Beyond the Standard Rate: How Core+™ Transforms Federal Detention Negotiations

Federal Reimbursement: How Core+ Secures Fair Per Diem Rates

For local jails housing federal detainees, the per diem rate paid by a federal agency is much more than a line item. It is the foundation of sustainable operations, determining whether a facility can cover its true costs or must absorb the gap between federal reimbursement and actual expenditure. Yet for too long, sheriffs have been asked to accept rates calculated behind closed doors, using formulas that feel opaque and unassailable.

JailGeek’s FairRate™ platform was built to change that. By utilizing proprietary algorithms and comprehensive cost analysis, FairRate™ transforms how local facilities negotiate federal reimbursement rates, analyzing budget history, staffing levels, medical services, and other expenses with mathematical precision to determine optimal reimbursement rates. It gives local sheriffs something they never had before: a clear, defensible picture of their true operational costs.

Core+™ represents the natural evolution of that mission.

Pulling the Curtain Back on the Federal Formula

Where FairRate™ provides the foundation, Core+™ takes the next critical step: revealing another technique used by the federal government to determine the per diem rate paid to a local jail. JailGeek has reverse engineered the formula that the U.S. Marshals Service (USMS) uses to calculate presumptive per diem rates, giving sheriffs unprecedented insight into how federal agencies will evaluate their cost data.

The USMS utilizes a “core rate” determination which incorporates geographically specific wage information, facility capacity analysis, staffing requirement calculations, and regional cost adjustments. Without visibility into that process, local facilities have historically negotiated at a disadvantage. They could present their costs, but they could not see how those costs would be measured against the federal government’s own internal calculations or how federal reimbursement rates were ultimately determined.

Core+™ bridges that gap. It incorporates the same data sources and calculation methods that federal agencies use, allowing sheriffs to understand not just what they spend, but how that spending aligns with or diverges from federal expectations. When a sheriff submits a rate request supported by FairRate™ data and analyzed through Core+™, both sides of the table are finally working from the same playbook.

Building a Per Diem Rate Strategy

The true power of Core+™ lies in its ability to transform raw data into actionable negotiation strategies. Many facilities have access to rate comparison tools that show what other jails are paid. Few have tools that analyze the methodology behind those rates and identify specific opportunities for adjustment.

Core+™ provides differential analysis that identifies discrepancies between federal calculations and your facility’s actual costs, highlighting precisely where presumptive rates fall short of documented expenses. It pinpoints adjustment opportunities where federal formulas may fail to capture legitimate costs, from healthcare delivery and mental health services to transportation logistics and facility depreciation. These are not minor omissions. In documented cases, they represent tens of thousands of dollars in annual underpayment.

The system also enables comparative benchmarking, showing how similar facilities in your region compare to federal rate expectations and providing essential context for your own negotiation position. If facilities of comparable size and scope are securing higher rates, Core+™ helps you understand why and what factors support adjustment. Historical performance tracking reveals how federal rate calculations have evolved over time, informing future negotiation timing and strategy.

Strengthening Your Federal Reimbursement Negotiation Position

The ultimate value of Core+™ lies in what it enables: a stronger, more defensible negotiation position. Armed with detailed analysis, sheriffs enter discussions not as petitioners requesting favor, but as partners presenting documented evidence.

Justification reports translate complex operational data into clear, audit-ready narratives that align with federal cost principles. Cost variance identification offers clear evidence of areas where federal formulas fall short of actual costs. When a federal negotiator asks why your requested rate exceeds the presumptive calculation, FairRate™ data analyzed through Core+™ provides the answer.

Negotiation scenario modeling allows facilities to test different strategies and understand potential outcomes before entering discussions. What if you request a 10 percent increase? What if you present a full recalculation of staffing costs? Core+™ helps you understand the likely range of outcomes before you make the ask. And because all requests are verified against federal regulatory requirements, our solutions aim to help you demonstrate why a substantive per diem request is justified.

The Strategic Advantage

The difference between accepting a standard rate and securing a fully defensible one is rarely incremental. Facilities that transition from manual cost estimation to algorithmic, data-driven analysis have secured per diem increases of 20 to 50 percent or more, capturing hundreds of thousands of dollars in annual revenue that previously went unclaimed.

This is not about challenging federal methodology. It is about ensuring that methodology is applied accurately and completely to your facility’s unique operational reality. The USMS rate formula was designed to produce fair reimbursement when applied to accurate data. The problem has never been the formula. It has been the inability of local facilities to see themselves clearly within it.

FairRate™ provides the foundation: a comprehensive, defensible picture of your true costs. Core+™ provides the lens: the ability to see those costs through the federal government’s own methodology. Together, they transform negotiation from an exercise in persuasion into an exercise in documentation.

The Bottom Line for Facility Administrators

The federal detention landscape is evolving. USMS populations remain stable with robust funding, while ICE detention demands reach historic highs. In both scenarios, the common denominator is the need for precise, defensible cost documentation. The question is whether your facility has the data to access it.

FairRate™ and Core+™ transform complex operational costs into clear, audit-ready documentation that meets federal standards and aligns with agency methodologies. In an environment of increased scrutiny and expanded detention needs, data is your most powerful tool to secure the fair and justified reimbursement your facility deserves.

For sheriffs ready to move beyond standard rates and into strategic partnerships, Core+™ provides the insight, the analysis, and the evidence required to make the case. The methodology is established. The funding is available. The next step is ensuring your data tells your true story.

Scroll to Top