Report 2009-107.2 Recommendation 10 Responses

Report 2009-107.2: California Department of Corrections and Rehabilitation: Inmates Sentenced Under the Three Strikes Law and a Small Number of Inmates Receiving Specialty Health Care Represent Significant Costs (Release Date: May 2010)

Recommendation #10 To: Corrections and Rehabilitation, Department of

To better communicate to policy makers the annual cost of incarceration, and to provide a more accurate estimate of expenditures associated with changes in the large leave balances of custody staff—many of whom require relief coverage when they are absent—Corrections should provide a calculation of the annual increase or decrease in its liability for the leave balances of custody staff to better explain the cause of changes in expenditures to the relevant legislative policy and fiscal committees.

Annual Follow-Up Agency Response From November 2015

Each year, CDCR's Budgets Management Branch must submit its overall budget projections to both the Legislative Finance Committee and the Department of Finance for review and approval before including into the final annual Governor's Budget. For these expenditure projections, CDCR's Budgets Management Branch completes detailed calculations including vacant position coverage and custody leave coverage, and associated salary increases as part of the overall Salaries and Wages line item category. The Salaries and Wages projections are part of the overall CDCR budget projections submitted for approval into the final annual Governor's Budget. The attached spreadsheet outlines the detailed calculations supporting the summary line items on the Governor's Budget submittal.

Overall, for FY 14-15, leave liability for all "custody classifications", which we interpreted as BU6 staff, decreased by $70.2 million or 9.1% from June 30, 2014 to June 30, 2015. (detail by month attached)

California State Auditor's Assessment of Annual Follow-Up Status: Fully Implemented

Annual Follow-Up Agency Response From October 2014

Overall, leave liability for all "custody classifications", which we interpreted as BU6 staff, decreased by $64.7 million or 7.7% from June 30, 2013 to June 30, 2014. (detail by month attached via email)

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented

Corrections does not indicate whether it plans to provide the estimate to the relevant legislative policy and fiscal committees.

Annual Follow-Up Agency Response From October 2013

CDCR's Budget Management Branch is currently relying on monthly MIRS reports to track leave balance liability by Classification. An annual MIRS report of accumulated leave balances for custody staff will be submitted in October 2013 and for the period ending June 30 every year thereafter beginning in 2014.

Further, the relief formula approved through CDCR's Blueprint is based off of a blend of leave usage and accrual. CDCR's Division of Adult Institutions has submitted a relief increase Budget Concept Proposal for Fiscal Year 14/15 for Relief factor that is based solely on leave usage. Our intent is to continue to track the leave usage and accruals of CDCR custody staff to determine the most effective means of controlling future liabilities while maintaining institution security and fiscal responsibility.

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented

Corrections states that its budget management branch is relying on monthly reports to track leave balance liability and will submit an annual report of accumulated leave balances for custody staff in October 2013 and for the period ending June 30 every year thereafter beginning in 2014. Corrections also states that their intent is to continue to track the leave usage and accruals of custody staff to determine the most effective means of controlling future liabilities while maintaining institution security and fiscal responsibility. When asked for evidence to substantiate its claim of full implementation of the recommendation, Corrections provided support showing that it is capturing monthly leave data totals for the entire department. However, its support did not separate leave balances for custody staff and Corrections did not provide the annual report it references in its update. Additionally, Corrections did not address whether it plans to provide a calculation of the annual increase or decrease in its liability for the leave balances of custody staff to better explain the cause of changes in expenditures to the relevant legislative policy and fiscal committees.

Annual Follow-Up Agency Response From September 2012

Through the Management Information Retrieval System (MIRS), the CDCR has the ability to calculate accumulated leave balances of custody staff. The department is currently producing monthly reports of current leave balances. However, projecting how or when leave balances are used or compensated is very challenging.

California State Auditor's Assessment of Annual Follow-Up Status: Not Fully Implemented

All Recommendations in 2009-107.2

Agency responses received after June 2013 are posted verbatim.