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Duplicates/Conflicts with/Companion to/Relates to

SOURCES OF INFORMATION

LFC files

SUMMARY

Synopsis of Bill

HB 654 amends existing Section 33-8-12 NMSA to slightly expand the list of those who are considered to be a "qualified purchaser" for purposes of purchasing inmate goods or services produced by the Corrections Industries Division (CID) of the Corrections Department (CD). HB 654 expands the list of qualified purchasers to include a person, partnership, corporation or association that provides correctional services to the CD pursuant to a contract; and a person, partnership, corporation or association that houses inmates on behalf of the CD. HB 654 will allow the CID to sell inmate-made products and services to those private entities that are directly or indirectly providing correctional services to the CD or housing inmates on behalf of the CD.

Significant Issues

According to CD, HB 654 is of paramount importance to the agency and the CID. Only through a vigorous and viable corrections industries program is the department able to eliminate inmate idleness, teach inmates marketable skills and instill in them a work ethic. CD currently directly or indirectly contracts with private entities to house CD inmates. For example, CD contracts directly with Corrections Corporation of America to house female inmates. CD also indirectly contracts with Wackenhut Corrections, through Lea county and Guadalupe county, to house CD inmates. CID currently utilizes inmate labor to produce goods and services such as furniture, prison inmate uniforms, dairy products, printing services, as well as other goods and services. CID has historically been able to sell goods and services to other divisions of the CD and other governmental agencies which house CD inmates. With a large number of CD inmates now being housed by private entities, CID would like to have the ability to sell these private entities such goods as furniture, dairy products, and prison inmate uniforms which will be utilized and consumed by CD inmates and those persons housing them.

FISCAL IMPLICATIONS

According to CD, HB 654 will not increase costs to the agency. In fact, HB 654 may result in an increase to CID. CID is a self supporting division of the CD and needs to be able to sell such goods to private entities that house CD inmates in order to continue being self-sufficient.

ADMINISTRATIVE IMPLICATIONS

CD reports HB 654 will have little or no administrative impact upon the department in either the short or long term.

OTHER SUBSTANTIVE ISSUES

The current contracts with private entities do not have a clause which obligates the private entities to purchase goods and services from CID.

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