SB63 Alabama 2012 Session

Summary

Primary Sponsor

Arthur OrrSenator

Republican

Session

Regular Session 2012

Title

Corrections Department, prison industries, sale of products further provided for, operation of joint venture with private businesses, authorized, Secs. 14-7-7, 14-7-22 am'd.

Summary

SB63 authorizes the Department of Corrections to contract with private industry to run on-site work programs and expand prison industries for inmate training and rehabilitation, including how inmate-made products are sold.

What This Bill Does

The bill allows the department to form joint ventures with private individuals or companies to create on-site prison work programs and accept inmate labor for manufacturing or service provisions on department-owned facilities. Inmates participate voluntarily, must be informed of employment conditions, and must be paid at least the prevailing private-sector wage; earnings are collected by the department to cover confinement costs (up to 40% of gross earnings), with the remainder deposited to the inmate’s department account and potentially used for restitution. Products are marketed by private partners, not the department, and the contracts can include rental or lease of facilities with exemptions from certain bid laws. The act also requires annual reporting to the legislature, oversight review of contracts, and protections ensuring existing prison college programs are not reduced.

Who It Affects

• Inmates who participate in on-site work programs: participation is voluntary, they earn wages (not less than prevailing private-sector wages), and part of their earnings may be withheld for costs with the remainder credited to their account; earnings may also be used for restitution.
• Private-sector businesses and the Department of Corrections: may form joint plants or contracts to provide inmate labor or services, market products through private partners, manage facility rentals or land leases, and operate under exemptions from certain procurement laws and penalties; the arrangements are subject to oversight and reporting requirements.

Key Provisions

• Authorizes the DOC to contract with private entities to develop joint prison industry plants or facilities using inmate labor for manufacturing or services on Department property.
• Inmates may participate voluntarily after being informed of employment conditions and must be paid at least the prevailing private-sector wage; earnings are collected by the department up to 40% for confinement costs, with the remainder credited to the inmate’s account and potentially used for restitution; program compliance with the Federal Prison Industries Enhancement Act is required.
• Inmates in these programs are not considered state employees and are not eligible for state employee benefits; products produced are marketed by private partners, not the department.
• Contracts may include rental/lease arrangements for state buildings or land; exemptions from certain bid laws apply; the department and private partners are exempt from penalties of specific code sections.
• The act ensures no reduction in prison education and work programs at two-year colleges, with continuous funding for these programs.
• Annual reporting to the Joint Legislative Prison Committee and contract reviews by the Permanent Legislative Oversight Contract Review Committee are mandated.
• The act becomes effective immediately upon the governor’s approval.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Corrections Department