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AGENDA ITEM REPORT

Title: Report on Amendment to Regulation 1015 and Commission Procedure E-2, Maximum Reimbursement Rates
REPORT PROFILE
MEETING DATE
2/13/2020
BUREAU SUBMITTING THIS REPORT
Executive Office
RESEARCHED BY (PRINT NAME)
Maria Sandoval
REVIEWED BY (PRINT NAME)
REPORT DATE
12/13/2019
APPROVED BY
Manuel Alvarez, Jr.
DATE APPROVED
01/25/20
PURPOSE
Decision Requested
FINANCIAL IMPACT
Yes

ISSUE:
Should the Commission approve an increase to the agency reimbursement rate from $50.00 to $75.00 per day, and up to 800 hours, for the Regular Basic Course (RBC)?
BACKGROUND:

On July 1, 1994, POST established 664 hours as the minimum number of hours to cover required curriculum for the RBC.  A reimbursement rate of $50.00 per day for agency sponsored trainees up to 664 hours was also implemented at that time.  

For the proposed budget for FY 2019-20, POST submitted a Budget Change Proposal (BCP), which among other things, proposed an increase for local assistance/agency reimbursement for the RBC at a rate of $75.00 per day, up to 800 hours.  The BCP indicated that under this proposal, RBC reimbursement could result in expenditures of no more than $7.5M.  The BCP was approved and the FY 2019-20 budget was ultimately enacted.

 

ANALYSIS:

The cost of living index has increased over the years.  The agency reimbursement rates for the RBC have not been adjusted since 1994, nor have the number of reimbursable training hours changed since that time.  As a point of reference, the lowest number of training hours currently offered by a POST academy is 720 hours, with the highest academy at 1240 hours.

The current maximum reimbursement stands at $4,150.00 per recruit (664 hours / 8 hours per day X $50.00 = $4,150.00).  If approved by the Commission and the Office of Administrative Law, the new maximum reimbursement would be $7,500.00 per recruit (800 hours / 8 hours per day X $75.00 = $7,500.00).

An increase of $25.00 for a total of $75.00 per day, and for up to 800 hours of training, will be more reflective of the training costs for the RBC.  It will increase a rate which has not been adjusted for 25 years.

RECOMMENDATION:
POST staff recommends an increase in the local reimbursement rate for the RBC from $50.00 to $75.00 per day, and for up to 800 training hours.
 
ATTACHMENT(S):
Name: Type:
Text_of_Proposed_Regulatory_Action_1015.pdf Cover Memo