Appropriations Summary

Actual[54]

Recommended

Savings

Interdepartmental Grants:

$6,628,700

$6,628,700

0

Federal Funds:

$5,546,900

$5,546,900

0

State General Fund/General Purpose:

$1,268,796,000

$989,162,316

$279,633,684

Special Revenue Funds:

$34,119,200

$34,119,200

0

Gross Appropriation:

$1,315,090,800

$1,035,457,116

$279,633,684

The Michigan Department of Corrections (MDC) administers Michigan's adult prison, probation, and parole systems. Currently, the state operates 30 penal facilities and a number of correction camps.

The MDC has grown like no other state department over the past 15 years. Total staffing for the department grew from 4,921 in 1980 to 16,803 in 1995; and funding increased from $172 million to over $1.3 billion during the same period.[55] And unless substantive changes are made, the department's budget will continue to spiral out of control.

Fortunately, there is one very fundamental change that could be implemented within the next fiscal year that would dramatically alter the current state of events--the privatization of correctional facilities. Several states have experienced significant cost savings from the privatization of prisons (including maximum security facilities) with no evidence of decreased quality. Michigan should follow the leads of these states and privatize the management of its facilities immediately.