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Lawmakers acted in response to a public outcry over crime and concerns that arose from a criminal justice overhaul approved last year.
Walker, an independent, says the new measure is a first step in returning important tools to law enforcement.
The bill changes presumptive sentencing ranges for Class C felonies. First offenses change from a probationary sentence to a jail term of zero to 2 years.
The law creates a new graduated sentencing structure for theft of property valued at less than $250.
Violating conditions of release returns the offense to a misdemeanor and clarifies that a person may be arrested and held until bail is set on the new offense.