Mr. Bloomberg advised that the Mike Durfee State Prison is requesting one new FTE - a prison shop foreman. Representative Burg advised that the object of the housing program should be how well the inmates are trained for the outside world. Mr. Bloomberg advised that the present goal of the housing program is to get as many houses built as possible. In response to a question from Representative Pummel he advised that the income from the housing sales is not reflected in the department's budget, but is reflected in the South Dakota Housing Authorities budget.

Mr. Bloomberg advised that the Jameson Annex has an outdated electronic door system, replacement parts are no longer available, and that although state engineers have found spare parts all over the country, the system does need to be replaced at a cost of $500,000. This $500,000 is not in the department's present request, but it will come to the committee in the form of an amendment to the general bill.

Senator Greenfield questioned what becomes of the revenue generated from prisoner fines. Mr. Bollinger advised that the accounts are swept monthly and added to other accounts such as child support, restitution, attorney fees, etc.

Mr. Tim Reisch, Deputy Secretary, Department of Corrections explained Pheasantland Industries. He stated that the new Sioux Falls building was started later than the new Springfield building; however, both buildings are progressing well .

Mr. Bloomberg then explained a federal grant program called VOITIS (Violent Offender Truth in Sentencing). This federal grant program can be accessed, using 10% state match, to build 40 additional beds at the Jameson Annex. Mr. Bloomberg explained that this won't show up in this budget as the Governor doesn't need additional federal fund authority. In response to questioning Mr. Bloomberg advised that these grant monies couldn't be accessed by the women's prison as the appropriation had already been made.

Senator Drake recessed the meeting at 10:05 and it reconvened at 10:25.

Mr. Bloomberg discussed the Women's Prison. The Department projects a daily cost per inmate of $40.53 per day for FY2003. The high per diem is related to the size of the prison. The department is requesting two additional FTE's, a lieutenant and a correctional officer. These can be funded through federal funds collected from housing federal prisoners.

In response to a question from Senator Kleven, Mr. Bloomberg indicated there is no mental health classification for female inmates, but that they are housed in maximum bed space. Laurie Feiler indicated there is a small mental health unit at the Jameson Unit.

In response to questions from Representative Clark and Representative Sutton, Mr. Bloomberg indicated that as long as there is space for federal prisoners it will be used. He also indicated that the requested correctional counselor will be available for everyone, not just the federal inmates.

Mr. Jeff Bloomberg went on to discuss Prison Industries. He indicated that these programs are self- sustaining and don't make use of federal or general funds. In most of these programs, the inmates can earn from $.25 to $1.00 per day. Some programs generate revenue, others like the Braille program do not. The prison Braille unit is the only one in the state.

Mr. Doug Weber said the Braille program has been operated for 15 years, it is nationally recognized, and is targeted toward long-term offenders. It is a program that generates a lot of good will. He said that the Bookbindery program has dropped off, but other shops are busy. In some Prison Industry Programs, due to federal regulations, inmates are paid between $7.00 and $13.00 per hour.

In response to a question from Senator Duxbury, the department indicated that no matter how much inmates earn in their jobs, any charges against their accounts are based on the same percentage. Mr. Bloomberg also said that the state doesn't try to compete against private sectors. Senator Putnam indicated that if there are any complaints, the state does respond.

In response to a question from Representative Clark, Mr. Weber explained inmate charity work programs. The Wheel Chair program employs special needs inmates. The program receives used wheelchairs, cleans and reassembles them, and they are used by third world countries. The inmates receive $.25 per hour. The Peddle Power program is run out of Springfield. Police departments furnish bikes, which are then refurbished by the program. The program is funded through an annual Game, Fish and Parks banquet, at which time the police departments take back the refurbished bikes and give them to needy children in their communities. Approximately 1,000 bikes per year are refurbished.

In response to a question from Senator Kleven, Mr. Weber discussed the Lift Project. He said that the first fifty were successful, and they are working on fifty more. Privately the lifts would cost from $6,000 to $7,000. The Department of Corrections can do them for $1,000 to $2,000.

In response to a question from Senator Duxbury, Mr. Bloomberg indicated that the state was not

reimbursed for the inmate's time spent on Spruce Up South Dakota projects.

The Department's Community Service Projects were then discussed, including the inmates pay.
In response to questions from Senator Dennert, Mr. Bloomberg indicated that there is no information on how efficient these programs are, and that the inmates have normal working hours and are paid for actual project work hours.

Mr. Jeff Bloomberg indicated that 4 FTE's were approved by the 2002 interim committee for the Tuck Point program and that this will continue into 2003.

Parole Services was then discussed. The daily per diem cost estimated for FY 2003 is $3.91. The number of parolees being supervised has increased. Mr. Bloomberg explained that the supervision fees, which the parolees are required to pay, generate revenue which goes into the general fund. These monies were $101,575 in FY 2001 and are predicted to be $173,349 in FY 2003. As the number of parolees supervised increases, this revenue also increases. One Parole Agent FTE and a .5FTE for a secretary are being requested. The new agent will be located in Spearfish.

After a question from Senator Duxbury, Mr. Bloomberg explained that Good Time was eliminated in 1996 and that inmates now earn good time per an evaluation at the beginning of their incarceration. The good time formula is in a state statute. Parolees can't be on parole for a length longer than their sentence. As parole numbers increase, more supervision is needed. Flat time has been eliminated and now inmates either serve all their time or are released to parole supervision; although some inmates are still under the old system and will serve the remainder of their sentences under flat time.

In response to a question from Representative Klaudt as to why the increased numbers on parole when recidivism is down, Mr. Bloomberg replied that commitments are up due to public safety concerns and it is cheaper to supervise parolees. Time on parole is based on sentence length and type of crime and is explained in statute.

In response to a question from Representative Clark, Laurie Feiler explained that there is a program that bridges the time between incarceration and parole consisting of elective classes and a two-week workshop.

The Juvenile Out-of-Home Placement Program was discussed. Mr. Bloomberg explained that the numbers of kids committed to the Department of Corrections is down and more are being placed in private placement.

Representative Richter asked Mr. Bloomberg to explain where kids can go in the system. Mr. Bloomberg explained that the courts commit the children, that approximately 20% are committed to DOC and 80% go onto probation in the Court Services system. Most kids in the Department of Correction's Out-of-Home Placement Program are placed in private facilities, but they are still under

the Department's control. The department determines the placement; then the kids are on aftercare for an average of one ½ years.

The waiting list for placement was discussed. Mr. Bloomberg advised that they try to move this along and if a child can be placed out-of-state right away, the department will do so. Discussion continued on placement of girls and parental out-of-state visits.

Contractual Foster Care was discussed. There are currently 23 contractual families and 9 families in training or waiting for youth. The Foster Care Program needs an increase of $875,322 in general funds, partly due to a decrease in the YAR funds by $142,930. Mr. Bloomberg indicated that foster care is the cheapest way to go. The number of placements in a home is regulated by the Department of Social Services.

The Comparison of the State Training School to Private Placement was discussed. Originally the cost to the general fund for a State Training School or Juvenile Prison placement would have been $163.27. With the closing of the State Training School the Governor's recommendation as outlined is now at a general fund cost per day of $110.97. Title 19 can be accessed. In response to a question from Senator Drake, Mr. Bloomberg said the cost would be higher if federal funds were figured in. Senator Duxbury pointed out that the $163.27 figure included the costs at the juvenile prison and not just the training school. Mr. Bloomberg agreed.

Mr. Duxbury recalled the State Training School cost in previous years and that they were lower. Mr. Bloomberg said the difference is the increased number of kids. The Department of Social Services formula costs for the placement of kids has changed. Children under the Department's care now get more federal funding and the number of kids have increased.

Senator Dennert had a question about the depreciation factor for the State Training School. Mr. Bloomberg indicated that state agencies normally don't figure depreciation in their budget requests.

In response to a question from Representative Lange, Mr. Bloomberg indicated that the State Training School numbers were down mainly because the number of kids in the system was down. Crime is down and the Courts are assigning kids to their Intensive Supervision program. Senator Duxbury indicated that there has been a lot of improvements at the State Training School, he believed the kids liked the program, and that the state needs to realize where the system has been and why and that there should be another use for the State Training School facilities.

The Performance Based Standards and Staff Training pages of the budget document were reviewed. Mr. Bloomberg said the performance based standards process was started about a year ago. He also stated that about 113 employees per year are trained.

Mr. Bloomberg brought out that the Living Center Program has a capacity for 72 juveniles and an

approximate $78 per diem rate. The Boot Camp has an approximate $82 per diem rate. He also briefly discussed the Custer Quest and EXCEL programs.

In response to a question from Representative Clark, Mr. Bloomberg briefly discussed the Mentor Program. The program works well in some communities such as Brookings and Pierre, but in other areas the volunteers aren't there.