S*0182(Rat #0110, Act #0068 of 2007)  General Bill, By Fair, Campsen, 
Richardson, Hayes and Elliott

Similar(S 172)
 AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTIONS
 24-1-285 AND 24-1-290 SO AS TO PROVIDE THAT THE DEPARTMENT OF COMMERCE SHALL
 DEVELOP AND MAINTAIN A MARKETING PLAN TO ATTRACT PRIVATE SECTOR SERVICE
 BUSINESSES FOR EMPLOYMENT OF INMATES THROUGH THE PRISON INDUSTRIES PROGRAM
 UNDER CERTAIN CIRCUMSTANCES, TO PROVIDE THAT THE DIRECTOR OF THE DEPARTMENT OF
 CORRECTIONS MAY ENTER INTO CONTRACTS WITH PRIVATE SECTOR ENTITIES THAT ALLOW
 INMATE LABOR TO BE PROVIDED FOR PRISON INDUSTRY SERVICE WORK THAT INVOLVES
 EXPORTATION OF CERTAIN PRODUCTS UNDER CERTAIN CIRCUMSTANCES, AND PROVIDE THAT
 THE DIRECTOR OF THE DEPARTMENT OF CORRECTIONS SHALL DEDUCT CERTAIN AMOUNTS
 FROM THE GROSS EARNINGS OF AN INMATE ENGAGED IN PRISON INDUSTRY SERVICE WORK
 IN ADDITION TO ANY OTHER REQUIRED DEDUCTIONS. - ratified title

   12/13/06  Senate Prefiled
   12/13/06  Senate Referred to Committee on Corrections and Penology
   01/09/07  Senate Introduced and read first time SJ-108
   01/09/07  Senate Referred to Committee on Corrections and Penology
                     SJ-108
   01/23/07  Senate Committee report: Favorable with amendment
                     Corrections and Penology SJ-8
   01/31/07  Senate Amended SJ-34
   01/31/07  Senate Read second time SJ-34
   02/07/07  Senate Amended SJ-37
   02/07/07  Senate Read third time and sent to House SJ-37
   02/08/07  House  Introduced and read first time HJ-11
   02/08/07  House  Referred to Committee on Judiciary HJ-11
   05/16/07  House  Committee report: Favorable with amendment
                     Judiciary HJ-73
   05/22/07  House  Amended HJ-38
   05/22/07  House  Read second time HJ-40
   05/23/07  House  Read third time and returned to Senate with
                     amendments HJ-24
   05/30/07  Senate House amendment amended SJ-24
   05/30/07  Senate Returned to House with amendments SJ-24
   06/05/07  House  Concurred in Senate amendment and enrolled HJ-66
   06/07/07         Ratified R 110
   06/13/07         Signed By Governor
   06/15/07         Scrivener's error corrected
   06/18/07         Copies available
   06/18/07         Effective date 08/01/07
   06/18/07         Act No. 68

(A68, R110, S182)

AN ACT TO AMEND THE CODE OF LAWS OF SOUTH CAROLINA, 1976, BY ADDING SECTIONS 24-1-285 AND 24-1-290 SO AS TO PROVIDE THAT THE DEPARTMENT OF COMMERCE SHALL DEVELOP AND MAINTAIN A MARKETING PLAN TO ATTRACT PRIVATE SECTOR SERVICE BUSINESSES FOR EMPLOYMENT OF INMATES THROUGH THE PRISON INDUSTRIES PROGRAM UNDER CERTAIN CIRCUMSTANCES, TO PROVIDE THAT THE DIRECTOR OF THE DEPARTMENT OF CORRECTIONS MAY ENTER INTO CONTRACTS WITH PRIVATE SECTOR ENTITIES THAT ALLOW INMATE LABOR TO BE PROVIDED FOR PRISON INDUSTRY SERVICE WORK THAT INVOLVES EXPORTATION OF CERTAIN PRODUCTS UNDER CERTAIN CIRCUMSTANCES, AND PROVIDE THAT THE DIRECTOR OF THE DEPARTMENT OF CORRECTIONS SHALL DEDUCT CERTAIN AMOUNTS FROM THE GROSS EARNINGS OF AN INMATE ENGAGED IN PRISON INDUSTRY SERVICE WORK IN ADDITION TO ANY OTHER REQUIRED DEDUCTIONS.

Be it enacted by the General Assembly of the State of South Carolina:

Employment of inmates through the prison industries program

SECTION    1.    Chapter 1, Title 24 of the 1976 Code is amended by adding:

"Section 24-1-285.    (A)    The Department of Corrections, in conjunction with the Department of Commerce, shall develop and maintain a marketing plan to attract private sector service businesses for the employment of inmates through the prison industries program.

(B)    Prior to entering into new contracts and renewals of existing contracts with private sector service entities that want to hire inmates through the prison industries program, the Department of Corrections must provide public notice of its intention to establish or continue a prison-based industry at a particular facility and receive certification by the Department of Commerce that an unfair competitive wage disadvantage to the local economy is not created by each new contract for prison labor.

(1)    The public notice required in this subsection must be forwarded to a newspaper of general circulation in the county where the prison-based industry is or will be located, with a request that it be published at least once a week for two consecutive weeks. The notice must include a description of the work to be performed, the intent to contract for inmate labor, and provide that objections to the proposed hiring of prison labor may be filed with the Department of Commerce within thirty days of the last date that the notice appears.

(a)    The Department of Commerce must maintain a copy of any objections filed for a period of three years from the date that the objections were received.

(b)    Advertising costs associated with the publication of notice must be borne by the entity seeking to contract for prison labor.

(2)    The certification required by this subsection must be based upon objections to the establishment of a prison-industry program provided for in item (1).

(C)    No contract may be negotiated or executed prior to forty days after the last date that the notice required by subsection (A) appears. New contracts and renewals of existing contracts between private sector entities and the Department of Corrections must be negotiated in accordance with procedures established jointly by the Department of Commerce and the Department of Corrections. The procedures must be drafted to ensure fairness and consistency in establishing contracts with private sector entities seeking to establish or continue prison-based operations whenever the wage to be paid is less than the federally established minimum wage.

(D)    The marketing plan and the procedures for negotiating new contracts and contract renewals must be submitted to and approved by the Budget and Control Board prior to implementation. The Department of Corrections shall annually submit an audit report of the program to the Senate Corrections and Penology Committee and the House Medical, Military, Public and Municipal Affairs Committee. The provisions of the section may not be construed to apply to traditional prison industries as authorized in Section 24-3-320."

Employment of inmates for prison industry work that involves the exportation of products

SECTION    2.    Chapter 1, Title 24 of the 1976 Code is amended by adding:

"Section 24-1-290.    The Director of the Department of Corrections may enter into contracts with private sector entities that allow inmate labor to be provided for prison industry service work and export work that involves exportation of products. The use of inmate labor may not result in the displacement of employed workers within the local region in which work is being performed. Pursuant to this section, service work is defined as any work that includes repair, replacement of original manufactured items, packaging, sorting, recycling, labeling, or similar work that is not original equipment manufacturing. The department may negotiate the wage to be paid for inmate labor provided under prison industry service work contracts and export work contracts, and these wages may be less than the prevailing wage for work of a similar nature in the private sector. However, the Director of the Department of Corrections shall deduct the following from the gross earnings of the inmates engaged in prison industry service work in addition to any other required deductions:

(1)    If restitution to a particular victim or victims has been ordered by a court of appropriate jurisdiction, then twenty percent must be used to fulfill the restitution obligation.

(2)    If restitution to a particular victim or victims has not been ordered by a court of appropriate jurisdiction, or if the court-ordered restitution to a particular victim or victims has been satisfied, then twenty percent must be applied to the South Carolina Victim's Compensation Fund.

(3)    Thirty-five percent must be used to pay the prisoner's child support obligations pursuant to law, court order, or agreement of the prisoner. These child support monies must be disbursed to the guardian of the child or children or to appropriate clerks of court, in the case of court ordered child support, for application toward payment of child support obligations, whichever is appropriate. If there are no child support obligations, then twenty-five percent must be used by the Department of Corrections to defray the cost of the prisoner's room and board. Furthermore, if there are no child support obligations, then ten percent must be made available to the inmate during his incarceration for the purchase of incidentals pursuant to item (4). This is in addition to the ten percent used for the same purpose in item (4).

(4)    Ten percent must be made available to the inmate during his incarceration for the purchase of incidentals. Any monies made available to the inmate for the purchase of incidentals also may be distributed to the person or persons of the inmate's choice.

(5)    Ten percent must be held in an interest bearing escrow account for the benefit of the prisoner.

(6)    The remaining balance must be used to pay federal and state taxes required by law. Any monies not used to satisfy federal and state taxes must be made available to the inmate for the purchase of incidentals pursuant to item (4)."

Provisions that supercede and control over contrary provisions

SECTION    3.    The provisions of this act supercede and are controlling over any provision to the contrary in paragraph 37.36, Part IB of the 2007-2008 General Appropriations Bill.

Time effective

SECTION    4.    This act takes effect August 1, 2007.

Ratified the 8th day of June, 2007.

Approved the 13th day of June, 2007.