Organized Retail Crime, Internet Lottery, Credit Card Fees, Overtime Pay Change

November 21, 2024

Organized Retail Crime

Last week we saw some favorable progress on several pieces of legislation we support. The Assembly Public Safety & Preparedness Committee unanimously passed the new bill to crack down on organized retail crime (ORC). The bill is structured to go after the growing threat of organized criminal operations which hire people to loot as much as possible from retailers, then resell the items at flea markets and through online platforms. 

As we testified to the Committee, the cost of these crimes isn’t just the value of the stolen goods, for small businesses it’s a time cost–time spent talking to police, talking to the insurance company, inventorying what was stolen, getting it reordered and restocked, potentially being closed for some amount of time if there was damage to shelves or the doors and windows. All of that is time not spent managing the day-to-day of the business, growing the business, or spending time with your family.

Other states have been moving to get more aggressive on law enforcement. Philly and NYC are moving to address the issue with greater law enforcement and new legislation, which also means there is a concern that New Jersey will become the path of least resistance for these criminals. 

Just two weeks ago, voters in California approved a ballot initiative to increase charges for repeat offenders caught for theft, it received 69% of the vote even as Harris won 59%. San Francisco’s Mayor only got 24% of the vote in her losing reelection bid, and voters in Los Angeles turned out their District Attorney while Oakland voters recalled their Mayor and District Attorney–all lost to opponents promising to be tougher on crime and law enforcement. Arizona voters passed a referendum that would let businesses get a partial refund on their property taxes if local governments don’t enforce the laws, especially on homelessness, loitering, and vagrancy. 

The fact that our NJ bill passed unanimously with wide bipartisan praise shows our legislators are learning the lessons of the recent election and taking action against any perception of lawlessness. 

Has your business been the victim of one of these smash-and-grab crimes? It would be great to share your story at the next Committee hearing on this bill, please reach out to us with the details.

You can read our comments HERE. Reach out to Eric@njgca.org with any questions 

Internet Lottery

Last week we also saw progress on the bill we have supported to formally enshrine in law explicit language prohibiting the State Lottery Commission from selling tickets online, directly to consumers. When the Lottery Commission approved regulations giving themselves the power to license and regulate themselves as a retailer, they had originally planned to launch their sales right around now. Currently though, they have no plans to move forward with these plans, no doubt because of our strong opposition, and the opposition of a wide coalition of business groups and the bipartisan support of numerous legislators. If they do move forward, it would mean that retailers’ supplier, distributor, regulator, and chief advertiser would become their competitor.

The bill was approved unanimously by the Assembly Regulated Professions Committee. You can read our testimony in support of the bill HERE and reach out to Eric@njgca.org for more info.

Credit Card Fees

Last week we also traveled for the day down to DC to meet with our Senators in promotion of the Credit Card Competition Act, which we are hoping will get a vote as part of the lame duck session of Congress, before they adjourn and leadership changes in the Senate. The effort has been going on for more than a decade, and there is strong bipartisan support, including from Vice President-Elect JD Vance. 

Just this Tuesday, the Senate Judiciary Committee held a hearing into Visa and MasterCard’s business practices, which have been gouging retailers for decades. Senators from both parties are finally aware of how bad the situation is for retailers and how these two companies have come to take advantage of retailers of all sizes. It comes after the Department of Justice issued a report blasting Visa’s business practices, and the Wall Street Journal wrote a lengthy report on the ways Visa has worked to pay off and suffocate potential competitors over the years. 

Visa and Mastercard control 80% of the market and set their rates at whatever they like, knowing no modern retailer can afford to stop accepting credit cards. Credit card fees are seven times higher in the US than they are in Europe, and Visa and Mastercard casually mentioned under questioning that their profit margins are over 50%! 

Overtime Rule Suspended by Court

As we warned last week may happen, the planned increase in the overtime threshold has been put on hold, likely permanently, by a judge in Texas. Last week we mentioned that on January 1st an overtime exempt employee would have to be paid at least $1,128 a week ($58,656) to remain exempt.

Not only will the additional increase not go into effect on January 1st, but the previous increase from July 1st has been struck down, lowering the overtime threshold down to $684 a week ($35,568 a year). 

It is not yet clear whether the Biden Administration will appeal, though the most likely outcome is that they will, only for the appeal to be dropped after January 20th when the second Trump Administration begins. Virtually the same circumstances happened eight years ago, when a broad increase by the Obama Administration was struck down in the final days of the Administration. The Trump DOL did decide to increase the threshold anyway, but to a much lower number. It’s possible we may see that repeated, that the new Dept. of Labor will increase the threshold but only to the July 1st $844 level which has already been in effect. 

Feel free to reach out to Nick@njgca.org 732-256-9646 anytime with questions.

Reminder: EVR ACO Deadline Effectively this Tuesday 11/26

In case you missed it, if you have a gas station that is not currently in compliance with the EVR mandate, make sure to read this special alert we sent out earlier in the week by clicking HERE. 

Basically, while the deadline to be in compliance remains December 23rd, the DEP is willing to make some accommodations for stations that will not have their equipment installed in time, but because of the logistics for them of creating those “administrative consent orders”, you will need to have your request in by December 1st. Making it even more difficult, December 1st is the Sunday after Thanksgiving. As a practical matter, most state employees will be off from Wednesday afternoon through Monday the 2nd, so we recommend you make sure to reach out ASAP. Even if you are scheduled to have your upgrades done between now and 12/23, it may be worth your time to reach out for an ACO just in case. If your contractor suddenly gets delayed and you wind up missing the deadline, even by just a few weeks, DEP has made clear they are not willing to hear any excuses or show any mercy. 

Again, make sure to read the above linked message for more details and feel free to contact Nick at Nick@njgca.org or call us at 732-256-9646 with any questions.

Rack Averages

News Worth Knowing:

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Available Real Estate

Medford, New Jersey

Gas station for sale or lease.  103 Taunton Rd., Medford, NJ 08055

This is a functioning gas station at a signalized and very busy signalized corner of Medford, a higher-income community in south Jersey and near Philadelphia. 

The building has about 1250 sf and is situated in 0.45 acres.  It consists of the land, gas station, and a rented two-bay auto repair shop. Shop income is about $48,000 per year, and property taxes are about $8145 annually. 

The gas station has three underground tanks: 12,000 gallons for regular, 4,000 gallons for premium, and 4,000 gallons for diesel. Tanks are double-hull fiberglass from 2009, fully inspected and functional.  Gas is currently unbranded.  

The property has strong development prospects, so an owner-user can operate it until s/he decides to develop it – or not.   A tenant can rent only the gas function. Lease with option to buy is a possibility.  

Please call Theodore Vakrinos at 703-768-8580 landline, 703-7317302 cell;  or email at tvakrinos@gmail.com

Do you have an advertisement or classified listing you’d like to submit? 

Contact us at info@njgca.org with the details and your request. 

Station for Sale

Thriving High Profit Gas/Service Station close to Major Highway in Prime Location. 

This Exclusive Gas Station is the Sole Provider in the entire town, achieving a remarkable fuel profit of up to and sometimes over 1$ a gallon. Consistently selling 45,000 gallons monthly. Most fuel customers come from Highway so fuel prices do not have to be competitive. 

Also included with the Property is a Reputable High End Auto Repair Facility. Repair shop has all required Specialty and Diagnostic Tools for servicing mostly High End Vehicles. Advertising is no longer used do to an enormous Demand and large Customer Base. Repair Business has has potential for increased profitability and expansion, the business is open to experienced buyers for a possible partnership or profit sharing arrangement. Location is 1 out of 100. Fuel sales make 20-40K a month and repairs can do the same with the right operator. 

This one of a kind opportunity can include seller financing for those with High-Level Automotive or Gas Station Experience.

Contact Greg
908-291-7845

Cape Harbor Shell

**Price Reduction**

795 Route 109, Unit B, Lower Township, NJ, 08204

Contact: Jerry 609-425-8837 capeharborshell@comcast.net 

Click HERE to view listing

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