Colorado is seeing record levels of retail theft, according to a new report released by the Common Sense Institute of Colorado.

It found the state has lost an estimated $1.3 billion in stolen goods, not to mention the deep impacts on Colorado’s overall economy, job market and tax revenue.

Mitch Morrissey, crime fellow for the institute and one of the report’s authors, told The Center Square in an exclusive interview that this is an issue that impacts all Coloradans, even if they don’t know it.

“The average Coloradan should care about organized retail theft because they are paying for it,” Morrissey explained. “Retailers are forced to increase the cost of goods and merchandise to the consumer to cover the losses generated by organized retail theft.”

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Additionally, businesses are forced to cover the expense of increased security, which is another cost passed on to the consumer.

As Morrissey highlighted, the report found that organized shoplifting is hurting Colorado businesses more than personal use retail theft. In organized crimes, individuals or groups work together to steal from retail centers and then resell the items.

“Retail theft in Colorado is no longer an isolated criminal concern, but an economic one,” the report said. “The data shows that shoplifting and organized retail crime are rising at a pace that directly affects Colorado’s workforce, households and public finances.”

Overall, the report found that retail theft has reached record high numbers in the state. In 2024, law enforcement agencies across the state recorded 27,094 reported shoplifting incidents. That is up 22.4 percent just from 2023 and an increase of nearly 10 percent from 2014. This is a reverse from the trend of the past few years when retail thefts were trending down significantly.

Yet this might not even be the whole picture. Like many other crimes, shoplifting is often chronically underreported, sometimes as much as 89 percent.

“This suggests the true number of theft events in Colorado is double what official data currently capture, closer to 51,228 statewide,” the report stated.

This retail theft has many impacts on Colorado and its citizens. While shoplifting accounts for $1.3 billion in losses, the report found that Colorado businesses in 2022 lost an additional $1.4 billion in return fraud and related retail scams. That pushes total retail losses to as much as $2.69 billion in just one year.

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The study predicts this will have a significant impact on Colorado’s gross domestic product and total economic output. Between 2026 and 2030, its model (which used 2022 loss estimates) predicts a decline in GDP of nearly $1.5 billion and in total economic output of $2.5 billion.

It anticipates other areas will also feel the effect of these economic losses.

“Employment would fall by 8,485 jobs in 2026 alone, with continued losses through 2030 as population and labor force growth slow,” Morrissey said. “Retail theft and fraud cost the state of Colorado approximately $78 million in lost sales tax revenue in 2022 — funds that would have otherwise supported essential public services and infrastructure.”

Morrissey said he does not expect to see a decline in retail theft unless real action is quickly taken.

“This trend will continue unless there is a change in the theft statutes through legislation or ballot initiative,” he said.

He did propose one potential solution to the growing problem, though.

“The state should adopt Initiative No. 155, Definition and Sentencing for Theft, to more effectively respond to rising rates of retail and property crime,” Morrissey argued. “The measure, approved, introduces higher classifications for repeat and large-scale offenses and establishes limited mandatory minimum sentencing for chronic offenders.”

Currently only theft of $2,000 or more constitutes a felony in Colorado. This is not sufficient to prevent chronic and coordinated crimes that are often utilized by organized retail crime rings, the report argued. Morrissey explained increasing penalties could have a real impact.

“Strengthening theft statutes in this manner would enhance retail security, reduce economic losses to local businesses, and restore public confidence in the justice system’s capacity to address property crime,” he said.