CO- Prison spending still shackles state budget

6-22-2009 Colorado:

Until sentencing laws change, not much can be done

On June 3, Gov. Bill Ritter signed Senate Bill 228, repealing the statutory spending limitation (the Bird-Arveschoug Act) that held the annual increase in general fund spending in Colorado to 6 percent.

But before anyone gets all teary-eyed -- whether from joy or sorrow -- because the majority Democrats in the Legislature finally will have the budgetary flexibility to spend as they see fit, take a breath.

Recent history shows that prison spending in Colorado, and the sentencing polices that drive that spending, has been constraining state spending for decades, and will continue to do so into the near future.

In 1985, the Legislature doubled the maximum penalties in Colorado's presumptive sentencing range for all levels of felony crimes. The average sentence length quickly increased by two-thirds, and Colorado's inmate population more than doubled in the next five years.

It has more than doubled again since.

In an effort to keep pace with the capacity demands of such unprecedented growth in the prison population, successive legislatures and governors have taken Colorado taxpayers on an extreme prison spending spree that has pushed corrections spending from less than 3 percent to nearly 9 percent of general fund spending.

It is a simple formula, but a dramatic increase in spending for one item as a percentage of the state's general fund (prisons) necessarily means that other spending items (such as health care and higher education) have had to decrease as a percentage of general fund appropriation.

This year's Joint Budget Committee budget briefing notes that in the 16 years since Colorado lawmakers implemented the 6 percent spending limit, prison spending has grown "at a compound annual rate of 9.5 percent." If prison spending had actually been held to the 6 percent growth, then last year's Department of Corrections operating budget would have been around $430 million; instead it was nearly $677 million.

So the current opportunity cost of Colorado's extreme prison spending spree is a quarter billion dollars that could have been spent on health care and higher education.

This year's budget increased prison spending by around 3 percent, and while this is considerably less than the more than 9 percent increase originally requested by, it is likely not nearly enough to allow the Department of Corrections to keep pace with the ever growing prison population. Despite a recent slowing trend, projections still estimate thousands more inmates by 2012, which in turn demands many more millions in new prison spending.

Spending doesn't drive the prison population, rather the prison population drives state spending. So regardless of what lawmakers do with the prison budget next session, inmates will keep showing up at the door. The Legislature's ability to affect prison spending lies in its prerogative to write sentencing law and policy

The fact that the Democrat majority had to take the axe to general fund spending items such as higher education and health care this year had little to do with the 6-percent spending limitation and everything to do with fiscally irresponsible prison spending.

And until such time as Colorado lawmakers find the will to make meaningful sentencing law reforms, this will continue to be the case. ..Source.. by Mike Krause directs the Justice Policy Initiative at the Independence Institute.