LA Department of Public Safety and Corrections
Contract #:_____________________________
MANAGEMENT SERVICES AGREEMENT
BETWEEN
STATE OF LOUISIANA
DEPARTMENT OF PUBLIC SAFETY AND CORRECTIONS,
CORRECTIONS SERVICES
AND
CORRECTIONS CORPORATION OF AMERICA
Contract#:
THIS CONTRACT is made and entered into by and between the Department of
Public Safety and Corrections, Corrections Services, hereinafter referred to as
“Department,” represented by James M. Le Blanc, Secretary and, Corrections Corporation
of America, a Maryland Corporation with its principal offices located in Nashville,
Tennessee, hereinafter referred to as “Contractor”, represented by Natasha Metcalf, Vice
President, Partnership Development.
WHEREAS, La. R.S. 39:1800.1 through 39:18007 authorizes the State to enter into
contracts for the private management of correctional facilities; and
WHEREAS, this Contract constitutes the entire agreement between the parties with
respect to the subject matter
NOW THEREFORE, in consideration of the mutual promises contained herein, the
parties hereto agree and bind themselves and their successors as follows:
ARTICLE I
DEFINITIONS
ACA

—

means the American Correctional Association.

ACA Standards means the Standards for Adult Correctional Institutions under which the
Facility is currently accredited
—

Contract Monitoring
means the monitoring by the Department in accordance with
applicable Department Regulations
—

Effective Date of Contract— 12:01 a.m. July 1, 2010 with approval of the Joint Legislative
Committee on the Budget
Facility the 1538 bed (or other capacity as approved by the Department by amendment)
correctional institution in Winn Parish, Louisiana for the incarceration of adult male inmates
in the custody of the Department.
—

Force Maleure means the failure of performance of any of the terms and conditions of
this Contract resulting from acts of God, strikes, lockouts or other industrial disturbances,
acts of public enemies, orders of any kind of the government of the United States of
America or the State of Louisiana or any of their departments, agencies or officials, or any
—

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civil or military authority.
HVAC

-

means the heating, ventilating and air conditioning system.

In-Patient Hospital Costs
hospital.
Inmate

—

—

means those costs incurred upon and during admission to a

means any person committed to the Facility by the Department

Inmate Day
Facility.

—

means each calendar day or part thereof that an inmate is assigned to the

Management Services Agreement or Agreement means the Management Services
Agreement, together with all attachments, exhibits, amendments and modifications. Also
referred to as “Contract” herein
—

Secretary

—

means the Secretary of the Department of Public Safety and Corrections.
ARTICLE 2
TERMS AND CONDITIONS

Section 2.1 Term The term of this Contract shall be for a period of ten (10) years
st
commencing at 12:01 a.m. on the 1
day of July 2010 and ending at 12:00 p.m. on the
30th day of June 2020.
The parties agree to adjust the term of the Contract, if necessary, to comply with any
amendments to Art. 1301(3) of the Tax Reform Act of 1986.
This contract is not effective until approved by the Joint legislative Committee on the
Budget.
ARTICLE 3
COMPENSATION AND ADJUSTMENTS
Section 3.1 Management Payment The state shall pay the Contractor a regular per diem
rate of $31.51 per inmate per day from July 1, 2010 through June 30, 2020. On any July
st
1
that this contract remains in effect, the rate shall be adjusted bya percentage based on
the Consumer Price Index (CPI) for All Urban Consumers for the previous calendar year,
subject to the appropriation of funds by the Legislature. The Secretary of the Department
shall include in the Department’s annual budget request a request for monies sufficient to
cover the per diem adjustment set forth herein or 4% whichever is less. The Department
shall work in good faith to secure the necessary allocation of funds in the Executive
Budget.
Inmate days and billings will be determined by the midnight count of each day, which count
shall be approved and signed by the Secretary or his designee.

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The State shall pay the Contractor a minimum per diem per day equal to 95% of the total
existing capacity at the per diem rate set out above. If, due to Force Majeure, the Facility is
incapable of housing 95% of the total existing capacity, this minimum per diem will not be
applicable until the Facility is again capable of housing such capacity. Effective July 1,
2011, the minimum per diem per day shall be equal to 96% of the total existing capacity at
the per diem rate set out above. If, due to Force Majeure, the Facility is incapable of
housing 96% of the total existing capacity, this minimum per diem will not be applicable
until the Facility is again capable of housing such capacity.
No per diem will be paid for inmates housed at a state hospital beginning after the second
day the inmate is confined in the hospital. No per diem shall be paid for any inmate out on
court order beginning on the day following the day he leaves. The Department shall permit
the Contractor to fill such beds.
A. Emergency Housing of Evacuated Inmates
The State shall pay the contracted per diem to house up to 350 additional temporary
out of custody inmates as needed from various Parishes who have been displaced as a
result of the devastation to the infrastructure of the affected parishes’ criminal justice
system caused by hurricanes.
Section 3.2 Billings The Contractor shall bill the Department for each calendar month,
within fifteen (15) days of the end of each month. The Department shall pay such invoices
within forty-five (45) days of the end of each monthly billing period.
Section 3.3 Billing Disputes If the amount to be paid to Contractor is disputed by the
State, then the State, on or before the date the invoice is payable, shall advise Contractor
of the basis for the dispute and, in the manner provided above, pay the amount of such
invoice which is not in dispute. If the parties cannot resolve the dispute within thirty (30)
days, either party may initiate dispute resolution proceedings as provided in Section 9.2.
Section 3.4 Compensation Adiustment for Change of Services The parties recognize
that each has entered into this Contract based upon current law, Department regulations
and ACA Standards in effect as of the date of the Contract. If there are any changes in
ACA Standards, laws, government regulations or court orders applicable to the State,
which necessitate change in the scope of services furnished hereunder so as to increase
or decrease the cost of operating and managing the Facility, the party desiring a change
shall provide reasonable notice, in writing and documentation supporting the requested
compensation adjustment to the other party. Once notified, the receiving party shall advise
within thirty (30) days of receipt of notice whether or not they agree to the adjustment in
compensation requested.
Section 3.5 Failure to Agree on Compensation for Additional or Reduced Services
If the parties cannot agree on a compensation for additional or reduced services within
sixty (60) days of the date of the request, either party may initiate resolution through
dispute procedures provided in Section 9.2.
Section 3.6 Taxes Contractor shall be responsible to pay all local, state and federal
taxes, if any are incurred, with respect to the operation of the Facility.
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Section 3.7 Utilities Contractor shall pay all utility charges and deposits incurred or
imposed with respect to the Facility except as negotiated with Prison Enterprises.
ARTICLE 4
FACILITY AND EQUIPMENT
Section 4.1 Possession of Facility On the Service Commencement Date of this
Contract, the State shall grant to the Contractor exclusive use, possession and control of
the land and property comprising the Facility and its grounds, subject to the State and
Department’s rights to enter and inspect same.
The State shall assign or make available to the Contractor any warranties related to the
Facility from the construction contractor or subcontractors or from manufacturers or
suppliers of items used in the Facility.
Section 4.2 Possession of Moveable Property On the Service Commencement of the
Contract, the State shall grant the Contractor exclusive use and possession, subject to the
terms of this Contract, of all movable property purchased by the Department, purchased by
the Contractor to replace original State property or property purchased by Contractor and
reimbursed by the Department pursuant to the State’s master Listing of Property (appendix
A). Contractor shall have the exclusive use of the movable property listed in the State’s
Master Listing of Property during the term of the Contract. Property purchased by
Contractor pursuant to previous agreements for which the State reimbursed Contractor
shall pass to the Department upon reimbursement, but the Department will grant
Contractor exclusive use and possession of said equipment subject to the terms of this
contract.
Section 4.3 Additional Property Contractor has placed in the Facility the property set
forth on the Contractor Property List (Appendix B), and may place additional property in the
Facility at its expense and maintain documentation of such. Any additional property
purchased by the Contractor during the term of this Contract may be purchased by the
State at the conclusion of the Contract at the Contractor’s cost, less depreciation using the
straight-line method over a five-year period. Non-perishable supplies purchased by the
Contractor during the term of the Contract may be purchased by the State at a negotiated
price at the conclusion of the Contract.
Section 4.4 Inventory If this Contract is terminated for any reason, the State and the
Contractor shall conduct a joint inventory prior to the termination to determine if property
listed on Appendix A and replacement items purchased by the Contractor, and items
purchased by the Contractor and reimbursed by the State are in place at the Facility.
Contractor shall be liable for unlocated property based on replacement cost of such
property.
Section 4.5 Maintenance. Repair and Replacement The Contractor will be responsible
for routine and preventive maintenance and will maintain a preventive maintenance
program. The Contractor will comply with the State’s audit program and the State may audit
the preventive maintenance program at any time.

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Subject to the limitations contained herein, the Contractor shall make necessary repairs
and replacement of all equipment except that the State is responsible for replacement of
the HVAC systems unless the need for replacement is due to negligence on the part of
Contractor. The State will maintain a maintenance contract with an authorized HVAC
dealer to insure the integrity of the system. Contractor shall be responsible for providing
timely notice to the Department in the event the system is not maintained by an outside
contractor in accordance with any maintenance contract issued by the Department.
Upon obsolescence or damage to property listed in Appendix A, Contractor shall replace
such property with the same or similar property of equal value based on replacement cost
of that property. Obsolete or damaged property shall be disposed of through the Louisiana
Property Assistance Agency in accordance with La. R. S. 39:32 1 et al.
Vehicles shall be titled to Contractor with insurance coverage provided by Contractor in
accordance with provisions of Article 7 of Contract. Upon disposal of vehicles through
Louisiana Property Assistance Agency, Contractor shall transfer title to the state.
Section 4.6 Construction and Renovation No construction or renovation to the Facility
shall be undertaken by the Contractor without the express written approval of the State. All
construction and renovation requested by Contractor and approved by the State shall be at
Contractor’s expense, unless otherwise specified.
Section 4.7 Office Space The Contractor shall provide adequate office space in the
administration building of the Facility for the Department’s records analyst and a clerk. The
Contractor shall provide routine office supplies and shall permit these employees to use its
office equipment.
Section 4.8 Access by State Authorized representatives of the Department shall have
access at all times, with or without notice, to inmates and staff, to all areas of the Facility
and to all books, records (including financial and employee disciplinary records) and
reports kept by the Contractor concerning the renovation, repair, maintenance and
operation of the Facility. Other State employees, on official business, shall have access to
the Facility, equipment and records when necessary. The representative of the Department
may attend selected meetings, staffings or hearings and review Facility records, inmate
files and budget documents, at any time. Access to documents pursuant to this Section
shall be limited to access required for the purposes stipulated in this section and shall not
include sensitive, proprietary corporate documents that do not relate to the Facility.
Section 4.9 Expansion The Contractor agrees that should the State decide to expand
the Facility, this Contract will remain in effect. The per diem for beds created through the
expansion will be negotiated by the parties.
ARTICLE 5
OPERATION OF FACILITY
Section 5.1 Operating Standards The Contractor shall operate and maintain the Facility
in accordance with all applicable constitutional standards, federal, state and local laws,
court orders and all Department rules and regulations, excluding those for which waivers
are approved in writing by the Secretary or his designee, that are effective during the
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Contractor shall maintain accreditation with the Commission on
Contract term.
Accreditation for Corrections/American Correctional Association.
Contractor’s procedures shall comply with Department regulations. Any variances from the
Department regulations shall be submitted to the Secretary for approval prior to
implementation by Contractor.
Contractor shall maintain dual ACA accreditation of the Facility, Adult Correctional
Institutions and Performance Based Standards for Correctional Health Care in Adult
th
Edition Adult Correctional Institutions.
Correctional Institutions, 4
If any applicable federal, state or local laws, court orders, Department rules or regulations,
ACA Standards or provisions of this Contract are in conflict, the more stringent requirement
shall govern as determined by the Department.
Section 5.2 Assignment and Transfer of Inmates Inmates will be assigned to the
Facility in accordance with Department Regulation No. B-02-OO1. Contractor may not
refuse to accept any inmate assigned to the Facility, but if the Contractor believes that an
inmate has been erroneously assigned to the Facility, or warrants transfer for medical,
psychiatric, disciplinary or administrative reasons, it may request his transfer through the
Department citing the appropriate sections of Department Regulation No. B-02-OO1.
Classification screenings shall be conducted in accordance with Department Regulation
No. B-02-OO1.
Section 5.3 Safety and Emergency Procedures The Contractor shall maintain an
emergency plan, as such may be revised from time to time, addressing operation of the
Facility in the event of an employee or inmate labor dispute, riot, fire, civil disaster or power
failure.
Section 5.4 Telecommunications Contractor will maintain all telecommunications
equipment, except the inmate telephone system. Any additional telecommunications
equipment provided by the Contractor must be capable of interfacing with the Department’s
existing communications system and with any future Department system.
Section 5.5 Counseling/Mental Health Contractor will provide counseling and mental
health programs complying with applicable ACA Standards and Department Regulations,
which provide group and individual counseling to inmates, coordination of treatment and
intervention programs, referral to psychiatric care, mental and crisis intervention with
individual and group counseling specified as follows:
A.

Pre-Employment counseling assisting in upgrading inmates’ potential for securing
jobs upon release with the focus on a job search workshop.

B.

Substance Abuse Counseling designed to provide education to inmates about the
disease of addiction and provides substance abuse education and awareness; signs
and symptoms of chemical dependency; effective evaluation of support systems,
group and individuals; realities of recovery and dealing with failure; dynamics of self
forgiveness as a pathway to recovery; and basic principals of attaining and
maintaining sobriety;
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C.

Family/Support Network Counseling addressing coordination of a support network
aimed at reinforcing relationships among the inmates, the family and community
support systems. Volunteers are recruited from local social service and public
education programs, including approved inmate support groups;

D.

Sex offender treatment program providing group and individual therapy, and
development of treatment plans as outlined in Department Regulation B-06-002.

E.

Mental health staff must maintain appropriate licensure.

The counseling and mental health program will be supported by case management
procedures ensuring an ongoing record documenting the inmate’s progress.
Section 5.6 Medical/Dental Contractor will provide a medical services and dental
program in accordance with ACA Standards, Department Regulations, federal, state and
local law; including 24 hour a day, 7 day a week emergency medical, psychiatric and
dental care. Contractor shall provide on-site nursing care, 24 hours a day, seven (7) days
a week.
Contractor will provide for routine sick call and clinic care within the Facility and, in those
cases when the health of the Inmate would otherwise be adversely affected, dental
treatment. Except for care provided at a state hospital which shall be paid by the State,
Contractor shall pay for the following inmate medical care:
A.

All care provided within the Facility

B.

All outside physician visits and other out-patient treatment, including dental and
psychiatric at other than a state hospital

C.

All emergency room costs at other than a state hospital

D.

All medically related transportation;

E.

All medically related security costs, except that the State shall be responsible for
the cost of security after the first 48 hours of any hospitalization in a state hospital

F.

In-patient hospital costs, including hospitalization for psychiatric reasons, for the first
48 hours of each hospital stay by an inmate, unless the state hospital refers the
inmate to a private hospital, in which case the State will be responsible for those
costs. In the event all or part of the state hospital system is not available during the
term of this Contract to provide necessary medical treatment that cannot be
provided at the Facility, the State shall immediately accept custody of said inmate
and arrange for needed treatment. This provision’s application shall include, but not
be limited to, the closing of one or more institutions or an existing institution’s refusal
to accept one or more inmates.

G.

Eyeglasses, hearing aids, dentures and prostheses, when required.

If Contractor continues to be responsible for security after the first two days of any
hospitalization in a state hospital, contractor shall be reimbursed at the rate of $17.95 per
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hour for each hour of guard services thereafter. On July 1 of each contract year, rate may
be increased by a maximum of four percent (4%).
In the event all or part of the state hospital system is not available during the term of this
contract to provide necessary medical treatment that cannot be provided at the facility, the
State shall immediately accept custody of said inmate and arrange for needed treatment.
This provision’s application shall include, but not be limited to, the closing of one or more
institutions or an existing institution’s refusal to accept one or more inmates.
In medical situations necessitating surgery or hospitalization, the Warden will notify the
Office of Adult Services of such. If possible, notification will be done before the surgery or
hospitalization takes place, but in the event this is not possible, notification by facsimile
transmission with an original notice by hand delivery or mail will be given to the Office of
Adult Services by the next working day following surgery or hospitalization.
Section 5.7 Food Service Contractor will provide food service in accordance with ACA
Standards. The Contractor shall not be required to follow the Department’s master menu.
Section 5.8 Laundry and Inmate Clothing Contractor will provide full inmate laundry
services and inmate clothing in accordance with ACA Standards. Contractor shall procure
inmate clothing from Prison Enterprises in accordance with Section 9.15 Prison Enterprises
Section 5.9 Recreation Consistent with ACA Standards, the Contractor shall provide
facilities, equipment and supplies for indoor and outdoor recreational and leisure time
programs for the inmate population. Written policy and procedure, subject to approval by
the Department, shall provide for a comprehensive recreational program supervised by a
qualified person and shall set forth the number of hours of outdoor recreation available to
each inmate.
Section 5.10 Transportation Contractor shall provide, at its expense, full transportation
services for all inmates to be housed at the Facility beginning with the initial transfer of the
inmate from the Adult Reception and Diagnostic Center, David Wade Reception and
Diagnostic Center, or any other Department facility, and ending upon the inmate’s return to
the Department. Transportation services shall also include all emergency transportation,
medical or otherwise, in addition to all routine transportation.
Upon mutual agreement of Contractor and the Department, the Department may provide
for the transportation of inmates to the Facility or for the return to the Department. If the
Contractor is transporting inmates to or from the Facility or to or from a state institution, the
Contractor, upon mutual agreement of the Contractor and the Department, may provide
transportation to and from institutions for state inmates housed in those institutions.
Section 5.11 Inmate Canteen Contractor will provide a canteen for inmates which shall
supply those items contained on the Department’s canteen list or equal. Contractor shall
purchase canteen items from Prison Enterprises in accordance with Section 9.15.
Contractor shall use the automated centralized inmate banking system for all canteen
transactions. Contractor shall be allowed to charge the canteen for salaries of three (3)
correctional officers plus two (2) administrative positions. All other salary and utility
expenses of the canteen are to be paid by the Contractor.
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Section 5.12 Mail
Contractor will provide pick-up and delivery of inmate mail in
compliance with ACA standards, applicable court decisions and Department Regulations.
Contractor will furnish first class postage to indigent inmates for the mailing of legal
documents to courts or legal counsel and a reasonable amount of postage for other
Section 5.13 Religion Contractor will provide adequate space within the Facility for
religious services and provide programs in compliance with applicable ACA Standards,
Department rules and regulations and state and federal laws.
Section 5.14 Facility Supplies Contractor will furnish all Facility supplies, including
general hygiene items, office supplies and building support items such as soap, mops,
buckets, linens, towels, etc. Contractor shall procure such supplies from Prison
Enterprises in accordance with Section 9.15.
Section 5.15 Grievance Procedure Contractorwill provide a formal grievance procedure
for inmates pursuant to La. R.S. 15:1171, et seq. utilizing the Department’s Administrative
Remedy Procedure, Department forms and record keeping procedures according to
Department Regulations. Contractor’s Managing Director, Operations, may be delegated
the authority by the Secretary of the Department to rule on any administrative appeals by
inmates from decisions of the Warden of the Facility concerning those issues which directly
affect Contractor (i.e. Lost Property Claims).
Section 5.16 Security and Control Contractor shall provide inmate security and control
in accordance with ACA Standards, Department regulations, and Contractor policy and
procedure approved by the Department at all times and wherever inmates are in their
custody.
Section 5.17 Visitation
Contractor shall designate physical space and provide
supervision for visitation in accordance with applicable ACA Standards, Department
Regulations and court orders.
Section 5.18 Access to Courts Contractor shall furnish inmates with a law library, or
legal counsel, or paralegals, or any combination thereof, of sufficient quality and quantity to
ensure that inmates have adequate access to the courts.
Section 5.19 Inmate Discipline Contractor shall impose discipline on inmates utilizing
the Department of Public Safety and Corrections Disciplinary Rules and Procedures for
Adult Inmates, including disciplinary appeal procedures.
Section 5.20 Use of Force Contractor’s employees shall be allowed to use non-deadly
and deadly force in compliance with state law, ACA Standards, Contractor Policy and
Procedure submitted to and approved by the Department, and Department Regulations
and only while on the grounds of the Facility, while transporting inmates, while pursuing
escapes from the facility and when appropriate, in assisting local law enforcement.
Section 5.21 Good Time Contractor shall provide specific information to the State for the
purposes of award or forfeiture of good time. The final decision on awarding or forfeiture of
good time rests solely with the State, although Contractor shall be responsible for providing
information as to performance and behavior of inmates.
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Section 5.22 Sentence Computation Contractor shall provide the State with essential
data and information relating to sentence computation. All sentence computations shall be
done by the Department and copies furnished to Contractor and inmates.
Section 5.23 Records and Reports Contractor shall utilize an inmate record and report
system which complies with ACA Standards and Department Regulations and is
compatible with Department record keeping systems. Inmate records shall include medical,
psychiatric, dental, counseling and classification records. The system shall adhere to
federal, state and local laws governing confidentiality. Upon request, all records, reports
and documents will be made available immediately to the Department for review. At the
conclusion of the Contract, all records shall be turned over to the Department.
Section 5.24 Escape The Contractor shall exercise its best efforts to prevent escapes
from the Facility and shall be responsible for immediate notification to the Department in
accordance with Department Regulations in the event of an escape. If the frequency of
escapes shall be substantially in excess of the frequency of escapes from comparable
state facilities without good cause or shall exhibit reckless disregard for the safety of the
general public, the Department may place the Contractor in default pursuant to Article 8.
Section 5.25 Policies and Procedures The Contractor shall audit, using personnel other
than employees of the Facility, at least yearly, implementation of Contractor’s Policies and
Procedures. Copies of completed audit forms shall be forwarded to the Department for
review upon completion of each audit together with a report outlining the steps to be taken
to correct any deficiencies.
Section 5.26 Inmate Work
The Contractor shall establish work programs. The
Contractor will be allowed to use inmate labor for Facility operations and maintenance to
the same extent inmate labor is utilized in other state facilities, (except in the event of a
state of emergency declared by the Secretary or the Governor) including but not limited to
the following:
1.

Inmates classified are to be assigned a work detail within two (2) weeks of arrival at
the Facility

2.

Inmates are to be assigned to productive full time activity, five (5) days a week
except if an inmate’s medical condition or custody status prohibits this activity, when
emergency conditions exist, if weather conditions make work inappropriate or if prior
approval is granted by the Secretary or his designee

3.

Contractor shall not generate a profit from inmate work activities

4.

Inmates shall be supervised by staff, never by another inmate

The Contractor shall submit a listing of all inmate jobs and the number of inmates to be
utilized in said jobs. Job assignments and re-assignments shall be made by the Contractor
in accordance with ACA Standards, applicable laws and Department regulations.
The State shall provide inmates with good time credit and/or monetary compensation for
labor performed in accordance with ACA Standards, applicable laws and Department
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regulations. The State shall be responsible for establishing and administering the
compensation program. Contractor shall work with the Prison Enterprises Division of the
Department in setting up work and training programs.
Contractor will assign inmates to the Prison Enterprises Division as requested by the
Department. The Contractor will furnish security for these inmates based on staff/inmate
ratio approved by the Chief of Operations. The Prison Enterprises Division of the
Department will furnish all other employees and all supplies and materials needed for
operation of the program.
Section 5.26.1 Project Clean-Up In conjunction with the Governor’s Project Clean-up,
the Facility will provide one (1) work crew responsible for litter collection on the highways
and right of ways in the Department of Transportation and Development (DOTD) District
#08. Designated personnel from the Facility will serve as a representative/liaison between
the Facility and DOTD. Each litter collection crew shall consist of a minimum of seven (7)
inmates who shall collect and bag litter on highways and highway right-of-ways as
determined by the DOTD District Administrator or his designee. The DOTD District
Administrator or his designee and the Warden or his designee of the Facility shall
coordinate litter collection in association with the DOTD mowing/litter schedule and/or
special requests. The DOTD District Administrator or his designee in conjunction with the
Warden or his designee shall have final authority relative to work locations.
The Facility shall be responsible for providing transportation of the inmate litter collection
crews and crew supervisor from the Facility to the work-site and from the work-site back to
the Facility. The Facility shall provide trained crew supervisors to supervise the inmates at
all times. The Facility shall be responsible for maintaining accurate offender activity and
unusual occurrence reports.
The Facility shall properly train the inmate litter collection crews and crew supervisor and
provide all safety equipment, including but not limited to, safety glasses, goggles, hard
hats, safety shoes, etc., if not provided by the DOTD, that is necessary to efficiently and
safely carry out their duties. All safety equipment shall be used by inmates and crew
supervisors as required in the Project Clean-Up Safety Training handbook. This handbook
may be obtained by contacting the DOTD district contact designee. The Facility shall be
responsible for providing lunch and shall have on site at all times a sufficient supply of
water for the inmate crews.
In consideration for providing litter crew services, the Department will pay the contractor
$3378.00 per crew per month, for each month the crew is in operation. Each inmate crew
shall work 32 hours per week. If, for any reason, an inmate crew is unable to work t he
required 32 hours in any given week, the crew may, at its option, work extra days or hours
to make up the time the crew did not work, provided, however, the time made up is within
the quarter in which it was missed. DOTD may, at its sole discretion, allow an inmate crew
to make up the time missed in a subsequent quarter. However, in no event, will the Facility
be permitted to make up time missed after the end of the fourth quarter of the term of the
Agreement between the Department and DOTD, whichever comes first. If an inmate work
crew is unable to work or does not work the agreed upon number of days and hours or time
is not made up in accordance with the provisions contained in this paragraph, then
deductions shall be made from payments due the Contractor at the rate of $26.39 per hour
per crew for each hour not worked.
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The Facility shall maintain accurate daily work records detailing the routes and locations on
which the inmate crews have performed litter collection as designated on the Project
Clean-Up reporting form. These daily work records shall be submitted to the Department
weekly and to the DOTD District Administrator or his designee for review every two weeks.
Continuation of this project is contingent on appropriation of funds.
Section 5.27 Vocational and Academic Training The Contractor shall furnish and/or
provide for vocational and academic training in accordance with ACA Standards and to
include the following minimum:
A.

Educational diagnostics and counseling 2 groups per week;

B.

General education high school equivalency 10 classes per week;

C.

Remedial and special education 10 classes per week;

D.

Pre-release dynamics 2 groups per week; and

E.

Vocational education 8 classes per week;

The Contractor will provide vocational programs with the curriculum being competency
based and leading to a certificate of participation or a certification of achievement
specifying mastery in the trade and/or a diploma.
Section 5.28 Inmate Welfare Fund Profits from the inmate canteen shall be deposited
into the State Treasury to be classified as self-generated revenue to fund inmate welfare
expenditures. Expenditures for inmate welfare may be made by the Contractor for the
benefit of the inmate population only in accordance with a yearly budget approved by the
Department and in accordance with Department Regulations. The Department will
reimburse the Contractor the lesser of the amount of either the collected revenue or the
maximum approved self generated revenue budget.
Section 5.29 Inmate Banking System All monies to be credited to individual inmates
shall be deposited in the automated central inmate banking system maintained by the
Department.
Section 5.30 Sanitation and Hygiene The Contractor shall provide for sanitation and
hygiene supplies in accordance with ACA Standards.
Section 5.31 State of Emergency Contractor shall be bound and adhere to any state of
emergency declared by the Secretary.
ARTICLE 6
EMPLOYEES
Section 6.1 Independent Contractor Contractor is associated with the State only for the
purposes and to the extent set forth in the Contract. With respect to the performance of the
management services set out herein, Contractor is and shall be an independent contractor
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and, subject to the terms of this Contract, shall have the sole right to manage, control,
operate and direct the performance of its duties under this Contract. The Contractor’s
agents and employees shall not accrue leave, retirement, insurance, bonding, use of State
vehicles or any other benefit afforded to the employees of the State as a result of this
Contract. Contractor, its agents and employees shall not be considered agents or
employees of the State.
Section 6.2 Personnel Notwithstanding any provision contained herein to the contrary,
Contractor will provide adequate staff to fulfill its obligations under this Contract. The
number of staff set forth in Appendix C-Staffing pattern, is based on full capacity and shall
be the minimum number of staff employed at all times unless decreased in accordance
with this provision. Security staff vacancies will be filled as soon as possible but no later
than thirty (30) days after vacancy occurs and all other vacancies shall be filled as soon as
possible but no later than forty-five (45) days from the vacancy. If a position (identified by a
unique position number) remains vacant past the time set out above, the Department may
deduct from the amount paid to the Contractor the cost of salary for the position(s) until it is
filled, beginning with the first day beyond the time set forth herein. The salary will be based
on the starting salary for said position. If the service is provided by the use of a full time
equivalent, no deduction will be made from the payment provided sufficient documentation
exists. Contractor may use contract/agency staff as a full time equivalent up to 120 days
for correctional officer and shall submit documentation of such to the Department. In the
event the facility population has decreased such that the minimum staffing requirements
set out in Appendix C are no longer appropriate, the State shall make no deductions from
the monies paid to Contractor and shall decrease the staff minimums of Appendix C in
proportion to the decrease in population. Any reductions to the Appendix C staffing pattern
and any associated reductions to the per diem, if applicable, shall be negotiated between
the parties and are subject to mutual agreement. Notwithstanding any other provision of
this Contract to the contrary, the parties may effect such changes by amendment to this
Contract or by another written document that is signed by authorized representatives of
both parties.
Prior to employment with Contractor, applicants shall be subjected to a thorough
background check. When necessary and when requested by Contractor, at Contractor’s
cost, the State will provide NCIC and/or FBI background checks on these individuals.
If at any time period set out above, a non-security position which requires specific
qualifications or licenses, is staffed with a person who does not have these qualifications or
licenses, i.e., a registered nurse position staffed by a licensed practical nurse, the
Department may set off, against the amount paid Contractor, the difference of the salary
paid if the qualified or licensed person had been employed. The salary for the qualified or
licensed person will be based on Contractor’s starting salary for said position. With prior
approval of the Secretary, these positions may be staffed by a person who does not have
the specific qualifications or licenses, if Contractor is unable to staff the position with a
person who meets these requirements.
th)
Contractor will submit monthly reports on or before the fifteenth (1 5
day of each month
describing, for the preceding month, whether and to what extent Contractor has complied
with its Staffing pattern. Contractor will make available all payroll and personnel records to
allow the Department to periodically review compliance with Staffing patterns and allow for
calculation of deductions to payments as required.

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Section 6.3 Training Contractor shall provide orientation and in-service training programs
for all employees in accordance with ACA Standards and Department regulations.
The Contractor shall maintain documentation of all completed employee training and
provide such to the Department within thirty (30) days after its completion. The Department
shall be permitted to review training curriculum and other training-related records and to
audit training classes at any time.
Section 6.4 Drug Free Work Force Contractor shall, at all times, maintain a drug free
work force and shall provide the programs and training in accordance with Department
Regulations.
Contractors shall provide drug testing for all job applicants prior to employment and shall
test all employees in compliance with Contractor’s policy and procedures and Department
Regulations.
Section 6.5 Subcontractors Contractor shall not enter into any subcontract for work or
services contemplated under this agreement without obtaining prior written approval of the
Department. Any subcontracts approved by the Department shall be subject to the
conditions and provisions as the Department may deem necessary. Such prior written
approval, unless otherwise provided in this agreement, shall not be required for the
purchase by the Contractor of supplies and services which are incidental but necessary for
the performance of the work required under this agreement. Nor shall this provision apply
to subcontracts with individuals within areas of service provided directly by Contractor. (By
way of example, a subcontract for all medical services would require approval; however, a
subcontract with an individual doctor would not.) No provisions of this clause and no such
approval by the Department of any subcontract, shall be deemed in any event or manner,
to provide for the incidence of any obligation of the Department beyond those specifically
set forth herein. No subcontract shall relieve the Contractor of the responsibility for the
performance of any subcontractor.
ARTICLE 7
INDEMNIFICATION. INSURANCE AND DEFENSE OF CLAIMS
Section 7.1 Indemnification
Contractor shall protect, defend, indemnify, save and
hold harmless the State of Louisiana, all state departments, agencies, boards and
commissions, its officers, agents, servants and employees, including volunteers, from and
against all claims, demands, expenses and liability arising out of acts or omissions of the
Contractor, its agents, servants, subcontractors and employees and any and all costs,
expenses and attorney’s fees incurred as a result of any such claim, demand or cause of
action including, but not limited to, any and all claims arising from:
a.

any breach or default on the part of Contractor in the performance of the Contract;

any claims or losses for services rendered by contractor, by any person or firm
b.
performing or supplying services, materials or supplies in connection with the performance
of the Contract;
c.

any claims or losses to any person injured or property damaged from the acts or
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omissions of Contractor, its officers, agents or employees in the performance of the
Contract;
any claims or losses by any person or firm injured or damaged by contractor, its
d.
officers, agents or employees by the publication, translation, reproduction, delivery,
performance, use or disposition of any data processed under the Contract in a manner not
authorized by the Contract, or by federal, state, or local statutes or regulations;
any failure of Contractor, its officers, agents or employees to observe the laws of the
e.
United States and the State of Louisiana, including but not limited to labor laws and
minimum wage laws; and
f.
any claim or losses resulting from an act of an inmate while under Contractor’s
authority or any State inmate assigned to another institution who may be in the physical
custody and control of Contractor and/or is being transported by Contractor for the
Department.
This indemnification provision shall not be applicable to injury, death or damage to property
arising out of the sole negligence or sole willful misconduct of the State, its officers, agents,
servants or independent contractors (other than Contractor) who are directly responsible to
the State. Contractor shall not waive, release or otherwise forfeit any possible defense the
State may have regarding claims arising from or made in connection with the operation of
the Facility by Contractor without the consent of the State. Contractor shall preserve all
such available defenses and cooperate with the State to make such defenses available to
the maximum extent allowed by law.
In case any action or proceeding is brought against the State by reason of any such claim,
Contractor, upon notice from the State, shall defend against such action by counsel
satisfactory to the State, unless such action or proceeding is defended against by counsel
for any carrier of liability insurance provided for herein.
Section 7.2 Insurance The Contractor shall continuously maintain and pay for such
insurance as will protect the Contractor and the State as a named insured,
a.

all claims, including death and claims based on violations of civil rights,
arising from the services performed under the Contract;

b.

all claims arising from the services performed under the Contract by
Contractor; and

c.

actions by a third party against Contractor as a result of the Contract.

Section 7.3 Types of Insurance The Contractor will maintain insurance as follows:
a.

Worker’s Compensation and Unemployment Compensation Insurance protecting
the Contractor from claims for damages for physical or personal injury which may
arise from operations performed pursuant to this Contract, whether such operations
are performed by the Contractor, by a subcontractor, or by a person directly or
indirectly employed by either of them;
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LA Department of Public Safety and Corrections
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39
General Liability Insurance, which shall specifically include civil rights and
b.
medical matters, in an amount not less than five million dollars ($5,000,000) for
each occurrence with an aggregate of at least ten million dollars ($10,000,000) per
year. Such insurance shall also provide coverage, including the cost of defense, for
all state officers and employees, whether in their official or individual capacities,
against claims and actions as set forth in Section 7.2.
c.

Automobile and other vehicle liability Insurance in an amount not less than five
million dollars ($5,000,000) per occurrence; and

d.

Insurance in an amount not less than fifty thousand dollars ($50,000) covering
instances of employee dishonesty.

All insurance policies required under this Contract must provide no less than thirty (30)
days advance notice to the State of any contemplated cancellation. The State shall have
the right but not the obligation, to advance money to prevent the insurance required herein
from lapsing for nonpayment of premiums. If the state advances such amount, then the
Contractor shall be obligated to repay the State the amount of any advances plus interest
thereon at the legal maximum rate, and the State shall be entitled to set off and deduct
such amount from any amounts owed the Contractor pursuant to this Contract. No election
by the State to advance money to pay insurance premiums shall be deemed to cure default
by the Contractor of its obligation to provide insurance.
Section 7.4 Fire and Property Insurance The State shall maintain fire and property
insurance on the State’s buildings and equipment located at the Facility site.
Section 7.5 Defensellmmunitv By entering into the Contract, neither the State nor the
Contractor waives any immunity defenses which may be extended to either of them by
operation of law, including limitations on the amount of damages which may be awarded or
paid.
Section 7.6 Notice of Claims Within ten (10) working days after receipt of summons in
any action by the State, or of any agent, employee or officer thereof, or within five (05)
days of receipt by the State of any agent, employee or officer thereof, of notice of claim,
the State or any agent, employee or officer, shall notify Contractor in writing of the
commencement thereof.
Section 7.7 Financial Strength The Contractor shall file annually, on or before October 1
of each year, a current financial statement. If the net stockholders equity shall ever be less
than five million dollars ($5,000,000), the State may declare the Contractor in default
unless the Contractor provides alternative evidence of equivalent financial worth within
thirty (30) days of demand by the State.
Section 7.8 Prior Occurrences The State shall remain solely responsible for any losses
or costs resulting from litigation relating to events which occurred prior to the effective date
of the Contract. The Contractor agrees to cooperate with the State in the defense of these
suits and to provide legal assistance as the State might request.

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ARTICLE 8
DEFAULT AND TERMINATION
Section 8.1 State Default Each of the following shall constitute an Event of Default on
the part of the State:
a.

Non-Payment. Failure by the State to make payments to Contractor under this
Contract within sixty (60) days after such payment is due, except for such payments
as may be the subject of a valid dispute between the parties and said dispute is
being actively negotiated or attempted to be resolved.

b.

Other Material Breach. Except for the obligation to make payments to Contractor,
the persistent or repeated failure or refusal by the State to substantially fulfill any of
its obligations under this Contract, unless justified by Force Majeure or unless
excused by contract or by Contractor’s default.

Section 8.2 Contractor Default An Event of Default on the part of Contractor is a
material breach which is the persistent failure or refusal by Contractor to substantially fulfill
any of its obligations under this Contract, unless justified by Force Majeure or unless
excused by default of the State.
Section 8.3 Notice of Breach No breach of this Contract on the part of either party shall
constitute an Event of Default and no action with regard to same may be instituted unless
and until the party asserting a breach specifies that a default or defaults exist(s) which,
unless corrected or timely cured, will constitute a material breach of this Contract on the
part of the party against which a breach is asserted.
Section 8.4 Time to Cure If any material breach of the Contract by either party remains
uncured more than thirty (30) days after written notice thereof by the party asserting the
breach to the party against which the breach is asserted, such condition shall be an Event
of Default. If the breach cannot be cured within thirty (30) days after notice and such
breach can be cured through an on-going effort on the part of the breaching party, the
breaching party may, within the thirty (30) day period following the notice of the breach,
submit a plan for curing the breach within a reasonable period of time, not to exceed six (6)
months, unless extended by the non-breaching party. If the plan is approved by the nonbreaching party and such approval is not to be unreasonably withheld, the non-breaching
party will not pursue remedies hereunder as long as the breaching party timely undertakes
to cure the breach in accordance with the approved plan.
Section 8.5 Remedy Upon the occurrence of an Event of Default either party shall have
the right to pursue any remedy it may have at law or in equity, including but not limited to,
(a) reducing its claim to judgment, (b) taking action to cure the Event of Default, and (c)
termination of the Contract.
Section 8.6 Termination Due to Unavailability of Funds The payment of money by the
State under any provision hereto is contingent upon the availability of funds appropriated
to pay the sums pursuant to this Contract. In the event funds for the Contract become
unavailable due to non-appropriation, the State shall have the right to terminate this
Contract without penalty.
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Contract #: £Ac3
4

Section 8.7 Termination for Convenience The State may terminate performance of
work under this Contract in whole or part whenever, for any reason, the State determines
that it is in its best interest to do so. The State shall give the Contractor, without penalty to
the State, one hundred eighty (180) days notice prior to termination of the Contract. Upon
such termination, the Contractor shall have no right to any general, special, incidental or
any other damages whatsoever of any description or amount except that the State shall
pay for all supplies and equipment on order and not yet delivered to the Facility as of the
date of termination.
The Contractor may terminate performance of work under this Contract, for any reason
Contractor determines is in its best interest to do so. The Contractor shall give the
Department one hundred eighty (180) days written notice by certified mail prior to
termination of the Contract. Upon such termination, the Department shall have the rightto
demand damages as provided in Section 8.8 Liquidated Damages.
Section 8.8 Liquidated Damages At the time of termination of the Contract or at the
conclusion of the Contract term, the State may deduct from monies owed the Contractor or
otherwise obtain from Contractor sums sufficient to reimburse it for the repair or
replacement of any equipment or perishables as set forth in Appendix A and B which is in
need of repair or is missing. No monies shall be deducted pursuant to this paragraph for
any item which is the subject of dispute between the parties.
Section 8.9 Waiver No waiver of any breach of any of the terms or conditions of the
Contract shall be held to be a waiver of any other or subsequent breach; nor shall any
waiver be valid or binding unless the same shall be in writing and signed by the party
alleged to have granted the waiver.
ARTICLE 9
MISCELLANEOUS
Section 9.1 Audits Contractor grants to the State of Louisiana, through the Office of the
Legislative Auditor, Office of the Governor, Division of Administration, Department of Public
Safety and Corrections/Corrections Services Internal Audit Division, Office of the Inspector
General, Federal Government and/or other such designated body the right to inspect,
review, and audit all books and records, including those of subcontractors, (in whatever
form they may be kept, whether written, electronic or other) relating or pertaining to the
services rendered under this agreement, (including any and all documents, data, and other
materials, in whatever form they may be kept, which support or underlie those books and
records). This right extends to all books, records, and data kept by or under the control of
the Contractor, including but not limited to those kept by the Contractor, its employees,
agents, assigns, successors, and subcontractors. The Contractor further grants full,
unrestricted access to all necessary personnel and resources, and will cooperate fully
during such inspections, reviews, and audits.
The Contractor agrees such inspections, reviews, and audits may be conducted during
normal business hours at the business location(s) where such books, records, and data are
maintained and/or stored. Those performing such inspections, reviews, and audits are
granted direct access to all data pertaining and supporting services under this agreement,
and have a right to use general audit software and other reporting tools against the data
files and/or databases. The Contractor further grants the right to audit the Contractor’s
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LA Department of Public Safety and Corrections
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Contract #:
disaster recovery, and business continuance plans to ensure all books, records, and data
will be sufficiently protected in the event of a prolonged outage or disaster.
Contractor is expected to comply with federal and/or state laws regarding an audit of its
operation as a whole or of specific program activities. If an audit is performed within the
agreement period, for any reason, a copy of the audit engagement letter and final audit
report shall be sent to the Office of the Louisiana Legislative Auditor, Office of Inspector
General, Department of Public Safety & Corrections/Corrections Services Internal Audit
Division, and Department of Corrections Procurement and Contractual Review Division.
Section 9.2 Disputes If the parties are unable to resolve any disputes arising hereunder,
either party may submit the matter to non-binding mediation in accordance with the rules of
the CPR Institute for Dispute Resolution. The expense of mediation shall be borne by the
party requesting same.
Section 9.3 Non-Discrimination No person will be subjected to discrimination in the
performance of this Contract on the grounds of handicap, race, color, religion, sex, sexual
orientation, age or national origin. Upon request, Contractor shall show proof of such non
discrimination and shall post in conspicuous places, available to all employees and
applicants, notice of such non-discrimination. Contractor shall comply with all applicable
federal and state laws such as the Americans with Disabilities Act, etc.
Section 9.4 Binding Nature This Contract shall not be binding until it is approved and
executed by the parties.
Section 9.5 Invalidity and Severability In the event that any provision of this Contract
shall be held to be invalid, the validity of the remaining provisions of the Contract shall not
in any way be affected thereby.
Section 9.6 Counterparts This Contract may be executed in multiple counterparts, each
of which shall be deemed to be an original and all of which shall constitute one Contract,
notwithstanding that all parties are not signatories to the original or the same counterpart,
or that signature pages from different counterparts are combined, and the signature of any
party to any counterpart shall be deemed to be a signature also and may be appended to
any other counterpart.
Section 9.7 Interpretation The headings contained in the Contract are for reference
purposes only and shall not affect the meaning or interpretation of this Contract.
Section 9.8 Terminology and Definitions All personal pronouns used in this Contract,
whether used in the masculine, feminine, or neuter gender, shall include all other genders,
the singular shall include the plural and the plural shall include the singular.
Section 9.9 Interpretation and Venue The Contract shall be governed by the laws of the
State of Louisiana. East Baton Rouge Parish, Louisiana shall be the venue in the event
any action is filed to enforce or interpret provisions of this Contract.
Section 9.10 Release Contractor, upon final payment of the amount due under this
Contract, releases the State, its officers and employees, from all liability, claims and
obligations whatsoever arising from or under this Contract. Contractor agrees not to purport
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LA Department of Public Safety and Corrections
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to bind the State to any obligation not assumed herein by the State unless Contractor has
express written authority to do so, and then only within the strict limits of this authority.
Section 9.11 Amendment This Contract shall not be altered, changed or amended
except by instrument in writing executed by the parties hereto.
Section 9.12 Scope of Agreement The Contract and its appendices incorporate all the
agreements, covenants and understandings between the parties hereto concerning the
subject matter hereof. No prior agreement or understandings, verbal or otherwise, of the
parties or their agents shall be valid or enforceable unless embodied in this Contract.
Section 9.13 Subcontracting and Assignment The Contractor may, upon notice to the
State, assign the proceeds of this Contract. Subject to Section 6.5 Subcontractors, the
Contractor shall not subcontract or assign any and all of the services to be performed
underthis Contractwithoutthe consent, guidance and priorexpresswritten approval of the
State. In the event that approval is granted, the Contractor shall guarantee that the
subcontractor will comply with all the provisions of this Contract.
Section 9.14 Third Party Beneficiaries The provisions of the Agreement are for the sole
benefit of the parties hereto and will not be construed as conferring any rights on any other
person.
Section 9.15 Prison Enterprises Contractor will purchase from Prison Enterprises, a
Division of the Department, any goods, supplies or services Prison Enterprises can
provide.
The Undersecretary will grant a waiver from the requirement to purchase specific goods
and services from Prison Enterprises provided Contractor’s justification clearly
demonstrates that such goods and services are available at less cost and equivalent or
better quality or same price and better quality than can be provided by Prison Enterprises.
Section 9.16 Approval by Legislative Committee This Contract shall not become
effective until approved by the Joint Legislative Committee on the Budget.
Section 9.17 Notices
Addresses: All notices shall be sent certified mail, return receipt requested to:
State:
James M. Le Blanc, Secretary
Department of Public Safety and Corrections
P.O. Box 94304
Baton Rouge, LA 70804-9304
Contractor:

Steve Groom, General Counsel
Corrections Corporation of America
10 Burton Hills Boulevard
Nashville, Tennessee 37215

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LA Department of Public Safety and Corrections
Contract#: /,
’l
9

IN WITNESS WHEREOF, intending to be legally bound, the parties have caused their
authorized representatives to execute this Contract on the
2010.
day of
,

STATE OF LOUISIANA
DEPARTMENT OF PUBLIC SAFETY AND CORRECTIONS

Contractor: CORRECTIONS CORPORATION OF AMERICA

Natasha Metcalf
Vice President, Partnership 0

elopment

Approved this /Lday of S,k44tL’, 2010, by the Joint Legislative Committee on
the Budget

BY:

h irman

/

RWWuil

21