HB1759

HOUSE OF REPRESENTATIVES	H.B. NO.	1759
THIRTY-THIRD LEGISLATURE, 2026
STATE OF HAWAII

A BILL FOR AN ACT

relating to theft.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

SECTION 1. The legislature finds that the surge in theft perpetrated by organized retail crime rings is threatening communities and businesses. According to the National Retail Federation, "sixty-six per cent of retailers reported transnational organized retail crime involvement in thefts against their companies since 2024." The U.S. Department of Homeland Security estimates that $15 billion in state and federal tax revenue is lost due to organized retail crime. These crimes are not limited to impacting large department stores but also small businesses which comprise ninety-nine per cent of the business landscape in Hawaii.

To malicious actors, these crimes are considered low-risk and yield a high-reward. Fifteen states passed laws in 2025 to address the pervasive issue of organized retail crime. Hawaii, the state fourth most impacted by retail theft according to Forbes, needs to join this nationwide response to combat organized retail crime. The purpose of this Act is to create the offense of organized retail theft and provide penalties accordingly.

SECTION 2. Chapter 708, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

"§708- Organized retail theft. (1) For purposes of this section:

"Retailer" means a person or business that sells or facilitates the sale of merchandise to the public for use or consumption rather than for resale.

(2) A person commits the offense of organized retail theft if the person intentionally:

(a) Acts in concert with one or more persons to commit theft of merchandise from one or more retailers with intent to sell, exchange, or dispose of the merchandise for value; or

(b) Acts in concert with one or more persons to receive, possess, conceal, store, or purchase merchandise explicitly represented to the person as being merchandise stolen from a retailer.

(3) Violation of this section is:

(a) A Class C felony if the value or aggregate value of the merchandise involved in the act is $200 or more but less than $750; or

(b) A Class B felony if the value or aggregate value of the merchandise involved in the act is $750 or more.

(4) Violation of this section described in subsection (3) is increased to the next higher category of offense if the person recruits, coordinates, organizes, supervises, directs, manages, or finances one or more persons to engage in an act described in subsection (2).

(5) There is to be established an organized retail theft task force under the department of the attorney general.

(a) The task force shall consist of no more than fifteen members and shall include:

(i) Four members appointed by the governor, one of whom shall be an individual who represents state or local law enforcement;

(ii) President, or their designee, of the Chamber of Commerce Hawaii;

(iii) President, or their designee, of the Retail Merchants of Hawaii;

(iv) Prosecuting Attorney, or their designee, for the City and County of Honolulu;

(v) Prosecuting Attorney, or their designee, for the County of Maui;

(vi) Prosecuting Attorney, or their designee, for the County of Kauai; and

(vii) Prosecuting Attorney, or their designee, for the County of Hawaii.

(b) Appointments to the task force shall be made by the appointing authority no later than sixty days after the effective date of this Act.

(c) The members of the task force shall serve without compensation. No member of the task force shall be made subject to section 84-17, solely because of that member's participation on the task force. The task force shall be exempt from chapter 92.

(d) The task force shall submit a report of its findings and recommendations, including any proposed legislation, to the legislature no later than twenty days prior to the convening of the regular session of 2027."

SECTION 3. This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.

SECTION 4. New statutory material is underscored.

SECTION 5. This Act shall take effect upon its approval.

INTRODUCED BY:	_____________________________