The 2020-21 Budget: Effectively Managing State Prison Infrastructure

The 2020-21 Budget: Effectively Managing State Prison Infrastructure GABRIEL PETEK LEGISLATIVE ANALYST FEBRUARY 28, 2020 analysis full gutter 2020-21 BUDGET LEGISLATIVE ANALYST’S OFFICE analysis full gutter 2020-21 BUDGET Executive Summary State Owns and Operates 34 Prisons. The California Department of Corrections and Rehabilitation (CDCR) operates and maintains 34 prisons, which contain extensive amounts of infrastructure essential to prison operations, including health care facilities, firehouses, and waste water treatment plants. Twelve of these prisons were originally constructed between the 1850s and 1960s, with the remaining 22 being built from 1980 through 2013. We note that to reduce prison overcrowding, the state also houses inmates in beds outside of the 34 state-owned prisons such as contracted prisons. Significant Infrastructure Needs Throughout Prison System. CDCR reports significant infrastructure needs throughout the system that could cost billions of dollars to fully address. The major factors that drive prison infrastructure needs and spending include: • Prison Age and Condition. One of the most significant factors driving prison infrastructure needs and spending is the age and condition of the state’s existing facilities. A recent study found that infrastructure at the state’s 12 oldest prisons has generally exceeded its expected useful life and recommended over 150 infrastructure projects totaling over $11 billion. • Size and Housing Needs of Inmate Population. The size of the inmate population and various subpopulations—such as the number of inmates that require high security housing—also drive infrastructure needs. In recent years, the state’s inmate population has declined—and is expected to continue to decline in the next few years—primarily due to the implementation of various policy changes, such as Proposition 57 (2016). In order to accommodate the ongoing decline in the inmate population, the Governor has raised the possibility of closing a prison within the next five years after inmates are removed from publically operated contract prisons. • Inmate Services. The types of services the state provides to inmates such as health care and rehabilitation programs have driven—and continue to drive—major infrastructure expenditures. Recommended Road Map for Developing a Prison Infrastructure Plan. Given the age and condition of the state’s prison facilities and the continued decline in the inmate population, the state will have to prioritize future infrastructure spending and reevaluate the number of prisons it operates. However, the state currently lacks a prison infrastructure plan to guide its decisions both in the near term and long term. Accordingly, we provide in this report a road map to guide the Legislature in the development of a plan for managing prison infrastructure. Specifically, we recommend the following key steps: • Direct CDCR to Close Two Prisons. We recommend closing two prisons, rather than removing inmates from publically operated contract prisons and closing one prison as the Governor proposes. This is because prioritizing prison closure would reduce the risk of infrastructure-related emergencies and litigation, as well as achieve additional state savings. In order to guide the identification of prisons for closure, we recommend the Legislature direct CDCR to rank prisons for closure based on cost avoidance, operational needs, and their ability to serve inmates. This would allow the Legislature to avoid approving www.lao.ca.gov 1 analysis full gutter 2020-21 BUDGET unnecessary infrastructure projects at prisons that could be closed. We also recommend requiring the department to submit a detailed prison closure plan. • Require CDCR to Develop a Strategy to Improve Infrastructure. We recommend the Legislature require CDCR to create a strategy to improve the infrastructure at the remaining prisons. This includes developing a list of significant, high-priority infrastructure projects that should be accomplished over the next ten years. In developing this list, CDCR should consider certain criteria, such as the possibility of further prison closures and various alternatives to repairing existing facilities. The department should also develop a project priority order and time line that prioritizes addressing infrastructure needs that threaten inmate and staff well-being, as well as opportunities to reduce construction and operational costs. Following our recommended road map would allow the state to more effectively and efficiently address the continued decline in the inmate population and the significant repairs needed at many of its prisons. 2 LEGISLATIVE ANALYST’S OFFICE analysis full gutter 2020-21 BUDGET INTRODUCTION The state owns and operates 34 prisons, which certain prisons. In presenting his budget plan to the contain extensive amounts of infrastructure that Legislature, the Governor also raised the possibility are essential to its operations, including health care of closing a prison within the next five years to facilities, firehouses, and waste water treatment accommodate the ongoing decline in the inmate plants. The California Department of Corrections population. Given the magnitude of the state’s and Rehabilitation (CDCR), which is responsible prison infrastructure needs, combined with the for maintaining the prisons, reports significant possibility of closing a prison in the near future, it infrastructure needs throughout the system that will be important for the state to think strategically could cost billions of dollars to fully address. about managing its prison infrastructure—both Despite this, the state currently lacks a plan to in the near term and long term. In this report, strategically manage and address the needs of we (1) provide an overview of the state’s prison its prison infrastructure. The Governor’s budget infrastructure, (2) discuss the major drivers of for 2020-21 proposes $103 million in additional prison infrastructure needs and spending, and General Fund support and $91 million in new (3) provide a road map to guide the Legislature in lease revenue bond authority for various projects the development of a plan to strategically manage to address some of the infrastructure needs at the state’s prison infrastructure. OVERVIEW OF CDCR PRISON INFRASTRUCTURE State Owns and Operates 34 Prisons. As of Center in Susanville and the Sierra Conservation February 5, 2020, CDCR was responsible for a Center in Jamestown are responsible for training total of 123,500 inmates—118,000 male inmates inmates in firefighting techniques before they are and 5,500 female inmates. The majority of these placed into one of 39 male conservation camps inmates are housed in one of 34 prisons owned and located throughout the state, which are generally operated by the state—31 for males, 2 for females, jointly operated by CDCR and the California and 1 (Folsom State Prison in Represa) that houses Department of Forestry and Fire Protection. both male and female inmates in separate facilities. Infrastructure Is Critical to Prison Operations. (We note that the state also leases a prison CDCR is responsible for maintaining the state’s facility—the California City Correctional Facility— 34 prisons, which collectively consist of about from a private entity that it operates with state 5,000 buildings covering over 42 million square staff.) As shown in Figure 1 (see next page), 12 of feet and contain over 22,000 individual pieces these prisons were originally constructed between of equipment and utility systems. As 24-hour the 1850s and 1960s with the remaining 22 being institutions responsible for the daily care of built from 1980 through 2013. While many prisons thousands of inmates, prisons rely on a wide are designed for a range of different inmates and range of infrastructure, such as industrial kitchens, functions, some prisons have specialized missions boilers, electrical generators, and waste water that are critical to providing specific services. treatment plans. Infrastructure failure—such For example, as shown in Figure 1, the California as damaged roofs or failed smoke detection Medical Facility (CMF) in Vacaville and California systems—can pose significant health and safety Health Care Facility (CHCF) in Stockton specialize risks to inmates and staff. Prison infrastructure in providing medical and mental health treatment to also affects the state’s ability to deliver services inmates who have the most severe and long-term to inmates, such as health care and rehabilitation needs. In addition, the California Correctional programs. For example, a lack of sufficient www.lao.ca.gov 3 analysis full gutter 2020-21 BUDGET classrooms can make it difficult for prisons to The 2019-20 budget includes $182 million for provide inmates with rehabilitative treatment. deferred maintenance projects at various prisons Accordingly, the annual state budget includes and $56 million for CDCR to conduct preventative funding for CDCR to maintain its prison facilities. maintenance at all facilities. Figure 1 California’s 34 State-Owned Prisons Design Number of Prison Year Opened Special Missiona Capacity Inmatesb San Quentin State Prison 1852 Mental Health 3,082 4,070 Folsom State Prison (Represa) 1880 Medical Care 2,469 3,271 California Correctional Institution (Tehachapi) 1933 High Security 2,783 3,700 California Institution for Men (Chino) 1941 Medical Care 2,976 3,551 Correctional Training Facility (Soledad) 1946 — 3,312 5,078 California Institution for Women (Corona) 1952 Medical Care, Mental Health 1,078 1,615 Deuel Vocational Institution (Tracy) 1953 — 1,681 1,997 California Medical Facility (Vacaville) 1955 Medical Care, Mental Health 2,361 2,510 California Men’s Colony (San Luis Obispo) 1961 Medical Care 3,838 3,756 California Rehabilitation Center (Norco) 1962 — 2,491 3,846 California Correctional Center (Susanville) 1963 Conservation Camps 1,733 4,081 Sierra Conservation Center (Jamestown) 1965 Conservation Camps 1,726 4,370 California State Prison, Solano (Vacaville) 1984 Medical Care 2,610 4,276 California State Prison, Sacramento (Represa) 1986 Medical Care, High Security 1,828 2,339 Avenal State Prison 1987 — 2,920 4,228 Mule Creek State Prison (Ione) 1987 Medical Care 3,284 4,005 Richard J. Donovan Correctional Facility (San Diego) 1987 Medical Care 2,992 3,860 California State Prison, Corcoran 1988 High Security 3,116 3,014 Chuckawalla Valley State Prison (Blythe) 1988 — 1,738 2,770 Pelican Bay State Prison (Crescent City) 1989 High Security 2,380 2,632 Central California Women’s Facility (Chowchilla) 1990 — 2,004 2,819 Wasco State Prison 1991 — 2,984 4,610 Calipatria State Prison (Calipatria) 1992 — 2,308 3,094 California State Prison, Centinela (Imperial) 1993 — 2,308 3,461 California State Prison, Los Angeles County (Lancaster) 1993 Medical Care, High Security 2,300 3,214 North Kern State Prison (Delano) 1993 — 2,694 4,446 Ironwood State Prison (Blythe) 1994 — 2,200 2,896 Pleasant Valley State Prison (Coalinga) 1994 — 2,308 3,153 High Desert State Prison (Susanville) 1995 High Security 2,324 3,181 Valley State Prison (Chowchilla) 1995 — 1,980 3,002 Salinas Valley State Prison (Soledad) 1996 High Security, Mental Health 2,452 2,917 California Substance Abuse Treatment Facility (Corcoran) 1997 High Security 3,424 5,281 Kern Valley State Prison (Delano) 2005 High Security 2,448 3,541 California Health Care Facility (Stockton) 2013 Medical Care, Mental Health 2,951 2,848 a Mental health means prison has a psychiatric in-patient program. Medical care means prison is classified as an intermediate care facility. High security means prison is assigned to high security mission by department. Conservation camps mean prison’s primary mission is training inmates in firefighting techniques. b As of February 5, 2020. 4 LEGISLATIVE ANALYST’S OFFICE analysis full gutter 2020-21 BUDGET MAJOR DRIVERS OF PRISON INFRASTRUCTURE NEEDS In this section, we describe the major factors frequent breakage. For example, one prison’s gas that drive prison infrastructure needs and spending. distribution system leaks multiple times per year. These include (1) age and condition of each prison, In some cases, the infrastructure is so outdated (2) the size and housing needs of the inmate that replacement parts cannot be purchased population, and (3) the types and levels of services and must be specially manufactured by prison that the state provides to inmates. maintenance staff. These frequent and complicated repair needs drive increased ongoing maintenance PRISON AGE AND CONDITION costs. In other cases, maintenance staff are more limited in their ability to repair damaged One of the most significant factors driving infrastructure. For example, the study noted that prison infrastructure needs and spending is the (1) several building systems cannot be repaired age and condition of the state’s existing facilities. without disturbing asbestos insulation, (2) some As previously discussed, 12 of the state’s prisons prison roofs are so waterlogged that it can be were built in the 1960s or earlier—including some difficult for staff to walk on them when making that are more than a century old. We note that the repairs, and (3) some prison windows are covered state’s other 22 prisons also have significant and with security bars and mesh that prevent staff from growing needs. repairing them. Study Recommended Over $11 Billion 12 Oldest Prisons Have Significant in Repairs. The study recommended over Infrastructure Needs 150 specific infrastructure improvement projects Study Found Oldest Prisons Have Generally across the state’s 12 oldest prisons. The study Exceeded Expected Useful Life. The 2016-17 identified which pieces of infrastructure to rebuild— Budget Act provided CDCR with $5.4 million to rather than simply repair—by comparing the cost of hire a consultant to (1) assess the infrastructure repairs to the cost of rebuilding. In cases where the conditions at the 12 prisons that were originally cost of repair was 65 percent or more of the cost constructed between the 1850s and 1960s and of replacement, the study generally recommended (2) recommend specific projects necessary to replacement as a more cost-effective approach maintain their current operations for the foreseeable to repair. Accordingly, some of the recommended future. The resulting study, which was recently projects involve rebuilding significant portions of completed, found that most of the buildings and prisons. The study also generally recommended building systems date to their original construction. repairing or replacing systems in buildings critical Accordingly, they have generally exceeded their to prison operations if they were nearing or past expected useful life and are often not consistent the end of their expected useful life. (Please see with current building code requirements, such as the box on page 7 for additional information having fire sprinklers and adequate ventilation in regarding the methodology used by the consultant kitchens. Many pieces of infrastructure were found in preparing the study.) As shown in Figure 2 (see to be failed or at risk of failure. For example, the next page), the estimated cost to complete all of study found inoperable fire alarms in housing units the recommended projects is about $11 billion. and failed emergency generators, and noted that The consultant is expected to provide a final report most of the electrical systems at one prison were in spring 2020 that will include a recommended in such poor condition that they could fail at any statewide prioritization of projects. time. The study also found infrastructure prone to www.lao.ca.gov 5 analysis full gutter 2020-21 BUDGET Other 22 Prisons Also Figure 2 Likely Have Significant Recent Study Recommended Over $11 Billion in Infrastructure Needs Projects at 12 Oldest Prisons Unlike the 12 oldest state (Dollars in Millions) prisons, a similar in-depth study Estimated Cost of Number of by an independent consultant Prison Recommendations Projects has not been conducted on the San Quentin State Prison $1,647 11 other 22 state-owned prisons. California Men’s Colony 1,557 12 However, as shown in Figure 3, Correctional Training Facility 1,318 26 the department reported in California Institution for Men 1,228 26 2018 that it would cost a total California Rehabilitation Center 1,116 7 of about $8 billion to address all Deuel Vocational Institution 804 13 Folsom State Prison 800 11 maintenance and repairs identified Correctional Medical Facility 763 10 at the 22 prisons as being California Correctional Institutiona 531 16 necessary to complete between Sierra Conservation Center 504 9 2018-19 and 2023-24. We note California Correctional Center 503 10 that the actual need could be California Institution for Women 413 8 higher given that the condition Totals $11,184 159 of these prisons has not been a Does not include portions of the prison that were built in 1985. fully assessed at the same level as the state’s 12 oldest prisons. Figure 3 Moreover, the condition of the 22 prisons could have worsened $8 Billion in Estimated Repairs Needed at Other 22 Prisonsa at a higher rate than estimated in (In Millions) 2018. Prison Cost Pleasant Valley State Prison $616 SIZE AND HOUSING Centinela State Prison 540 NEEDS OF INMATE California State Prison, Solano 494 California State Prison, Corcoran 470 POPULATION Pelican Bay State Prison 455 Calipatria State Prison 453 As we discuss below, another Richard J. Donovan Correctional Facility 436 significant factor affecting the Ironwood State Prison 434 level of infrastructure needs within California State Prison, Los Angeles County 433 the state’s prisons is the inmate Chuckawalla Valley State Prison 430 population both in terms of its California State Prison, Sacramento 423 size, which affects the number of Mule Creek State Prison 405 prisons needed, and its makeup, North Kern State Prison 362 which affects the type of prisons Wasco State Prison 332 Avenal State Prison 331 and facilities needed. Central California Women’s Facility 282 Number of Inmates California Substance Abuse Treatment Facility 278 Salinas Valley State Prison 277 Population Size Directly High Desert State Prison 262 Related to Need for Prisons Due Valley State Prison 189 to Overcrowding Limit. In recent Kern Valley State Prison 90 California Health Care Facility — years, the state has been under Total $7,992 a federal court order to limit the a population of its 34 state-owned Repairs identified as being necessary to complete between 2018-19 and 2023-24. 6 LEGISLATIVE ANALYST’S OFFICE analysis full gutter 2020-21 BUDGET prisons to 137.5 percent of their design capacity. In order to comply with the prison population As such, the state is currently allowed to house cap, the state took a number of actions. These no more than about 117,000 inmates in the include (1) housing inmates in contracted facilities, 34 state-owned facilities. If the prison population (2) constructing additional prison capacity, and exceeds the population cap at any point in time, a (3) reducing the inmate population through several court-appointed officer is authorized to order the policy changes. Because the inmate population release of the number of inmates required to meet still currently exceeds the court-ordered limit, the cap. To ensure that such releases do not occur the state houses inmates in beds outside of the if the prison population increases unexpectedly, 34 state-owned prisons, such as contracted CDCR houses about 2,000 fewer inmates than is prisons. As of February 5, 2020, CDCR housed allowed under the cap as a “buffer” against the about 670 male inmates and 180 female inmates cap. (See the box on page 8 for more information in privately operated contract prisons. In addition, on the court-ordered prison population limit.) the state housed about 1,600 male inmates in publically operated contract prisons. Methodology Used to Assess State’s 12 Oldest Prisons A consultant hired by the California Department of Corrections and Rehabilitation recently completed an in-depth assessment of the state’s 12 oldest prisons. In assessing the condition of these prisons, the consultant compiled information on the condition of individual buildings and building systems (such as electrical systems or plumbing systems) at each prison. Specifically, the consultant (1) reviewed existing facility condition data and documentation (such as blueprints), (2) visited each prison to collect additional data and speak with staff responsible for daily operations and facility maintenance, and (3) estimated the condition of some buildings based on the condition of similar buildings that were constructed at the same time. The above information was then used to calculate a 10-Year Facility Condition Index (FCI) for each building and for each prison as a whole. The 10-Year FCI is the estimated cost of currently needed and expected repairs to a building over the next ten years as a percentage of the cost to replace it entirely with a similar facility that meets updated design standards. The building industry generally uses 65 percent as a threshold for recommending complete replacement. This means that if the cost of needed repairs is 65 percent or more of the cost to replace the building, it is likely more cost-effective to replace the building than to repair it. After an FCI for each building and prison as a whole was calculated, the consultant selected particular buildings or building systems for repair or replacement using the following major steps: • Replace Critical Buildings When More Cost-Effective Than Repairing. The study generally recommended replacing all buildings critical to prison operations, such as kitchens, that had FCIs of 65 percent or higher. Less critical buildings, such as warehouses, were generally not recommended for replacement. • Reduce FCI of Overall Prison to 15 Percent or Below by Upgrading Critical Systems in Essential Buildings. After identifying entire buildings for replacement, the study selected specific building systems in other buildings for repair or replacement that would, together, reduce the FCI for the entire prison to 15 percent or below. Priority was given to building systems identified as the most critical to prison operations (such as electrical systems) and located in buildings most essential for providing inmate services (such as inmate housing units). www.lao.ca.gov 7 analysis full gutter 2020-21 BUDGET Population Decline Has Not Figure 4 Reduced Need for Prisons… State Inmate Population Is Declining As shown in Figure 4, the state’s Figure XX As of June 30 Each Year inmate population has declined by about 5,800 inmates (4 percent) 135,000 between June 30, 2017 and June 30, 2019. The decline is primarily 130,000 due to Proposition 57 (2016), which made certain nonviolent offenders 125,000 eligible for parole consideration 120,000 and expanded CDCR’s authority to reduce prison terms through 115,000 credits. Despite these declines, the need for all of the state’s existing 110,000 prisons has not changed. This is 105,000 because state law requires the 2017 2018 2019 2020 2021 2022 2023 2024 department to first accommodate declines in the prison population Projectionsa by removing inmates from privately a Reflects adjustments to the administration’s most recent inmate population projections to account for the operated contract prisons housing estimated effects of Chapter 590 of 2019 (SB 136, Weiner), which eliminated a one-year sentence enhancement for prior offenses in certain cases. males. CDCR expects to remove the last 670 inmates remaining in these facilities by April 2020. Federal Court Orders to Improve Inmate Health Care and Limit Prison Overcrowding In December 1995, after finding the state failed to provide constitutional mental health care to inmates, a federal court in the case now referred to as Coleman v. Newsom appointed a Special Master to monitor and report on the California Department of Corrections and Rehabilitation’s (CDCR’s) progress towards providing an adequate level of mental health care. In February 2006, after finding the state failed to provide a constitutional level of medical care to inmates, a federal court in the case now referred to as Plata v. Newsom appointed a Receiver to take control over the direct management of the state’s prison medical care delivery system from CDCR. In November 2006, plaintiffs in Coleman v. Newsom and Plata v. Newsom filed motions for the federal courts to convene a three-judge panel pursuant to the U.S. Prison Litigation Reform Act to determine whether (1) prison overcrowding was the primary cause of CDCR’s inability to provide constitutionally adequate inmate health care and (2) a prisoner release order was the only way to remedy these conditions. In August 2009, the three-judge panel declared that overcrowding was the primary reason that CDCR was unable to provide adequate health care. Specifically, the court ruled that, in order for CDCR to provide such care, overcrowding would have to be reduced to no more than 137.5 percent of the design capacity of the prison system. (Design capacity generally refers to the number of beds CDCR would operate if it housed only one inmate per cell and did not use temporary beds, such as housing inmates in gyms.) The court ruling applies to the number of inmates in prisons operated by CDCR and does not preclude the state from housing additional inmates elsewhere, such as conservation camps and other publicly or privately operated facilities. 8 LEGISLATIVE ANALYST’S OFFICE analysis full gutter 2020-21 BUDGET …But Continued Decline Could Reduce Figure 5 Number of Prisons Needed in Future. As High Security Facilities are Most Crowdeda shown in Figure 4, the inmates population is expected to continue to decline in the next few Number of Percent of years. Specifically, we project that, after the Housing Level Inmates Capacity Capacity 670 male inmates are removed from privately I 13,950 12,505 112% operated prisons, the population will decline by II 46,837 35,374 132 about 6,200 inmates by June 2024. State law III 20,557 18,420 112 requires CDCR to accommodate declines in the IV 27,314 14,936 183 inmate population—after privately operated male Totals 108,658 81,235 134% a contract prisons are closed—by reducing either the Excludes all female inmates and male inmates who (1) have not yet been assigned to a housing level or (2) are housed in a specialized bed that does not have a capacity of state-operated prisons or the remaining designated housing level. contracted prisons (including publically operated contract prisons and privately operated prisons for detailed information on how CDCR assigns inmates females) based on consideration of various criteria, to housing security levels, please see our May including cost and the housing needs of the inmate 2019 report Improving California’s Prison Inmate population. If the population does decline by Classification System.) 6,200 inmates as projected, the state could close Other Inmate Housing Needs Also Drive two prisons without violating the court-ordered limit Infrastructure Needs. Various inmate needs on prison overcrowding. (As we discuss later in this beyond security also affect the types and location report, the Governor plans to instead first remove of facilities where inmates can be housed. For all male inmates from publically operated contract example, inmates with disabilities requiring certain prisons and then potentially close one state prison physical design features, such as wheelchair at some point in the next five years.) ramps, can only be housed at facilities that include Housing Needs of Inmates such features. Inmates considered to be at high risk to attempt suicide require cells without elements Inmate Security Levels Drive Infrastructure such as bars or sharp corners that could be used Need. CDCR classifies inmates into four housing in a suicide attempt. Inmates who are at risk of security levels, ranging from Level I (lowest security) contracting Valley Fever—an infection caused by to Level IV (highest security). Level I and Level II fungus in soil that can become airborne and enter inmates are typically housed in open dormitories, the lungs—cannot be housed at nine Central Valley which are large rooms with multiple beds. In prisons where the fungus is found. contrast, Level III and Level IV inmates are housed in cells, each of which holds no more than two INMATE SERVICES inmates, and are in facilities with armed guard coverage. CDCR’s celled housing facilities vary in As we discuss below, the types of services the the amount of visibility afforded to officers from a state provides inmates are also a major source centralized location. Facilities built after 1980 tend of infrastructure needs within the prisons. For to have the greatest amount of visibility, are example, federal court requirements to improve generally considered safer, and can be operated inmate health care have driven—and continue with fewer officers than an older-style facility with to drive—major infrastructure expenditures. poorer visibility. As a result, CDCR prioritizes In addition, efforts to expand the provision of these facilities for higher security inmates. As rehabilitation programs result in infrastructure shown in Figure 5, CDCR’s Level IV facilities are needs. more crowded than other housing levels. This Inmate Health Care Services Require Certain indicates that the state currently has greater need Facilities. Prisons include specialized facilities and for higher security level facilities, which generally equipment for staff to provide medical, dental and tend to cost more to build and operate. (For more mental health services to inmates. For example, www.lao.ca.gov 9 analysis full gutter 2020-21 BUDGET CDCR uses specialized inmate housing to provide Need for Rehabilitation Program Space. In short-term inpatient care for inmates experiencing order to provide rehabilitation programs to inmates mental health crises. Due to federal court orders (such as cognitive behavioral therapy and career to improve inmate medical and mental health technical education), CDCR needs treatment space, care services, the state has made significant classrooms, and workshop spaces. The state has improvements to the health care facilities in its significantly expanded the capacity of rehabilitative prisons over the past decade to help ensure that programs in recent years. For example, the inmates are provided a constitutionally adequate 2016-17 budget included a $64 million General level of care. For example, the state provided Fund augmentation and the 2019-20 budget about $1.2 billion in General Fund lease revenue included an additional $71.3 million General Fund bonds in 2012 for CDCR to renovate and construct augmentation for CDCR rehabilitative programing. health care facilities at various prisons. In addition, However, many of the state’s prisons were not built the state authorized about $900 million in lease with infrastructure that fully complements CDCR’s revenue bonds to construct the CHCF in Stockton, current rehabilitative program offerings. This is which was activated in 2013 and provides medical generally because correctional policies over the and mental health treatment to inmates who have 150 year span when the prisons were built reflected the most severe and long-term needs. either less emphasis on rehabilitation or emphasis While many health care related infrastructure on different types of rehabilitation relative to today. needs have been addressed in recent years, some For example, while a prison built in the 1940s may needs still remain. For example, the health care include space for education programs, it may not facilities at the California Rehabilitation Center have sufficient classrooms for CDCR to also deliver (CRC) in Norco were not renovated because the cognitive behavioral therapy, a treatment modality prison was slated for closure at the time that the not developed until the 1960s. CDCR has found above projects were being planned. However, ways to work around infrastructure limitations, such the administration later reversed its decision to as by holding multiple small group therapy sessions close the prison and the Governor’s budget for at once in large gymnasiums, as is currently being 2020-21 includes $5.9 million (General Fund) for done at San Quentin State Prison (SQ). Such health care facility repairs for CRC. In addition, the settings, however, are not ideal because the groups Governor’s budget includes various other health lack privacy, which can be important given the care related infrastructure proposals, including personal nature of the topics discussed in some $91 million in lease-revenue bond authority to rehabilitation programs. In recent years, the state construct a 50-bed mental health crisis facility at has taken steps to address this need. For example, the California Institution for Men in Chino. the 2019-20 budget included funding for working drawings to construct additional classroom space at SQ. STATE LACKS PLAN TO MANAGE PRISON INFRASTRUCTURE As discussed above, there are various factors However, the state currently lacks a prison that impact the state’s prison infrastructure needs infrastructure plan to guide its decisions both in the and spending. In particular, the age and condition near term and long term. Such a plan is particularly of the state’s prison facilities and the continued important given the extent and severity of prison decline in the inmate population will require the infrastructure needs, as well as the possibility state to prioritize future infrastructure spending of prison closure in the near term. Without such and reevaluate the number of prisons it operates. a plan, it is difficult for the state to prioritize 10 LEGISLATIVE ANALYST’S OFFICE analysis full gutter 2020-21 BUDGET infrastructure spending in such a way as to The absence of a prison infrastructure plan ensure that the most urgent needs are addressed also makes it difficult for the Legislature to first and that projects are done in a logical and effectively evaluate the Governor’s various prison efficient manner. This is important because, if infrastructure proposals for 2020-21. For example, the state does not address infrastructure issues it would not be ideal for the Legislature to approve that present habitability concerns for inmates or a modification to a building that would be replaced significantly threaten prison operations, the risk of or closed a few years later due to a decline in infrastructure-related emergencies and litigation the prison population. We also note that having against the state for conditions resulting from its a prison infrastructure plan that prioritizes future poor infrastructure will grow. projects allows the state to plan for the costs of these projects and their potential impact on prison operations. ROAD MAP FOR DEVELOPING A PRISON INFRASTRUCTURE PLAN In this section, we provide a road map to guide Prioritize Prison Closure to Achieve the Legislature in the development of a plan for Additional Benefits managing prison infrastructure. First, given the size of the projected decline in the inmate population After all remaining male inmates are removed and the poor condition of many of the state’s from privately operated contract prisons as prisons, we recommend that the Legislature required by state law, the Governor proposes direct CDCR to develop a plan to close two to accommodate near-term population declines prisons in the near term. Next, we recommend by first removing the 1,600 male inmates from directing CDCR take specific steps to develop publically operated contract prisons and then a strategy for upgrading its remaining prison closing one prison. However, we recommend facilities to meet their infrastructure needs and closing two prisons due to the extensive achieve other operational or programmatic goals. infrastructure problems that have been identified. Figure 6 provides an overview of our recommended While this approach would require the state to road map for developing a prison infrastructure maintain male inmates in publicly operated contract plan. Figure 6 DIRECT CDCR TO LAO Recommended Road Map for CLOSE TWO PRISONS Developing State Prison Infrastructure Plan Direct CDCR to Close Two Prisons As a first step in developing a prison infrastructure plan, we 9 Prioritize Prison Closure to Achieve Additional Benefits recommend that the Legislature direct CDCR to close two 9 Identify Prisons for Closure Based on Key Criteria prisons in the near term. We also 9 recommend directing CDCR to Require Development of Detailed Prison Closure Plan begin the process of developing a Require CDCR to Develop a Strategy to Improve Infrastructure detailed prison closure plan. We discuss these recommendations in 9 Identify Infrastructure Projects to Pursue detail in the next section. 9 Develop Project Priority Order and Time Line www.lao.ca.gov 11 analysis full gutter 2020-21 BUDGET prisons in the near term, it would create three system. This, in turn, would reduce the risk specific benefits. (We note that to remove these of infrastructure emergencies—such as inmates from contract prisons, as well as close parts of a prison becoming inoperable or two prisons, the state would need to take steps to uninhabitable—both at the prisons that are further manage the inmate population, as discussed closed, and at the remaining prisons. in the nearby box.) Specifically, prioritizing prison • Reduce Risk of Infrastructure-Related closure would: Litigation. Given that closing two prisons would allow the state to more quickly improve • Reduce Risk of Infrastructure Emergencies. its poor infrastructure, it would also reduce the Closing two prisons would allow the state risk that the state is sued for the conditions to avoid the need to make infrastructure resulting from poor infrastructure. This is improvements at those two prisons and particularly important given that the state has concentrate resources for infrastructure already faced some infrastructure-related improvements at the remaining prisons. litigation. Specifically, on June 4, 2019 a court Accordingly, under this approach, the state found that a failed roof on a dining facility at could more quickly address the most pressing the Substance Abuse Treatment Facility in infrastructure problems across the prison Corcoran—which was allowing water, mold, Population Management Options The state has various options it could consider to reduce the need for contract prisons. Specifically, the state could take steps to: • Reduce the Inmate Population. The state could further reduce the inmate population, such as by increasing credit earning rates or enacting sentencing changes. For example, elderly inmates are generally considered for release if they have served more than 25 years in prison and reach 60 years old. Reducing the time served or age eligibility requirements could increase releases. • Place Inmates Outside of Contract and State-Owned Prisons. The state could house inmates in placements other than contract and state-owned prisons. For example, the state could increase the conservation camp population by expanding inmate eligibility (such as by allowing inmates with minor felony detainers into camps) or providing greater participation incentives (such as better pay). (For more information about the state’s options to increase the conservation camp population, please see the “Conservation Camps” section of our report The 2020-21 Budget: Criminal Justice Proposals.) • Reduce Buffer Against Population Cap. The state could also house more inmates in the 34 prisons by reducing the roughly 2,000 inmate “buffer” against the cap. (As mentioned earlier, the California Department of Corrections and Rehabilitation (CDCR) houses about 2,000 fewer inmates than is allowed as a buffer to avoid violating the court-ordered limit on prison overcrowding in the event that the inmate population increases unexpectedly.) For example, CDCR could shift 500 inmates from contract beds to state-owned prisons without exceeding the cap. However, the state may want to take additional actions to mitigate the increased risk of violating the court order. For example, it could consider establishing agreements with county jails to temporarily delay the transfer of newly convicted inmates to prison in the event that the inmate population increases unexpectedly. However, we note that paying counties to house these inmates would somewhat offset the state savings associated with prison closure and/or removal of inmates from contract prisons. 12 LEGISLATIVE ANALYST’S OFFICE analysis full gutter 2020-21 BUDGET bird feces, and maggots to fall into inmate would likely not want to close a prison with dining areas—violated the U.S. Constitution’s a specialized mission unless it can shift that prohibition on cruel and unusual punishment. function to another prison or determine that Accordingly, the court ordered CDCR to cease the function is no longer needed. using the dining facility within two weeks until • Ability to Adequately Provide Services the roof could be repaired. Undermined by Location. Some prisons • Achieve State Savings. In addition have difficulty providing adequate health care, to avoiding the need to make costly rehabilitation, and other inmate services. infrastructure improvements at the prisons Often, this is because their remote location that are closed, prioritizing prison closure makes it challenging to recruit and retain would create operational savings for the health care employees (such as physicians). state. This is because the department would Accordingly, prisons that have difficulty save about $90,000 annually per inmate by providing adequate services due to their closing state prisons, whereas it saves roughly remote location should be prioritized for $35,000 per inmate annually when it removes closure over prisons that operate more inmates from contract prisons. We estimate effectively. that prioritizing prison closure over removal of Ranking facilities based on the above criteria— inmates from the remaining contract prisons and any other criteria that the Legislature may would allow the state to achieve about wish to consider—would allow the state to identify $100 million in additional annual operational which two prisons to close in the near term. savings relative to closing contract beds. We recommend that the Legislature direct the department to provide this prison ranking before Identify Prisons for Closure the May Revision as this information would help Based on Key Criteria inform deliberations on the 2020-21 budget. For example, the administration’s request for Whether the state chooses to close two prisons $5.9 million (General Fund) in 2020-21 for in the near term, or only one as proposed by health care facility repairs at CRC should not the Governor, it will need to identify the prison be approved if the facility will be closed in or prisons it will close. In order to guide the the near future. Accordingly, we recommend identification of prisons for closure, we recommend the Legislature withhold action on all prison that the Legislature direct CDCR to prioritize infrastructure proposals until it receives this prisons for closure using the following criteria: ranking. When the department has provided • Per Inmate Cost Avoidance. The state this list—or the Legislature has created its own would create greater savings to the extent list—we recommend not approving infrastructure it prioritizes for closure prisons that would modification proposals at the two highest ranked be costly to continue operating indefinitely prisons unless they are critical, short-term repairs relative to the design capacity that they add to essential to operating the prison until it is closed. the entire system. This means that the state should consider closing prisons with high Require Development of Detailed operational costs and/or costly infrastructure Prison Closure Plan needs but relatively low design capacity. After identifying which prisons to close, the • Operational Needs. Closure of prisons with state will need a plan to address the logistics of specialized missions would have significant implementing the closure process. As a part of the operational implications. For example, closure prison closure process, the state will likely bargain of either the CMF or CHCF would jeopardize with unions who represent the employees at the the state’s ability to provide health care to prisons slated for closure on how to minimize its inmates that have the most severe and the effects on the workforce and day-to-day long-term needs. Accordingly, the state www.lao.ca.gov 13 analysis full gutter 2020-21 BUDGET operations. For example, the state may develop an Identify Infrastructure Projects to agreement with unions specifying the amount of Pursue money that employees who are required to relocate We recommend that the Legislature direct CDCR to fill CDCR vacancies elsewhere would receive. to provide, by January 10, 2022, a list of significant, To the extent that there are not enough vacancies high-priority infrastructure projects that should be to accommodate employees affected by prison accomplished over the next ten years. Below, we closure, the state may want to create incentives for outline various factors that we recommend the employees to voluntarily separate from state service Legislature direct the department to consider in in lieu of a layoff. This would encourage more senior developing this list. employees—who are more costly to the state and would otherwise not be affected by the layoff—to Possibility of Further Prison Closures. To voluntarily leave state service and prevent the need the extent the inmate population continues to for less senior employees to be laid off. decline after June 2024, it is possible that the state would be able to close additional prisons in the The state could consider other alternatives as medium term. The state will want to identify these well, such as training employees at risk of layoff prisons, based on the criteria discussed earlier to fill vacancies elsewhere in the department in this report, so that it can appropriately gauge or state government. Given the complexities of the degree of infrastructure upgrades to make at implementing these details, the layoff process can these prisons. For example, if it appears likely that take six to nine months to complete. In addition, a particular prison may be closed in ten years, there are various other logistics that will require it would be reasonable for the state to approve advanced planning, such as how the inmate funding to replace an electrical generator with an population at the prison will be drawn down and expected useful life of roughly ten years. However, transported elsewhere. Accordingly, we recommend it could be reasonable for the state to continue to that the Legislature direct the administration to repair leaking pipes at that prison as needed rather begin developing a closure plan as soon as the than fund a prison-wide replacement of piping that prisons slated for closure have been identified. We would have an expected useful life beyond ten recommend that the closure plan and associated years. In contrast, at a prison the state expects labor agreements be submitted to the Legislature to operate indefinitely, it might opt to replace both by January 10, 2021 for consideration as part of the electrical generator and piping, as it would be the 2021-22 budget process. more cost-effective than repairing the leaking pipes repeatedly for long periods of time. REQUIRE CDCR TO DEVELOP Currently, it is difficult to assess how many A STRATEGY TO IMPROVE prisons the state will likely need to operate in INFRASTRUCTURE ten years because CDCR’s projections of the inmate population only extend five years. To help After identifying which prisons to close in the determine whether additional prison closures near term—and, therefore, which prisons will be may be warranted in the future, we recommend operated over the medium and long terms—we that the Legislature direct CDCR to estimate the recommend that the Legislature direct CDCR to likely impact of known significant changes in create a strategy to improve the infrastructure at sentencing and credit earning rates over the next these prisons. Specifically, we recommend the ten years both on the overall inmate population department (1) identify which projects should be and key subpopulations, such as the number pursued and (2) determine a priority order and of inmates requiring high-security housing. This time line for accomplishing these projects. information—along with the prison prioritization list discussed above—would help the Legislature determine what level of infrastructure upgrades to make at prisons that may be closed in the medium 14 LEGISLATIVE ANALYST’S OFFICE analysis full gutter 2020-21 BUDGET term. We recommend requiring the department other prisons. This could create substantial to provide these long-term inmate population ongoing operational savings. Accordingly, projections by January 10, 2022 and annually in determining whether to repair or rebuild thereafter. These projections would allow the state facilities, the department should consider to annually readjust its expectations for the need whether ongoing operational savings for infrastructure projects. that could be achieved by redesigning or Actual Viability of Existing Infrastructure. As consolidating facilities would justify the higher discussed above, the study of the state’s 12 oldest cost of rebuilding as opposed to repairing prisons often recommended repairing or replacing them. systems in buildings critical to prison operations • Rebuilding Facilities in Better Location. As if they were nearing or past their expected useful discussed above, some prisons have difficulty life. However, the study also noted that with providing adequate services to inmates due diligent maintenance, some systems can be to their remote location. Accordingly, CDCR reliably operated past their expected useful life. should consider rebuilding prisons or portions Accordingly, when identifying which projects are of prisons in areas where it is easier to deliver necessary, CDCR, should consider which of the services to inmates. This consideration buildings and systems recommended for repair or would be particularly important if the state is replacement can continue to function for a longer already going to be rebuilding a significant period of time with appropriate maintenance. portion of a prison. For example, rather than This would help the state to focus infrastructure rebuilding a housing unit at a remote prison, upgrades on the buildings and systems that are the department should consider whether it most likely to fail in the near future. could achieve better programmatic outcomes Alternatives to Repairing Existing Facilities. by closing the facility and building a similarly As discussed above, the study assessing the sized housing unit as infill on the grounds of state’s 12 oldest prisons made recommendations a different, less-remote prison. In addition to for repair or replacement of infrastructure based improving staff recruitment, this would likely largely on the cost of needed repairs as a percent place more inmates closer to their families and of the cost of rebuilding. The study did not allow the state to take better advantage of consider other potential operational cost savings or volunteers located in urban areas who often programmatic benefits that could be achieved by assist with operating rehabilitative programs. redesigning, relocating, or consolidating facilities • Redesigning Facilities to Better Meet rather than simply repairing or rebuilding them Inmate Needs. In considering what similar to their current designs. Accordingly, we infrastructure projects to pursue, CDCR recommend that the Legislature direct CDCR to should not only assess infrastructure needs consider: based on facility age and condition, as was done in the study of the 12 oldest prisons, • Redesigning or Consolidating Facilities but also whether existing infrastructure— to Achieve Lower Operational Costs. As regardless of condition—is appropriately discussed above, design features—such as meeting inmate needs and legislative clear lines of sight on recreation yards and priorities. This means that the department in housing units—can reduce the amount should assess the need for additional of custody staffing needed to operate the high-security housing, classrooms, health prison. In addition, consolidating prisons care space, suicide prevention features, could reduce overhead costs of operating accessibility modifications, or security features them. For example, rather than repairing (such as video surveillance systems). In or rebuilding housing units at one prison, addition, if the state does decide to rebuild CDCR could close the prison and rebuild the significant portions of prisons, this would housing capacity as infill on the grounds of present an opportunity to better align prison www.lao.ca.gov 15 analysis full gutter 2020-21 BUDGET design with current correctional policies— one of the 12 oldest prisons. However, the such as a greater emphasis on rehabilitation study recommended replacing those housing than existed when many of the state’s prisons units entirely. While it is unclear if CDCR will were built. actually replace those housing units, if it did so, it would need to reinstall a new air cooling Develop Project Priority Order and systems in the replacement housing units— effectively paying for two air cooling projects. Time Line Given that there will not be time for the state After identifying a list of projects to accomplish to finalize its infrastructure improvement over the next ten years, the state will need to strategy to inform the 2020-21 budget determine when the projects will be completed. process, we recommend that the Legislature Accordingly, we recommend that the Legislature direct CDCR to explain in budget hearings direct CDCR to provide a project priority order how each of the proposed infrastructure and time line by January 10, 2023. We further modification projects would interact with recommend directing the department to develop potential future infrastructure projects. this project prioritization and time line using the • Assess Whether Grouping Projects by following steps: Location Would Reduce Costs. Construction projects in areas where inmates are present • Prioritize Addressing Issues That Threaten often cost more than similar projects Inmate, Staff Well-Being. CDCR should first completed elsewhere. This is because security prioritize addressing infrastructure needs that protocols—such as counting construction threaten inmate and staff well-being. This tools—lengthen project time lines, creating would help the state minimize the possibility additional costs. Accordingly, CDCR could of infrastructure emergencies that could harm potentially reduce construction costs by inmates or staff or prevent the department temporarily removing inmates from a portion from being able to use significant portions of of a prison in order to complete all of the a prison on short notice. This, in turn, would projects in that area. On the other hand, likely help reduce litigation risk. reducing the inmate population at a prison • Prioritize Projects that Create Significant could also reduce the amount of inmate labor Operational Savings. Next, CDCR should available to assist with construction work prioritize projects that would create significant through the department’s Inmate Ward Labor ongoing operational savings. For example, (IWL) program, which could in turn, increase repairing a guard tower would eliminate costs. (The IWL program hires inmates to the need for staffing additional correctional work on infrastructure projects at its prisons. officers to provide perimeter security. These inmates earn between $0.35 and • Time Projects to Prevent Unnecessary $1.00 per hour and learn various skills, Costs. In determining a project order, CDCR such as roofing or building foundation pads, should avoid making modifications to a facility depending on the nature of the project.) that is then rebuilt or renovated only a few years later. For example, CDCR is currently pursuing a project to install air cooling systems in several inmate housing units at the California Institution for Men in Chino, 16 LEGISLATIVE ANALYST’S OFFICE analysis full gutter 2020-21 BUDGET CONCLUSION Given the magnitude of the state’s prison closing two prisons and prioritizing infrastructure infrastructure needs, combined with the possibility projects at the remaining prisons. Following our of closing prisons in the near future, it is important recommended road map would allow the state for the state to have a near-term and long-term to more effectively and efficiently address the plan to manage its prison infrastructure. In order to continued decline in the inmate population and the guide the Legislature in the development of such significant repairs needed at many of its prisons. a plan, we outline in this report a road map for www.lao.ca.gov 17 analysis full gutter 2020-21 BUDGET LAO PUBLICATIONS This report was prepared by Caitlin O’Neil, and reviewed by Drew Soderborg and Anthony Simbol. The Legislative Analyst’s Office (LAO) is a nonpartisan office that provides fiscal and policy information and advice to the Legislature. To request publications call (916) 445-4656. This report and others, as well as an e-mail subscription service, are available on the LAO’s website at www.lao.ca.gov. The LAO is located at 925 L Street, Suite 1000, Sacramento, CA 95814. 18 LEGISLATIVE ANALYST’S OFFICE