AK HB402

Authorizes the Department of Corrections commissioner to establish a voluntary correctional industries program and enter contracts with public agencies, private organizations, or individuals for prisoner employment in services or production.

Creates a four-member Correctional Industries Board consisting of the labor commissioner (or designee), corrections commissioner (or designee), and two organized labor representatives appointed by the governor to provide policy direction and approve contracts.

Requires board approval for all correctional industries contracts and mandates the board hold public hearings to receive testimony before making recommendations on establishing, expanding, or discontinuing programs.

Prisoners employed under the program may receive compensation at rates determined by the commissioner, with work under private contracts requiring minimum wage under AS 23.10.065 and allowing the commissioner to deduct confinement costs up to the statewide average.

Allows the Department of Corrections to receive and retain money from correctional industries contracts as special receipts, and permits state agencies to procure products and services from prisoner employment without competitive bidding.