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Previous research has emphasized that the accuracy and utility of official crime statistics hinge on the capacity and willingness of law enforcement to identify and report criminal activity. Scholars have also highlighted the importance of police bias units, proposing them as an effective response to hate crime victimization. Building on this framework, the present study examines the role of police bias units as a critical factor in hate crime reporting. To this end, we analyze a restricted version of the National Crime Victimization Survey from 2005 to 2015, merged with data on the presence of police bias units. The results from regression models indicate that a higher number of police bias units within a county is positively associated with an increased likelihood of hate crime reporting. Moreover, the effect of police bias units is particularly pronounced in areas characterized by higher levels of social disadvantage and racial inequality. Notably, with an initial increase in the number of police bias units, hate crime victimization aligns more closely with official hate crime statistics. These findings carry important policy implications, underscoring the vital role of police bias units in enhancing hate crime reporting and identifying communities where their effects are especially prominent.