HB262 Summary

• Amends Sections 14-7-7 and 14-7-22 of the Code of Alabama 1975 to authorize the Department of Corrections Commissioner to contract with private individuals, enterprises, partnerships, or corporations to develop joint manufacturing and service operations on prison property.

• Requires inmate participation in private industry work programs to be voluntary and limits facilities to property owned or operated by the department or prison facilities housing sentenced inmates.

• Mandates participating inmates earn not less than prevailing wage for similar private sector work, with earnings paid directly to the department and withheld costs for incarceration not exceeding 40 percent of gross earnings.

• Exempts the Department of Corrections and contracting parties from competitive bid laws for rental or lease agreements, and exempts them from penalties under Sections 14-5-2 and 14-7-22 related to prisoner-made product sales.

• Requires all contracts or agreements to be competitively bid and prohibits private companies from being considered employees or entitled to state employee benefits; private parties must market all products produced.