MISSISSIPPI LEGISLATURE
2019 Regular Session
To: Corrections
By: Representative Kinkade
AN ACT TO AMEND SECTION 47-5-1211, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT WHEN THE REQUIRED MINIMUM 10% COST SAVINGS THAT OCCURS WHEN THE DEPARTMENT OF CORRECTIONS CONTRACTS FOR THE PRIVATE INCARCERATION OF INMATES, SUCH SAVINGS MUST BE CALCULATED OVER THE LIFE OF THE CONTRACT; TO PROVIDE THAT COSTS SAVINGS ANALYSIS MAY TAKE INTO EFFECT SCHEDULED RENTAL PAYMENTS AND OPERATING PAYMENTS TO BE PAID OVER THE TERM OF THE CONTRACT; TO AMEND SECTION 47-5-1213, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT A CONTRACT FOR THE OPERATION, MAINTENANCE, CONSTRUCTION, PURCHASE AND/OR LEASE OF A FACILITY OR FOR THE INCARCERATION OF INMATES MAY BE ENTERED FOR A PERIOD NOT TO EXCEED 20 YEARS RATHER THAN FOR A PERIOD OF NOT MORE THAN 5 YEARS WITH AN OPTION TO RENEW; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 47-5-1211, Mississippi Code of 1972, is amended as follows:
47-5-1211. (1) A contract between the department and a contractor for private correctional facilities or services shall not be entered into unless the contractor has demonstrated that it has:
(a) The qualifications, experience and management personnel necessary to carry out the terms of the contract.
(b) The ability to expedite the siting, design and construction of correctional facilities.
(c) The ability to comply with applicable laws, court orders and national correctional standards.
(d) Demonstrated history of successful operation and management of other correctional facilities.
(2) A facility shall at all times comply with all federal and state laws, and all applicable court orders.
(3) (a) No contract between
the department and a contractor for private incarceration shall be entered
into unless the cost of the private operation, including the state's cost for
monitoring the private operation, offers a cost savings of at least ten percent
(10%), which shall be calculated over the life of the contract entered into
pursuant to Section 47-5-1213, to the department * * * for at least the same level and
quality of service offered by the department * * * and such costs savings
analysis may take into effect scheduled rental payments and operating payments
to be paid over the term of the contract.
(b) Beginning in 2012,
and every two (2) years thereafter, the Joint Legislative Committee on
Performance Evaluation and Expenditure Review (PEER) shall contract with
a certified public accounting firm to establish a state inmate cost per day
using financial information of the department * * * for the most recently completed
fiscal year. The state inmate cost per day shall be certified as required by
this section. The certified cost in existence at the time a contract is
entered into pursuant to Section 47-5-1213 shall be used as the basis for
measuring the validity of the ten percent (10%) savings of the contractor costs
calculated over the term of the contract.
(c) Prior to engaging
a certified public accountant, the PEER Committee, in conjunction with the
department * * *, shall develop a current cost-based model, which may
take into effect scheduled rental payments and operating payments to be over
the term of the contract, that will serve as a basis for the report
produced as authorized by this section.
(4) The rates and benefits for correctional services shall be negotiated based upon American Correction Association standards, state law and court orders.
(5) For the purposes of this section, "department" means the Department of Corrections and "contractor" means any private entity authorized to do business in the state and meets the qualifications specified in this section.
SECTION 2. Section 47-5-1213, Mississippi Code of 1972, is amended as follows:
47-5-1213. (1) * * * A contract for the operation,
maintenance, construction, purchase and/or lease of a facility or for
incarceration of inmates therein * * *, entered into by the department
pursuant to Section 47-5-1211 may be for a period of not more than * * * twenty (20) years. * * *
Contracts for the lease of a facility shall provide that the contractor
shall convey the facility to the state, at the option of the state, for a total
consideration of One Dollar ($1.00). Any contract for housing shall be subject
to annual appropriation by the Legislature.
(2) For the purposes of this section, "department" means the Department of Corrections and "contractor" means any private entity authorized to do business in the state and meets the qualifications specified in Section 47-5-1211.
SECTION 3. This act shall take effect and be in force from and after July 1, 2019.