Minnesota's legislature has begun exploring the possibility of leasing beds in private prisons as opposed to new construction and renovation.
Minnesota's prison population for both men and women has been growing at the fastest rate of any Midwestern state over the past three years and was operating
The Corrections Department has begun double-bunking at the closesecurity Stillwater and St. Cloud units.
Gov. Tim Pawlenty has projected a 17 percent increase in the population over the next six years.
As an alternative to public construction for the projected expansion, the House Capital Investment Committee has asked Corrections Corp. of America of Nashville, Tenn., Cornell Companies Inc. of Houston and the GEO Group Inc. of Boca Raton, Fla., for their proposals.
The private operators estimated their construction and operation costs would be about 20 percent below those of a public facility.
Minnesota's prison budget of more than $360 million for the next fiscal year would require an additional $108 million in a capital budget.
The largest item in Gov. Tim Pawlenty's capital plan is $75 million for expansion of the 1,223-bed, medium-security Faribault prison for men.
The governor's proposal would add 1,060 beds at Faribault by 2010.
Other new construction includes a 150-bed segregation unit at the close security Stillwater prison at a cost of $19 million.
The budget also has funds for a new facility for sex offenders to be operated by the State Human Services Department.
The governor estimates the expansion at Faribault would reduce operating costs by $20 million at a daily savings of $8 per inmate that would ripple through the entire system.
The governor opposes privatization.