REPORT TITLE:
Private Correctional Facility


DESCRIPTION:
Authorizes the governor to negotiate for the development of a
private correctional facility capable of housing both minimum and
medium security inmates to be situated on lands identified as a
portion of TMK 1-6-001-025 and 1-6-001-002.  Appropriates funds
for the preparation of an environmental impact statement for the
development of the private correctional facility.  (SB2433 HD2)

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                                                        2433
THE SENATE                              S.B. NO.           S.D. 2
TWENTIETH LEGISLATURE, 2000                                H.D. 2
STATE OF HAWAII                                            
                                                             
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                   A  BILL  FOR  AN  ACT

RELATING TO PRISONS.



BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 1      SECTION 1.  The legislature finds that due to public support
 
 2 for mandatory sentences and longer terms of imprisonment,
 
 3 Hawaii's correctional facilities are being overwhelmed by
 
 4 inmates.  To address this issue in a manner that minimizes
 
 5 social, economic, and public safety problems, the State needs to
 
 6 look at innovative strategies to accommodate these inmates.
 
 7      One strategy is the design/build-lease/finance approach
 
 8 which has the potential to quickly deliver a quality facility
 
 9 that is built to standards with fixed up front costs.  This
 
10 approach:
 
11      (1)  Provides a single source of responsibility;
 
12      (2)  Reduces manager and administrative burdens;
 
13      (3)  Protects the owner from liability;
 
14      (4)  Reduces project delivery time;
 
15      (5)  Reduces design costs;
 
16      (6)  Provides on-target budget assurance;
 
17      (7)  Encourages inventive design solutions; and
 
18      (8)  Reduces project management stress.
 
19      Another innovative strategy is the lease/finance approach
 
20 using certificates of participation.  Under this approach:
 

 
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 1      (1)  The developer has total responsibility to construct the
 
 2           facility;
 
 3      (2)  Facilities financed with certificates of participation
 
 4           do not count against the State's constitutional debt
 
 5           and consequently, need not compete against other
 
 6           projects financed with general obligation bonds; and
 
 7      (3)  There is a permanent cap on any inflationary cost on
 
 8           the capital cost of facilities.
 
 9      Accordingly, the legislature finds that this strategy is
 
10 particularly well-suited for complex projects that need to be
 
11 completed efficiently and effectively by a developer with a
 
12 qualified team of experienced architects, engineers, contractors,
 
13 and subcontractors.
 
14      The legislature further finds that the State has an
 
15 opportunity to take advantage of these and similar innovative
 
16 strategies in developing a new correctional facility to address
 
17 prison overcrowding.
 
18      The purpose of this Act is to authorize the governor to
 
19 negotiate for the development of a new private correctional
 
20 facility.
 
21      SECTION 2.  Pursuant to section 353-16.35, Hawaii Revised
 
22 Statutes, the governor is authorized to negotiate with any person
 
23 for the development of a private correctional facility capable of
 

 
Page 3                                                     2433
                                     S.B. NO.           S.D. 2
                                                        H.D. 2
                                                        

 
 1 housing both minimum and medium security inmates to be situated
 
 2 on lands identified as a portion of TMK 1-6-001-025 and 1-6-001-
 
 3 002; provided that the facility shall:
 
 4      (1)  Have a capacity to accommodate a minimum of one
 
 5           thousand seven hundred live-in inmates;
 
 6      (2)  Offer an extensive rehabilitation and treatment program
 
 7           that addresses drug and alcohol abuse problems as well
 
 8           as concomitant behavioral problems such as spousal
 
 9           abuse;
 
10      (3)  Have sufficient classrooms to accommodate the
 
11           rehabilitation and treatment program; and
 
12      (4)  Offer a variety of correctional industry and
 
13           educational programs to ensure that when inmates are
 
14           released from the facility, they will successfully make
 
15           the transition back to society equipped with employable
 
16           skills;
 
17 provided further that      per cent of the facility's annual
 
18 operating budget shall be designated for rehabilitation and
 
19 treatment programs; and provided further that funds for program
 
20 personnel shall not be overly disproportionate to the funds for
 
21 programmatic services.
 
22      SECTION 3.  There is appropriated out of the general
 
23 revenues of the State of Hawaii the sum of $1 or so much thereof
 

 
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                                                        H.D. 2
                                                        

 
 1 as may be necessary for fiscal year 2000-2001 for the preparation
 
 2 of an environmental impact statement for the development of a
 
 3 private correctional facility as provided in this Act.
 
 4      The sum appropriated shall be expended by the department of
 
 5 public safety for the purposes of this Act.
 
 6      SECTION 4.  Any funds appropriated for the development of a
 
 7 new correctional facility may be used to match federal funds as
 
 8 may be available.
 
 9      SECTION 5.  This Act shall take effect upon its approval,
 
10 except that section 3 shall take effect on July 1, 2000.