Cashing In On Crime II - The Prison Industrial Complex > Back To Resources Main

by Randall Shelden; April 22, 2004

Private interests and the entire criminal justice industrial complex (police, the courts and the prison system) have a vested interest in keeping crime at a certain level. They need victims, they need criminals, even if they have to invent them, as they have throughout the "war on drugs" and "war on gangs" or "recycle" them via the modern system of parole. As already noted in Part I of this series, corporate interests are heavily involved in the continued existence of prisons. Quite often there is a close link between corporate and political interests, as the following section makes clear.

Corporate Interests: the Role of ALEC

A little know fact about the prison industrial complex is an organization known as the American Legislative Exchange Council (ALEC). The mere existence of this organization demonstrates the classic connections between politics, economics and the criminal justice system. The membership consists of state legislators, private corporations and criminal justice officials. More than one-third of the state lawmakers in the country (2400) belong and they are, not surprisingly, mostly Republicans and conservative Democrats. Their mission is, ironically, to promote "free markets," along with small governments, "states’ rights" and, of course, privatization. Corporate membership dues range from $5,000 to $50,000 annually. Corrections Corporation of America is a member of this group, which is not surprising. However, members also include a veritable "who’s who" of the Fortune 500, such as Ameritech, AT&T, Bayer, Bell Atlantic, Bell South, DuPont, GlaxcoSmithKline, Merck & Co., Sprint, Pfizer, to name just a few.

Within ALEC there is a "Criminal Justice Task Force." Among the duties of this group is to write "model bills" on crime and punishment. Among such "model bills" they helped draft include "mandatory minimum sentences," "Three Strikes" laws, and "truth in sentencing." All of these bills, or variations, have been passed in most states and have contributed heavily to prison growth. Tommy Thompson, former Wisconsin Governor and current head of Health and Human Services in the Bush Administration, was once a member of ALEC. He was recently quoted as saying that "I always loved going to these meetings because I always found new ideas. Then I’d take them back to Wisconsin, disguise them a little bit, and declare that ‘It’s mine’." Edwin Bender of the National Institute on Money in State Politics, and a critic of ALEC, says that: "Bayer Corporation or Bell South or GTE or Merck pharmaceutical company sitting at a table with elected representatives, actually hammering out a piece of legislation – behind closed doors, I mean, this isn’t open to the public. And that then becomes the basis on which representatives are going to their state legislatures and debating issues."

Prison Unions Need Convicts

The reasons behind the growth of prisons are many and varied, but two words sum it up best: politics and economics. Politics in the sense that elected officials want to be reelected and sounding (tough on crime( gets votes. Economics in the sense of not only the money to be made by businesses, but also the number of jobs created. Protecting those jobs is often done by strong unions representing criminal justice workers.

California is a good example of this. The California Correctional Peace Officer's Association (the union representing prison guards) has become a potent political force in that state. In 1990 they gave almost $1 million to Pete Wilson's successful campaign for governor. The total contributions given in 1990 were 10 times that given by the California Teachers' Association. They contributed $101,000 toward Proposition 184, which created the "Three Strikes and You're Out" law.

This union has a vested interest in growing prison populations. In 1980 California had only 22,500 prisoners, while the average salary of a prison guard was $14,400, and the budget for the California Department of Corrections was $300 million. By 1996 there were more than 140,000 prisoners, the average salary of the guards stood at $44,000, 58 percent above the national average, while the budget was $3 billion. (Prison jobs constituted almost half of the growth in state jobs during this time.) The union had only 5,600 members in 1980; currently they have around 28,000 members, collecting about $8 million in dues annually and have a budget of around $17 million. Before he was ousted from office, California Governor Gray Davis approved rather large salary increases for correctional officers (no doubt a reward for the generous contributions to his race for governor), which would bring their starting salaries up to around $70,000 in five years, twice the money paid to teachers.

The most recent example of the power of this union is their stance toward a program that allows prisoners to earn college credits at Ironwood State Prison in Blythe. This program is one among many examples demonstrating that the more education a prisoner receives while in prison, the lower the recidivism rate. But apparently lowering recidivism rates is not on the agenda of this union. In typical exaggerated conservative language, the union complains that it is not right for taxpayers to fund college courses for rapists, murderers and the like (they ignored the fact that the vast majority of prisoners have not committed a violent crime). A union memo complained about a similar program at another prison, saying that it is wrong to provide education to prisoners rather than offering tuition assistance (to people in the community who pay taxes and may benefit from these services.( A flyer sent to union members working at the Ironwood prison urged them to boycott (all management functions( and urged them to (Just Say No( to tax payer-funded college education for inmates, suggesting that (lifers, some of who [sic] are rapist [sic], molesters and murders [sic] receiving a free college education.( (Note the poor grammar in this memo, which suggests that the person who wrote it could use some college-level English courses offered at some prisons.) College officials countered this charge, saying that with this program they were able to expand some of the programs, hire new faculty and increase opportunities for disadvantaged students not in prison. Several studies show that such programs are successful and a program in Arizona resulted in a recidivism rate of only 10 percent, compared to about 60 percent nationally.

Recycling Prisoners: the "Perpetual Prisoner Machine"

To guarantee a steady supply of (clients( requires a lot of work. The criminal justice system seems to be in the business of merely processing as many cases as possible and especially to sort of (recycle( previous cases. This "recycling" of prisoners is often done through the parole system. A recent study by criminologists Stephen Richards, James Austin and Richard Jones demonstrates that rather than assist released prisoners in their adjustment to the outside world and help them (go straight,( the parole system almost guarantees failure. Increasing proportions of new commitments to prison are parole violators. Nationwide, in 2001 more than one-third (36%) of new prison commitments were parole violators, up from 29% in 1990. In California, however, the percentages are even higher at 54%. However, one must wonder if it is really a (failure( in the true sense of the word. It is almost seems like those controlling the criminal justice system view (success( as providing a steady stream of convicts. This writer once heard the director of a state parole system say "We train our parole agents to catch violators." A sign on the wall of one parole agent in California summed up this system very well. The sign read "Trail em, surveil em, nail em, jail em."

Just to give you an idea of the impact of probation and parole violations a recent survey by the Department of Justice found that almost 40 percent of those sent to prison in 1997 (latest figures available) were parole violators. At least half did not commit a new crime, but instead were sent back on what are called "technical violations and the most common reason was that they positive for drugs. Drug testing, by the way, has become a huge business. Let’s explore this in more detail.

Peeing for Profit: the Drug Testing Industry

Consistent with what seems to be a national obsession over drugs, more than 15 million Americans were tested for drugs in1996, double what it was five years earlier. A report called (Drug Monitoring and Abuse Testing Business(released in January, 1997 (produced by Business Communications Company, Norwalk, CT), noted that revenues for drug testing businesses grew as much as 15 percent annually during the first half of the 1990s. In 1996, the drug testing market took in around $628 million in revenues, increasing to about $737 million in 2001.

It has been estimated that about 61% of all major businesses test their employees, plus more than 500 school districts test their students. An estimated 20-25 million Americans are tested for drugs each year One method of drug testing is the (Drug Alert( tester, of SherTest Corporation, which targets family members. This device, the company claims, can be used to increase love and care between parents and children by (breaking down the barriers of denial between parent and child.( Another company, Barringer Technologies, Inc., makes (particle detection devices( for the police, claiming it has sold (thousands( of $35 (testing kits.( Psychometrics Corporation introduced a new kit, selling for $75, and the day after it hit the market, the value of the company(s stock tripled!

A cursory examination through the Internet of various companies in the drug testing business is quite revealing. To begin with, drug testing is part of a much larger market. A company that does market research (www.marketresearch.com) reports that there is a "point-of-care (POC) diagnostic test market" which is "expected to reach revenues over $900 million in 2008." A "fact sheet" from a company called Beckman Coulter says that there is a $35 billion biomedical testing market. This market includes research and development, clinical research testing and patient care testing. Presumably, testing for illegal drugs falls within the latter category (patient care testing), which totals around $21 billion. According to a publication called "Cannabis News" home drug testing has become a "cottage industry" with ads all over the Internet that meet "the needs of parents who fear that their teens are using drugs – and also of teens that are afraid of getting caught. Home drug test kits, along with sometimes wacky methods of circumventing them, are available online, and many sites sell both." Searching the Internet, I found some interesting examples such as:

* Mrs. Test (www.mrstest.com) - features home drug testing kits (e.g., "10 Panel Multi Drug Urine Test Kit,""1 Step THC Marijuana Urine Drug Test Cassette," "Cocaine Cassette Drug Urine Test," plus about 30 more similar kits);

* Drug Test Systems (www.drugtestsystems.com) – "The Professional Choice for affordable drug and alcohol testing supplies" that includes the "Drug Check "No-Step Drug Test Cups";

* Test Country (www.testcountry.com) – the "Home Test Kit Superstore"; such products as the "PDT-90 Confidential Hair Testing Kit";

* Meth Test Source (www.lowvoltsource.com/drugtest/meth) – "are you an employer who needs to conduct random or comprehensive drug testing on a regular basis? Checkout our 10-packs for great value on quantity purchases."

Thousands of parolees, most of whom have trouble kicking their drug habit (due in large part to the dearth of treatment available, both inside and outside of prison), often fail their drug test (a test that has become an important part of the parole and probation system and an important method of controlling them). Those on parole are constantly being tested, so naturally some companies have sought this unique market in order to make a buck. A report entitled "Parolees Foil Drug Testing" notes that many federal parolees who have drug problems have figured out a way to use "fake penises and laboratory-cleansed urine" in order to cheat on their urine tests. Some of these ex-cons bought the kit from some California-based suppliers. The kits often include a "prosthetic penis" connected to a "pouch of battery-warmed reconstituted urine concentrate" have caused much concern to prison officials and parole agents. Further investigation revealed that one of the kits is called the "Whizzinator" and is made by a company called Puck Technologies of Signal Hill, California (in Southern California, near Long Beach). It sells for $150. A testimonial on their web site boasted that a man passed the tests "over 100 times." A Canadian company called Clear Test distributes a product called "The Urinator." Their web site claims that the product can be used "hundreds of times" and that clients even "rent it out to their friends." Another company, known as "Clear Choice of New York" claims that "We are positive you will test negative."

Drug testing has come under heavy criticism because many of the tests are not very effective. A study by the American Civil Liberties Union challenges the effectiveness of drug testing, charging that it is a "pseudo-science." They note that drug testing is not effective as a deterrent to drug use among young people and that it is "expensive, taking away scarce dollars from other, more effective programs that keep young people out of trouble with drugs." They also note that drug use "does not pose significant productivity or safety problems in the work force." The ACLU cites a 1994 study by the National Academy of Sciences which concluded that the data collected by several studies "do not provide clear evidence of the deleterious effects of drugs other than alcohol on safety and other job performance indicators."

One important aspect of the recent surge in prison construction needs to be considered, for it does not bode well for the democratic process. I am referring here to the fact that well over half of all prisons built during the past 10-15 years are in rural, mostly white, and mostly Republican areas. The implications of this trend will be discussed in Part III of this series.

Randall G. Shelden is Professor of Criminal Justice at the University of Nevada-Las Vegas. He is the author and co-author of several books on crime and criminal justice, including Controlling the Dangerous Classes: a Critical Introduction to the History of Criminal Justice, Criminal Justice in America: a Critical View, Girls, Delinquency and Juvenile Justice and Youth Gangs in American Society. His web site is: http://www.sheldensays.com.

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