(1) When KRS 197.510 or any other statute relating to contracting for the private operation of prisons requires a performance bond, an irrevocable letter of credit or a performance bond in a form satisfactory to the Commonwealth may be substituted. (2) The contract shall also protect the state's interest in providing a continual level of prison beds available without a su dden drop in the number of prison beds available or the need to release inmates or provide for their transfer to other facilities.
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