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State behind on payments for inmate housing
By Cumberland Times-News
Published: 03/15/2004

If the Allegany County (Md.) Detention Center was a business, this would be called an accounts receivable problem. They're not getting paid for services rendered.
Through an agreement with county governments and a change in state law in 1986, Maryland Department of Corrections reimburses local detention centers half of the cost to incarcerate state prisoners with sentences of three to 12 months in local prisons.
Michael Sanderson, legislative director for the Maryland Association of Counties, said that across the state, reimbursements for fiscal 2004 should be about $21 million, but only $16.5 million was put into the budget. The deficit in reimbursement is continuing to grow as each year's deficit only adds to the next year's. The current shortfall to fully reimburse local detention centers is $13 million.
Capt. Lee Cutter with the Allegany County Detention Center said, "Last year, the state shortchanged me $133,000, but then I was paid this year."
Sanderson said reimbursements for fiscal 2002 were paid out of fiscal 2003 funds and fiscal 2003 reimbursements were paid out of fiscal 2004 funds.
State law in the criminal code sets forth an exact calculation for how local detention centers should be reimbursed and sets a timetable for quarterly distributions, but the Department of Corrections did not fully fund its reimbursements in fiscal 2003 and 2004. So far, it does not look as if it will be fully funded in the fiscal 2005 budget either.
Allegany County Commission President Jim Stakem said during a recent meeting, "They (the detention center) were getting so much for state prisoners and now they're not. Well guess who's going to have to make it up?"
"The department has insisted they are not shirking their responsibilities. They just don't have the money to make the reimbursements," said Sanderson.
While the growing delays cause problems for Cutter as he plans a budget for the detention center, he said, "Have they always paid me? Yes, they have."
However, he cautions that he has a worst-case scenario budget if the reimbursements don't come through and is looking for other options to generate revenue.
Sanderson said that the counties are "at the state's mercy" in this situation. The counties can't reject state prisoners even if the state is not paying its bills, though he agrees that the state violating its own law gives the counties "practical leverage."


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