to organized retail theft, including $6 million in fiscal year 2024-25 and $10.5 million in fiscal year 2025-26 to CHP for retail theft task force expansion.

1. Related Legislation. AB 1802 (Jones-Sawyer), in pertinent part, eliminates the sunset on the statute that authorizes CHP’s regional property crimes task force. AB 1802 is pending hearing in this committee.

Analysis Prepared by: Annika Carlson / APPR. / (916) 319-2081

Date of Hearing: April 9, 2024

Counsel: Liah Burnley

ASSEMBLY COMMITTEE ON

Kevin McCarty, Chair

ABPCA Bill Id:

Author:() – As Ver:

As Proposed to be Amended in Committee

SUMMARY:

Expands the regional property crimes tasks force within the California Highway Patrol (CHP) to include railroad police and cargo theft.

EXISTING LAW:

1. Requires CHP, in coordination with the Department of Justice (DOJ), to convene a regional property crimes task force to assist local law enforcement in counties identified as having elevated levels of property crime, including, but not limited to, organized retail theft, vehicle burglary, and theft of vehicle parts and accessories. (Pen. Code, § 13899.)
2. States that the task force shall provide local law enforcement with logistical support and other law enforcement resources, including, but not limited to, personnel and equipment. (Pen. Code, § 13899.)
3. States that every person who steals, takes, carries, leads, or drives away the personal property of another is guilty of theft. (Pen. Code, § 484, subd. (a).)
   
4. Defines grand theft as theft of money, labor, real or personal property of a value exceeding $950. Grand theft is a wobbler, punishable by imprisonment in a county jail not exceeding one year, or as a felony by imprisonment in the county jail for 16 months, two years, or three years (Pen. Code, § 487, 489.)
   
5. Provides that every person who steals, takes, or carries away cargo of another, if the cargo is taken of a value exceeding $950, is guilty of grand theft. (Pen. Code, § 487h, subd. (a).)
   
6. Provides that every person who enters any vessel, railroad car, locked or sealed cargo container, with attempt to commit theft or any felony is guilty of burglary, a wobbler, punishable as a misdemeanor by imprisonment in the county jail for up to a year, or as a felony by imprisonment in the county jail for 16 months, two years, or three years. (Pen. Code, §§ 459, 461.)
   
7. Defines “cargo” as any goods, wares, products or manufactured merchandise that has been loaded into a trailer, railcar, or cargo container, awaiting or in transit. (Pen. Code § 487h, subd. (b).)
   
8. Defines “cargo container” as a receptacle with strong enough for repeated use, designed to facilitate the carriage of goods, fitted for handling from one mode of transport to another, designed to be easy to fill and empty, and having a cubic displacement of 1,000 cubic feet or more. (Pen. Code, § 458.)
   
9. Provides that the value of the money, labor, real property, or personal property taken exceeds $950 over the course of distinct but related acts, the value of the money, labor, real property, or personal property taken may properly be aggregated to charge a count of grand theft, if the acts are motivated by one intention, one general impulse, and one plan. (Pen. Code, § 487, subd. (e).)
   
10. Provides that every person who destroys any part of a railroad, including any structure or fixture attached to or connected with any railroad, is guilty of a misdemeanor punishable by imprisonment in the county jail not exceeding one year, or a felony, punishable by imprisonment in county jail for a period of 16 months, two, or three years. (Pen. Code, § 489, subd. (c)(1).)
    
11. Makes it a felony, punishable by imprisonment in a county jail for a term of two, three, or four years, to obstruct a railroad track. (Pen. Code, § 218.1.)
    
12. Makes trespass on a railroad or any transit related property a misdemeanor. (Pen. Code, § 369i.)
    

FISCAL EFFECT:

Unknown

COMMENTS:

1. Author's Statement: According to the author, “Cargo theft crimes not only affect businesses, but can also create backlogs at ports causing major disruptions to California’s supply chain. Cases like these show the increasing level of sophistication of these criminals and how far organized crimes rings will go to steal from our consumers and businesses. AB 1972 will ensure that law enforcement has the support they need to combat cargo theft statewide.”
   
2. CHP’s Regional Property Crimes Task Force: AB 1065 (Jones-Sawyer), Chapter 803, Statutes of 2018, among other things, operation of CHP’s regional property crimes task force. AB 1065 had a sunset date of January 1, 2021. AB 331 (Jones-Sawyer), Chapter 113, Statutes of 2021, extended the sunset through January 1, 2026.
   
   Under Penal Code section 13899, CHP is required to, in coordination with the DOJ, convene a regional property crimes task force to assist local law enforcement in counties with elevated levels of property crime, including, but not limited to, organized retail theft, vehicle burglary, and theft of vehicle parts and accessories. The task force provides local law enforcement and in these regions with logistical support and other law enforcement resources, including, but not limited to, personnel and equipment, in consultation with task force members. In response to AB 1065, the CHP, in consultation with the DOJ, developed a task force concept to work with allied agencies to combat organized retail theft. Three regional task forces, known as Organized Retail Crime Task Forces (ORCTF), were established by the CHP in three field Divisions with the greatest need for immediate action: Golden Gate Division (encompassing the greater Bay Area), Southern Division (encompassing the greater Los Angeles region), and Border Division (encompassing Orange and San Diego counties). (CHP, Organized Retail Theft Program. Available at: <https://www.chp.ca.gov/notify-chp/organized-retail-theft-program>.)
   
   This bill would add railroad police to the task force and would require CHP and the DOJ to assist railroad police and local law enforcement agencies with cargo thefts.
3. Railroad and Cargo Theft: Under existing law, any person who steals, takes, or carries away cargo of another, if the cargo is taken of a value exceeding $950, is guilty of grand theft. (Pen. Code, § 487h, subd. (a).) And, any person who enters any railroad car or locked or sealed cargo container with attempt to commit theft or any felony is guilty of burglary, which is a felony, punishable by imprisonment in county jail for a period of 16 months, two or three years. (Pen. Code, §§ 459; 461, subd. (b).)

In instances where the property stolen from a cargo container is less than $950, the crime is punishable by a fine not exceeding $1,000 or by imprisonment in the county jail not exceeding 6 months, or both. (Pen. Code, § 490.) If a person trespasses on a railroad or any transit related property during the commission of the offense, they can be charged with an additional misdemeanor. (Pen. Code, § 369i.) If a person trespasses on a railroad with intent to commit robbery, they can be subject to imprisonment of a term of not more than twenty years under federal law. (18 U.S.C. § 1991.)

According to background materials provided by the author, the impetus of this bill is to give “law enforcement and prosecutors additional tools to protect rail lines and shipping routes from organized cargo theft.”

The Union Pacific Police Department is the law enforcement agency of Union Pacific’s (UP) railroad. (Union Pacific Special Agents: The Badges Behind the Shield, UP (April 2016). https://www.up.com/aboutup/community/inside_track/badges-04-11-2016.htm [as of March 8, 2023].) According to UP, the Union Pacific Police Department has primary jurisdiction over crimes committed against the railroad. The department is responsible for all UP locations across 32,000 miles of track in 23 states. (Ibid.) UP police have full police authority and are responsible for crimes that include trespassing on railroad rights of way, theft of railroad property, threats of terrorism and derailments, well as investigate public safety incidents which occur on railroad property. They often work with local, state, and federal law enforcement agencies on issues concerning the railroad. (Ibid.) Union Pacific special agents and local law enforcement officers have overlapping jurisdictions, but UP railroad property is the Union Pacific Police Department’s responsibility. (Ibid.)

In December 20, 2021, UP sent a letter to Los Angeles County District Attorney George Gascón, regarding train thefts and security concerns. The letter states, in part:

“Since December 2020, UP has experienced an over 160% increase in criminal rail theft in Los Angeles County. In several months during that period, the increase from the previous year surpassed 200%. In October 2021 alone, the increase was 356% over compared to October 2020. Not only do these dramatic increases represent retail product thefts – they include increased assaults and armed robberies of UP employees performing their duties moving trains. …

“This increased criminal activity over the past twelve months accounts for approximately $5 million in claims, losses and damages to UP. And that value does not include respective losses to our impacted customers. Nor does it capture the larger operating or commercial impacts to the UP network or supply chain system in Los Angeles County.

“In response to this increased, organized, and opportunistic criminal activity, UP by its own effort and cost enlisted additional and existing Special Agents across the UP system to join our local efforts with LAPD, LASD and CHP to help prevent the ongoing thefts. We have also utilized and are further exploring the use of additional technologies to help us combat these criminals through drones, specialized fencing, trespass detection systems, and other measures.”

(Letter from Union Pacific Railroad (Dec. 20, 2021) <https://www.up.com/cs/groups/public/@uprr/@newsinfo/documents/up_pdf_nativedocs/pdf_up_la_district_atty_211221.pdf>.) Notably, UP’s train thefts started right around the time it laid off thousands of workers. According to UP’s annual reports to the federal Surface Transportation Board, the company ended 2019 with 23,096 employees. In 2020, that number fell to 20,334. And that number fell again to 18,408 in the third quarter of 2021. (Quarterly Wage A&B Data, Surface Transportation Board. <https://www.stb.gov/reports-data/economic-data/quarterly-wage-ab-data/>.) According to the Los Angeles Times, former UP employees and police say budgetary issues have slashed the ranks of the company’s force, leaving as few as half a dozen in the region. (‘Like A Third World Country’: Gov. Newsom Decries Rail Thefts amid Push to Beef up Enforcement, Los Angeles Times (Jan. 20, 2022) <https://www.latimes.com/california/story/2022-01-20/los-angeles-rail-theft-supply-chain-crunch-limited-security>.) “Union Pacific from Yuma, Ariz., to L.A. has six people patrolling…” and “thefts started about seven months ago as the police presence ebbed.” (Ibid.) UP’s employment numbers remain low, despite record profits for the rail operator. UP reported a net income of $6.5 billion for 2021. (Union Pacific Reports Fourth Quarter and Full Year 2021 Results, UP (Jan. 2022) <https://www.up.com/media/releases/4q21-earnings-nr210120.htm>.)

By adding railroad police to CHP’s task force, this bill would allow CHP to provide resources and assistance to railroad police agencies such as UP.

1. Argument in Support: No longer applicable.
   
2. Argument in Opposition: No longer applicable.
   
3. Related Legislation:
   
   1. AB 1802 (Jones-Sawyer) would extend the operation of CHP’s regional property crimes task force until January 1, 2031. AB 1802 is pending in this Committee.
      
   2. AB 1960 (Soria) would reenact sentence enhancement for theft offenses when the loss exceeds specified dollar amounts. AB 1960 is pending in this Committee.
      
   3. AB 1990 (W. Carrillo) would authorize peace officers to make a warrantless arrest for misdemeanor shoplifting, as specified. AB 1990 is pending in this Committee.
      
   4. AB 1779 (Irwin) would allow, a prosecutor to bring a case in any county where theft offenses occurred for offenses that occur in multiple jurisdictions, as specified. AB 1779 is pending in this Committee.
      
   5. AB 1787 (Villapudua) would among other things, repeal the sunset provision in the organized retail theft statute, thereby extending the crime indefinitely. AB 1787 is pending in this Committee.
      
   6. AB 1794 (McCarty) would clarify aggregation requirements for grand theft, among other things. AB 1794 is pending in this Committee.
      
   7. AB 2406 (Davies) would make it a felony to use two or more minors to engage in theft related offenses. AB 2406 is pending in this Committee.
      
   8. AB 2438 (Petrie-Norris) would make any person who acts in concert to take, damage, or destroy any property in the commission of a felony punishable by an additional and consecutive term of imprisonment. AB 2438 is pending in this Committee.
      
   9. AB 2790 (Pacheco) would define organized retail theft to include acting in concert with one or more persons to steal specified types of merchandise, including infant formula, baby food, over-the-counter medications, and blood glucose testing strips, with the intent to sell those items. AB 2790 is pending in this Committee.
      
   10. AB 2943 (Zbur) would, among other things, extend the organized retail theft statute until January 2031, and make it a crime for any person to possess property unlawfully that was acquired through one or more acts of shoplifting, theft, or burglary from a retail business, if the property is not possessed for personal use. AB 2943 is pending in this committee.
       
   11. SB 923 (Archuleta) would revise the definition of shoplifting to require an intent to steal retail property or merchandise and would require a person convicted of petty theft or shoplifting, if the person has two or more prior convictions for specified theft-related offenses, to be punished by imprisonment in the county jail for up to one year, or for 16 months, or two or three years. SB 923 is pending in Senate Public Safety Committee.
       
   12. SB 928 (Niello) would remove the sunset date for organized retail theft. SB 928 is pending in Senate Public Safety Committee.
       
   13. SB 982 (Wahab) would remove the sunset date for organized retail theft. SB 982 is pending in Senate Appropriations Committee.
       
   14. SB 1416 (Newman) would create sentencing enhancements for selling, exchanging, or returning for value, or attempting to sell, exchange, or return for value, any property acquired through one or more acts of shoplifting, theft, or burglary from a retail business, if the property value exceeds specified amounts and would make these enhancements apply to any person acting in concert with another person to commit these offenses. SB 1416 is pending in Senate Public Safety Committee.
4. Prior Legislation:
   
   1. AB 523 (V. Fong), of the 2023-2024 Legislative Session, would have included “cargo theft” in the organized retail theft statute. AB 523 was not heard in this Committee at the request of the author.
      
   2. AB 329 (Ta), of the 2023-2024 Legislative Session, would have expanded the territorial jurisdiction in which the Attorney General can prosecute specified theft offenses and associated offenses connected together in their commission to include cargo theft. AB 329 failed passage in this Committee.
      
   3. AB 335 (Alanis), of the 2023-2024 Legislative Session, would have required the Little Hoover Commission to submit a report to the Legislature describing the reported retail thefts, as specified. AB 335 was held under submission in Assembly Appropriations Committee.
      
   4. AB 2543 (Fong), of the 2021-2022 Legislative Session, would have made burglary with regard to a railroad car or a cargo container punishable by imprisonment in a county jail for two, four, or six years. AB 2543 was not heard in this committee at the request of the author.

• 1. AB 2769 (O’Donnell), of the 2021-2022 Legislative Session, would have made burglary of a cargo container, railroad car, or cargo, where the property stolen or damaged is valued over $950, a felony offense. AB 2769 was not heard in this committee at the request of the author.
     
  2. AB 331 (Jones-Sawyer), Chapter 113, Statutes of 2021, extended the sunset date for the CHP regional property crimes task force through January 1, 2026.
     
  3. AB 1065 (Jones-Sawyer), Chapter 803, Statutes of 2018, created the CHP regional property crimes task force.
     
  4. AB 2805 (Olsen), of the 2015-2016 Legislative Session, would have created a cargo theft prevention working group coordinated by the California Highway Patrol. AB 2805 was vetoed.
     
  5. SB 24 (Oropeza), Chapter 607, Statutes of 2009, eliminated the sunset date on cargo theft, and clarified that the elements of cargo theft are the same as other forms of grand theft.
     
  6. AB 1814 (Oropeza), Chapter 515, Statutes of 2004, created a specific statute providing that the theft of cargo of a value in excess of $400 is grand theft and contained a sunset date of January 1, 2010.
     

REGISTERED SUPPORT / OPPOSITION:

Support

No longer applicable.

Opposition

No longer applicable.

Analysis Prepared by: