SESSION OF 2024
SUPPLEMENTAL NOTE ON SENATE SUBSTITUTE FOR
HOUSE BILL NO. 2144
As Amended by Senate Committee of the Whole
Brief*
Senate Sub. for HB 2144, as amended, would establish
the crime of organized retail crime and establish penalties for
certain types of theft from retailers in the Kansas Criminal
Code, make organized retail crime a type of “racketeering
activity” under the Kansas Racketeer Influenced and Corrupt
Organization (RICO) Act, and amend law concerning the
Attorney General (AG)’s authority to prosecute crimes
concurrently with county or district attorneys.
Organized Retail Crime
The crime of organized retail crime would be committing
one of the following acts with the intent to permanently
deprive the owner of the possession, use, or benefit of the
owner’s property or services:
●Taking merchandise with an aggregate retail
market value of $3,000 or more from one or more
retailers within a 12-month period, with intent to
provide, transfer, or sell such merchandise to
another person;
●Acting in concert with one or more other persons to
receive, purchase, sell, or possess merchandise
with an aggregate retail market value of $3,000 or
more within a 12-month period, knowing or
believing such merchandise to have been stolen;
____________________
*Supplemental notes are prepared by the Legislative Research
Department and do not express legislative intent. The supplemental
note and fiscal note for this bill may be accessed on the Internet at
http://www.kslegislature.org ●Acting as an agent of one or more other persons to
take merchandise with an aggregate retail market
value of $3,000 or more from one or more retailers
within a 12-month period, as part of an organized
plan to commit theft; or
●Recruiting, coordinating, organizing, supervising,
directing, managing, or financing one or more other
persons to undertake any of the above mentioned
actions.
Tiered Penalty
The bill would establish that the penalty for organized
retail crime would be based upon the aggregate retail market
value of the involved merchandise as follows:
●Value of at least $,3000 but less than $15,000
would be a severity level 5 nonperson felony; and
●Value of $15,000 or more would be a severity level
4 nonperson felony.
Venue
The bill would allow for the venue for prosecution to be
any venue currently available under any other provision of
law or any county where at least $1 in aggregate retail market
value of merchandise is taken, received, stolen, or
purchased.
Definitions
The bill would define terms used in the crime of
organized retail crime, including:
●“Aggregate retail market value” would mean the
total combined value of merchandise taken, at the
price at which the merchandise would ordinarily be
2- 2144 sold by the retailer through legitimate sale or
distribution;
●“Merchandise” would mean chattels of any type or
description regardless of the value offered for sale
in or about a store;
●“Retailer” would mean a person or business selling,
leasing, or facilitating the sale or lease of
merchandise to the public or a business; and
●“Store” would mean a place where merchandise is
sold or offered to the public for sale at retail or
leased or offered to the public for lease.
Penalties for Retail Theft
The bill would also establish penalties for theft of
property, by deception, that includes refunds, money, or
merchandise from a retailer with an aggregate retail market
value of:
●$3,000 but less than $15,000 would be a severity
level 5 nonperson felony; and
●$15,000 or more would be a severity level 4
nonperson felony.
The bill would specify the penalties provided for theft
based on value in continuing law would not apply when this
type of theft is committed.
Kansas Racketeer Influenced Corrupt Organization Act
The bill would amend the definition of “racketeering
activity” in the Kansas RICO Act to include the crime of
organized retail crime.
3- 2144 Attorney General Concurrent Authority to Prosecute
The bill would amend the AG’s authority to prosecute
certain crimes concurrently with any county or district
attorney. Current law provides the AG may concurrently
prosecute:
●Theft;
●A violation of the Kansas RICO Act; or
●Any attempt, conspiracy, or criminal solicitation of
such crimes that is part of an alleged course of
criminal conduct that occurred in two or more
counties.
The bill would modify this authority to specify the AG
may concurrently prosecute:
●Organized retail crime and any other crime that is
part of such alleged course of criminal conduct;
●Theft;
●A violation of the Kansas RICO Act; or
●Any attempt, conspiracy, or criminal solicitation of
the above crimes.
Background
The Senate Committee on Judiciary removed the
original contents of HB 2144, concerning amendments to the
statutory rule against perpetuities, and recommended a
substitute bill incorporating the provisions of SB 415, as
amended by the Senate Committee. The background of SB
415 follows below.
4- 2144 [Note: The original contents of HB 2144 were inserted in
HB 2172 and enacted into law during the 2023 Legislative
Session.]
SB 415
SB 415 was introduced by the Senate Committee on
Judiciary at the request of the Office of the AG (OAG).
Senate Committee on Judiciary
In the Senate Committee hearing on March 12, 2024,
the AG and a representative of the Kansas Chamber provided
proponent testimony, stating generally the bill is needed to
effectively prosecute rising cases of organized retail theft.
Written-only proponent testimony was provided by
representatives of Walmart and the Wichita Regional
Chamber of Commerce.
A representative of the Board of Indigents’ Defense
Services (BIDS) provided opponent testimony, stating the bill
is unnecessary because related legislation was enacted last
session and would target vulnerable people rather than
ringleaders of crime.
No other testimony was provided.
The Senate Committee amended the bill to establish a
tiered penalty based upon the aggregate retail market value
of the retail theft and to specify what crimes the AG would
have concurrent authority to prosecute with county or district
attorneys.
Senate Committee of the Whole
The Senate Committee of the Whole amended the bill to
modify the concurrent authority of the Attorney General to
5- 2144 prosecute certain crimes to include the crime of organized
retail theft and any other crime that is part of the alleged
course of criminal conduct.
Fiscal Information
According to the fiscal note prepared by the Division of
the Budget on SB 415, as introduced, the Kansas Sentencing
Commission estimates enactment of the bill would result in an
increase of three, five, or seven adult prison beds needed by
the end of FY 2025. By the end of FY 2034, 9, 17, or 23
additional beds would be needed. The current estimated
available bed capacity is 9,668 for males and 932 for
females. Based upon the Commission’s most recent 10-year
projection contained in its FY 2024 Adult Inmate Prison
Population Projections report, it is estimated the year-end
population will total 8,556 male and 828 female inmates in FY
2024 and 8,847 male and 870 female inmates in FY 2025.
The Department of Corrections indicates the cost to
house the additional inmates would cost the State General
Fund (SGF) $11,479 for three inmates, $19,132 for five
inmates, and $26,785 for seven inmates in FY 2025. For FY
2026, it would cost the SGF $23,418 for six inmates, $39,030
for ten inmates, and $54,641 for 14 inmates.
The OAG states that it would require 2.5 FTE positions
at a cost of $240,000 from the SGF for FY 2025 and
$252,000 for FY 2026. The OAG would need 1.0 legal
assistant position and 1.5 attorney FTE positions to prosecute
crimes as required by the bill.
The Office of Judicial Administration states the bill could
increase the number of cases filed in district courts because
the bill creates a new crime, which would increase the time
spent by district court judicial and nonjudicial personnel in
processing, researching, and hearing cases. Enactment of
the bill could also increase the collection of docket fees
deposited into the SGF. However, a precise fiscal effect
6- 2144 cannot be estimated. Any fiscal effect associated with the bill
is not reflected in The FY 2025 Governor’s Budget Report.
The Kansas Association of Counties states the bill could
have a fiscal effect on counties if cases are initiated at the
local level; however, a fiscal effect cannot be estimated.
The League of Kansas Municipalities indicates the bill
would increase expenditures for cities because it would
require law enforcement agencies to provide training and
enforcement of the Kansas RICO Act, but states the
additional expenditures would be negligible.
Attorney General; crimes; organized retail crime
7- 2144