(1) As used in this section, unless the context otherwise requires: (a) "Inmate labor program" means a program operated at a nonstate-owned prison facility as a business or for profit utilizing in whole or in part labor of inmates; except that "inmate labor program" does not include a program that is operated by a local government or combination of local governments of this state as a nonprofit business within the jurisdiction boundaries of the local government or governments and whose operation has been reviewed and approved by the local government or local governments. (b) "Nonstate-owned prison facility" means any private correctional facility or any jail or other detention facility operated by a political subdivision of the state that houses state prisoners or that houses inmates from another state whose incarceration in this state is approved pursuant to section 17-1-104.5; except that "nonstate-owned prison facility" shall not include a jail or other detention facility operated by a political subdivision of the state that only houses state prisoners pursuant to a contract under section 16-11-308.5 (2), C.R.S., or a facility in which a community corrections program is operated pursuant to article 27 of this title. (2) (a) On and after March 1, 1999, all inmate labor programs operated at a nonstate- owned prison facility shall be approved by the division prior to commencing operations. (b) Repealed. (3) (a) On or before February 1, 1999, the division shall promulgate rules governing the approval required by subsection (2) of this section including but not limited to: (I) Establishing a procedure for approving inmate labor programs that shall include review by the correctional industries advisory committee of a business plan for each inmate labor program; (II) Establishing the duration of any approval and procedures for reapproval and revocation of any approval; (III) Requiring all inmate labor programs to comply with all federal laws and regulations relating to the use of inmate labor; (IV) Requiring that all goods or services be priced at prevailing market rates; except that goods or services sold to governmental or nonprofit entities may be priced at wholesale cost; (V) Requiring that persons employed by a nonstate-owned prison facility shall not be involved in decisions involving the inmate labor program relating to persons or entities with whom the person has a conflict or potential conflict of interest; (VI) Requiring that inmates be compensated as determined by rule promulgated by the department; (VII) Requiring that all records pertaining to inmate labor programs shall be available for inspection and copying by representatives of the division to ensure compliance with this section and any rules promulgated thereunder; and (VIII) Requiring nonstate-owned prison facilities to reimburse the division for any expenses incurred in certifying and monitoring the inmate labor programs. (b) The rules promulgated pursuant to this subsection (3) shall be substantially similar to the rules governing programs at facilities operated by the department. (4) (a) Each nonstate-owned prison facility operating an inmate labor program shall hold wages earned by an inmate in a revenue-producing account for the inmate until the inmate is paroled or discharged from custody. Out of the wages held for an inmate pursuant to the provisions of this subsection (4)(a), the nonstate-owned prison facility shall make disbursements pursuant to the provisions of section 17-24-122 (5) and (6). (b) Each nonstate-owned prison facility operating an inmate labor program shall hold and distribute wages earned by an inmate from a state other than Colorado pursuant to the statutes and rules of that state or the contract between that state and the prison facility.
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