The Prison Industrial Complex:
A historical analysis of America’s
incarceration habit
Presented by: Katrina Bennett, Todd Brunkow, Stephanie Crabb, Celine Geday, Niles
Lienhart, Randi Middagh, Katy Zilverberg.
“The prison industrial complex is not only a set
of interest groups and institutions. It is also
state of mind. The lure of big money is
corrupting the nation’s criminal justice system,
replacing notions of public service with a drive
for higher profits.”
-Eric Schlosser
Prison Profiteering:
The Business of Incarceration
History of Private Prisons
 Private prisons began in New York in the 1980’s as a result of overcrowding in
the prisons, and a lack of taxpayer and government willingness to finance more
prisons.
 Over the next few decades privatized prisons began appearing more and more
frequently throughout the United States.
 BENEFITS: Inmate populations have been climbing steadily over the last few
decades, but there is not enough funding in the states to house all the new
inmates. Private prisons provide much needed relief for overcrowded prisons.
Costs of the Privatization of Prisons
The privatization of prisons means that prisons are no longer just staterun services, privatization means that prisons are now a venue for an
array of people and businesses to make money. Taking control away
from the state and the change to prisons as a business have led to a
number of issues including:
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Lack of laws within privatized prisons
Illegal use of inmate labor
Bed Brokers
The transfer and unsafe transportation of prisoners
 Globalization of private prison companies
Impact on Other Businesses
 The business aspect of prisons goes beyond just the private prison companies.
There are a number of newly developed and preexisting companies that are
benefiting from the huge boom in inmate population and the demand for
prisons.
 Entire companies have developed to manufacture goods and supply the prisons
with everything from food to beds to security devices.
 Preexisting companies are also making money off the ever-growing prison
system. Phone companies (like MCI), for example, make deals with prisons to
provide them with their phone service. Inmates (who use pay phones more than
any other group of people) are charged incredibly high rates, while a share of
the profits is given to the prison. Both the prison and the phone company make
money off of their monopoly on phone service for inmates.
By the Numbers
 There are currently over 2.1 Million people incarcerated in the United States, or
approximately 724 per 100,000.
 Each year an additional 50-80,000 will be incarcerated
 It is predicted that by the year 2010, there will be 2.6 million people
incarcerated.
Legislation
Laws that have influenced the
creation of the prison industrial
complex
A few Facts
 The years of 1963-1972 saw the number of California inmates decline
by more than a fourth.
 Congress voted in 1970 to do away with federal mandatory-minimum
sentencing, then brought it back in the 1986 Anti Drug Abuse Act.
 Since 1991 the violent crime rate has declined by 20%, yet the prison
population has increased by 50%.
 Both the Reagan and Bush administration’s have been strong supporters
of private prisons.
3 strikes, you’re out
 Since it applied to all felonies across all classifications of crimes, drug
offenders became a prime target.
 The law catches offenders of lesser crimes such as burglary, and
possession of small amounts of illicit substances.
 The offender will receive 25-life, regardless of what the third offence
was.
 Example of “3 Strikes, you’re out” effects: Chino’s Story
Legislation of the War on Drugs
 In 1973, Nelson Rockefeller (R, New York), demanded that “every illegal drug dealer be
punished with a mandatory prison sentence of life without parole.”
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In 1981, republican president Ronald Reagan declared the “War on Drugs”.
 The number of drug offenders currently incarcerated in the state of California is double
the number of inmates in 1978 who were incarcerated for ALL CRIMES.
 This increase in drug offenders in prisons have created a market for keeping the “War on
Drugs” alive.
 Filling beds makes money for private prisons. The more inmates, the more money.
How do these laws affect The PrisonIndustrial Complex?
 Due to the number of small time criminals behind bars, the prisons are
overcrowding. This overcrowding means that more prisons must be built.
 Many states have turned to private prison companies such as Correction
Corporation of America.
 In the 1990’s inmates from across the country were imported to private prisons
which were outside of the state they had been incarcerated.
 Economic reasons may influence a politician’s attitude toward making or
eliminating laws. This includes the current drug laws.
Coast to Coast:
Examining New York and California,
architects of the prison-industrial
complex.
California
 Once praised liberal criminal-justice system of the past is presently the
best example of inefficiency in the country.
 Has not only the largest but most overcrowded prison system in the US.
 Demand for inmate housing forces the state to spend more on
construction while neglecting drug treatment programs and probation.
 Prison system has essentially become a revolving door for poor, highly
dysfunctional and often illiterate drug users.
Facts and Figures
 DOC estimates an additional $6.1 billion will be needed for prison construction
over the next decade to maintain current levels of overcrowding.
 California operates a number of prisons that house 6,000 inmates - about six times
the national average size.
 The states backlog of arrest warrants is 2.6 million. There is not currently room in
the corrections system for these individuals
 In 1996, more than 325,000 inmates were released from jail early to make room for
more serious offenders
 In 1997, California sent about 140,000 people to prison but released about 132,000.
 Close to half of California Prisoners released are illiterate. 85 percent are substance
abusers.
 The typical offender sent to California prison has five prior felony convictions.
New York
 Origins of the prison-industrial complex traced to New York state governor
Nelson Rockefeller and one of his Successors, Mario Cuomo.
 State prison boom set n motion by Cuomo’s use of the Urban Development
Corporation, despite public and political opposition.
 This corporation had the advantage of financing prison construction by issuing
state bonds without voter approval.
 In effect, the UDC was transformed into a rural development corporation that
invested billions of dollars in upstate prisons, while renting these facilities to the
Department of Corrections at the expense of taxpayers.
Facts and Figures
 In 1972, the number of inmates in New York reached its lowest level since
1950.
 Initial Rockefeller drug laws issued the convicted a harsh new sentence of
fifteen years to life for possessing four ounces or distributing two ounces of an
illegal drug.
 Between 1982 and 1994, Mario Cuomo added more prison beds in New York
than all other previous governors combined, spending $7 billion in the process.
 From 1982 to 1990 the states inmate population doubled. Even with all these
criminals off the street, violent crime rose 24 percent in the same period.
 During Cuomo’s tenure, twenty nine new correctional facilities were
constructed.
 Between 1973 and 1995, New York’s inmate population had increased almost
fivefold. Despite the incredible rate of construction, the prison system was
more overcrowded than it had been when the prison boom began.
The War on Drugs:
A driving force behind the prison
boom
Drug Policy and Recent Trends
 Roughtly 1000 new Prisons have been built in the past 2 decades, largely to
accommodate non-violent criminals.
 Since 1991, the rate of violent crime in the united states has fallen by about
20%, while the number of inmates has risen by approx. 50%.
 Currently, Sixty percent of prison occupants are in prison due to drug offenses
Race, Gender and Incarceration
 African Americans currently make of seventy-four percent of the prison
population, and fifty-five percent of drug convictions, but only thirteen
percent of drug-users.
 Black men are 5 times more likely than white men to be arrested for a
drug offense
 1 out of every four black men will be incarcerated at some point in their
lifetime.
 Of 80,000 women in prison, 70 % are nonviolent offenders.
Yvonne
Key Findings on the Failures of DrugFree Zones
 In Massachusetts, it was found that less than one percent of drug-free zone
cases actually involved sales of drugs to youth.
 In New Jersey, fewer than 1% of arrests takes place outside drug-free zones.
Within the zones there has been a steady increase in arrests since the law was
implemented.
 A Utah study found that most sales occur not on the streets, but within a
residence that simply happens to be located within 1000 feet of a school.
Problems Facing Drug Felons PostIncarceration
 Many states will withhold identification or drivers license from drug felons for
up to 3 months after release. This makes it nearly impossible to land a job or
rent an apartment.
 Drug felons are at least partially ineligible for welfare benefits in all states.
Many states also restrict access to public housing
 Federal student loans are not available to drug felons. Ironically, felons
convicted of assault, burglary, and rape are still eligible for this benefit.
 Voter Disenfranchisement
Postsecondary Correctional
Education
A Potential Way to Reverse the
Current Trends.
Incarceration is a Growing Problem
in the U.S.
Incarceration rate
Prison Population
There are multiple factors
contributing to this growth
War on Drugs
Legislation
Voter Apathy + Private industry
Release Without Preparation
Education is closely tied to prison
population
Average prisoner is less educated than
average citizen
Only 11% of prisoners with some college
Inmates with some college have lower rate
of recidivism
How does lack of education
contribute to imprisonment?
Low socioeconomic status + lack of
education = low opportunity
High school diploma no longer adequate
Minimum wage
PCE from a humanitarian perspective
Benefits to honest, hard work
Recognize consequences
Role models for children
Increased ability to attain employment
Does postsecondary correctional
education work?
Less infractions
Increased self-esteem & communication
Lower recidivism rates
PCE from a fiscal perspective
Average yearly cost of incarceration
Maryland study shows significant savings
95% of felons eventually released into
community
Texas study also demonstrated savings
For More Information
www.sentencingporoject.org
The Sentencing Project is a 501(c)(3) non-profit organization which
promotes reduced reliance on incarceration and increased use of more
effective and humane alternatives to deal with crime. It is a nationally
recognized source of criminal justice policy analysis, data, and program
information.
Staff of The Sentencing Project provide leadership and training to a broad
range of criminal justice practitioners on policies and practices designed to
produce more constructive outcomes in the system.