Office of Legislative Services
State House Annex
P.O. Box 068
Trenton, New Jersey 08625
Legislative Budget and Finance Office
Phone (609) 847-3105
Fax (609) 777-2442
www.njleg.state.nj.us
LEGISLATIVE FISCAL ESTIMATE
[First Reprint]
ASSEMBLY, No. 4755
STATE OF NEW JERSEY
221st LEGISLATURE
DATED: FEBRUARY 24, 2025
SUMMARY
Synopsis: Concerns retail theft, establishes retail theft unit, and appropriates $1
million.
Type of Impact: Annual State and local expenditure and revenue increases.
Agencies Affected: The Judiciary; Department of Law and Public Safety; Department of
Corrections; State Parole Board; Office of the Public Defender;
Counties; Municipalities.
Office of Legislative Services Estimate
Annual Fiscal Impact
State Expenditure Increase Indeterminate
State Revenue Increase Indeterminate
Local Expenditure Increase Indeterminate
Local Revenue Increase Indeterminate
The Office of Legislative Services (OLS) concludes that establishing and upgrading certain
crimes related to retail theft and sentencing certain defendants to extended prison terms may
result in an indeterminate annual increase in State and local expenditures and revenues. The
OLS lacks sufficient information to quantify the fiscal impact, as it is not possible to estimate
the number of crimes likely to be committed under the provisions of this bill or how many
persistent offenders will be sentenced to extended prison terms.
The OLS finds that the following State and local agencies may incur caseload and expenditure
increases: a) the Department of Law and Public Safety may have to prosecute additional cases;
b) county prosecutors may also have to prosecute additional cases; c) the Judiciary may have
to adjudicate additional complaints and monitor additional probationers; d) the Office of the
Public Defender may have to represent additional low income defendants; e) the Department
of Corrections may have to house and care for additional offenders for routine and extended
prison sentences; and f) the State Parole Board may have to supervise the return to society of FE to A4755 [1R]
2
additional offenders. In addition, the Department of Law and Public Safety may establish a
special unit or task force to combat retail theft.
The OLS notes that the State may receive indeterminate revenues from regular and enhanced
fines imposed on individuals convicted of these crimes; however, the State’s ability to collect
fines has historically been limited.
The bill establishes the offense of fostering the sale of stolen property as a disorderly persons
offense. Annual local expenditures and revenues are likely to increase as disorderly persons
offenses are adjudicated in municipal courts and defendants are sentenced to county jails.
Generally, a presumption of non-incarceration applies to first time offenders. Annual
municipal revenue would likely increase due to an increase in court filing fees and penalties
from these disorderly persons cases.
BILL DESCRIPTION
The bill establishes that it is aggravated assault to assault an employee of a store or other retail
mercantile establishment, which is a crime of the third degree if the victim suffers bodily injury;
otherwise, it is a crime of the fourth degree. A crime of the third degree is punishable by three to
five years imprisonment, a fine of up to $15,000, or both. A crime of the fourth degree is
punishable by up to 18 months imprisonment, a fine of up to $10,000, or both.
The bill establishes a crime of the second degree if any portion of a tax, fee, penalty, or interest
required to be paid was accrued through conduct as a leader of an organized retail theft enterprise,
otherwise it is a crime of the third degree. Relatedly, the bill clarifies that a person is guilty of a
crime of the second degree if the taxes the person failed to turn over to the Division of Taxation
were collected or withheld as part of an organized retail theft enterprise. A crime of the second
degree is punishable by five to 10 years imprisonment, a fine of up to $150,000, or both.
The bill provides that a person may be sentenced to an extended term of imprisonment for
repeat convictions related to retail theft. A person is a persistent offender if the person has
previously been convicted on two or more prior and separate occasions of receiving stolen
property, shoplifting, or being a leader of organized retail theft enterprise, or theft that involves
the stealing of merchandise, regardless of the dates of the convictions. A persistent offender may
be sentenced to an extended prison term, upon motion of the prosecutor, if the prior conviction
was for a crime committed on a separate occasion and the crime for which the person is being
sentenced was committed either: (1) within 10 years of the date of the defendant’s last release from
confinement for the commission of any crime; or (2) within 10 years of the date of the commission
of the most recent violation of a crime established in the bill for which the defendant has a prior
conviction.
The bill provides the value of the merchandise involved in a violation or in multiple violations
may be aggregated in determining the grade of the offense regardless of the time-period over which
the scheme or course of conduct took place, or were committed in furtherance of or in conjunction
with an organized retail theft enterprise.
The bill updates the fencing statute to clarify that the statute also applies to online sales of
stolen goods. The bill also separately establishes the offense of fostering the sale of stolen
property, which is a disorderly persons offense. A disorderly persons offense is punishable by up
to six months imprisonment, a fine of up to $1,000, or both. FE to A4755 [1R]
3
The bill imposes certain packaging and consumer notice requirements for the sale of gift cards
and requires the Division of Consumer Affairs in the Department of Law and Public Safety to
create a notice related to gift card fraud for dissemination in locations that sell gift cards.
The bill also establishes requirements related to third-party gift card resellers. These resellers
are subject to certain record maintenance requirements.
Finally, the bill requires the Office of the Attorney General to undertake steps as deemed
appropriate to promote the effective investigation, prosecution, and deterrence of organized retail
theft in this State, which may include establishing a unit, task force, or other appropriate office or
initiative to combat organized retail theft. The bill appropriates $1 million to the Department of
Law and Public Safety to effectuate the provisions of this bill.
FISCAL ANALYSIS
EXECUTIVE BRANCH
None received.
OFFICE OF LEGISLATIVE SERVICES
The OLS concludes that establishing and upgrading certain crimes related to retail theft and
sentencing certain defendants to extended prison terms may result in an indeterminate annual
increase in State and local expenditures and revenues. The OLS lacks sufficient information to
quantify the fiscal impact, as it is not possible to estimate the number of crimes likely to be
committed under the provisions of this bill or how many persistent offenders will be sentenced to
extended prison terms. Generally, a presumption of non-incarceration applies to first time
offenders of crimes of the fourth degree and third degree.
The bill appropriates $1 million to the Department of Law and Public Safety to undertake
appropriate steps for the deterrence of organized retail theft, which may include establishing a unit
or task force for the investigation and prosecution of such crimes in the State.
Among other provisions that could result in incarceration, the bill also provides that a person
may be sentenced to an extended term of imprisonment for repeat convictions related to retail theft.
As of January 1, 2024, the State prison facilities had a total of 472 individuals incarcerated for
property offenses, which include burglary, arson, theft, forgery, embezzlement, and receiving or
possessing stolen property. The Department of Corrections does not provide data separated by
offense. This number also does not account for the aggravated assault of an employee at a retail
mercantile establishment under the provisions of this bill, which may be covered under the “violent
offenses” category presented in department’s 2024 Population Characteristics Report. The OLS
notes that to the extent the bill results in additional incarcerations, the Department of Corrections
would incur those extra costs. Based on information provided by the department, the FY 2023
average annual cost for housing, ensuring security, and providing services to an incarcerated
individual was $75,574, with an average daily cost of $207.
The OLS finds that expenditures are likely to increase at the local level since disorderly persons
offenses are adjudicated in municipal courts and defendants are sentenced to county jails.
According to information provided by the Administrative Office of the Courts, the median daily
cost to house an inmate in a county jail is $228. Annual municipal revenue would also likely
increase due to an increase in court filing fees and penalties from these disorderly persons cases.
FE to A4755 [1R]
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Section: Judiciary
Analyst: Anuja Pande Joshi
Senior Fiscal Analyst
Approved: Thomas Koenig
Legislative Budget and Finance Officer
This legislative fiscal estimate has been produced by the Office of Legislative Services due to the
failure of the Executive Branch to respond to our request for a fiscal note.
This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).