Facility could bring 600 jobs

New prison gets a nudge

January 29, 2006

DARRELL L. BREESE/Frontiersman reporter

WASILLA - Plans for the Mat-Su Valley's largest construction project - a $240-million medium-security prison - got a big shot in the arm when Gov. Frank Murkowski spoke of it in his State of the Budget speech on Jan. 12.

The ambitious project calls for a joint effort from the private sector, the Mat-Su Borough and the state Department of Corrections. When completed, the new prison will alleviate overcrowding in the prison system and eliminate the need to house about 770 Alaska prisoners in private prisons in Arizona.

Additionally, the proposed 2,200-bed facility is expected to bring nearly 600 jobs to the Valley.

The plan calls for a private contractor to design, build and then lease back the facility to the state, which would operate it.

After nearly a year with little progress on the plan originally introduced by state Sen. Lyda Green, R-Mat-Su, in 2003, the governor announced his decision to move forward with the plan to build a new prison in the borough.

&#8220I will be working with the departments of Law, Revenue and Administration to prepare a request for proposals for a design-finance-build project,” Murkowski said. &#8220It will be constructed on land donated by the Mat-Su Borough.

&#8220I've consistently supported finding a solution to the chronic problem of prison overcrowding in the state,” Murkowski said after signing Green's bill in September 2004. &#8220Over a decade of gridlock has led to the failure to improve on what was supposed to be a temporary solution of sending prisoners to Arizona. This bill will give the state the authority to address many needs, including both pre-trial and long-term incarceration of criminals across the state. It will give the state the authority to pursue a large facility in the Mat-Su Valley, to reduce prison costs and ease the overcrowding in other areas. And finally, this bill will generate good-paying, long-term jobs for Alaskans and end the export of over $14 million per year to Arizona.”

The governor's speech gave new hope that bids for construction and funding will begin in the fall, meaning construction could begin in the spring of 2007.

Getting to this point of the project wasn't easy.

&#8220It's taken a lot of evaluation and discussion to proceed, because of the important need to protect the state's bond rating,” Murkowski said. &#8220The method of financing set by the RFP will make sure this concern is addressed. A lot of work needs to be done in the next few months.”

Corrections Commissioner Marc Antrim said the request for proposals will take six to seven months to draft. He expects the state will select a contractor by the fall. He wants to break ground on the facility in 2007 and open the prison by 2009.

In the meantime, borough officials will be working with the corrections department to identify a parcel of borough land suitable for the new prison.

According to Borough Manager John Duffy, a site that is both close to the hospital and Palmer's courthouse is the main factor when considering possible locations for the prison.

&#8220We're putting together a short list of possible sites,” Duffy said. &#8220An expansion of the Palmer correctional facility in Sutton is one option, but we are also looking at other possibilities.”

Assembly member Jim Colver said the Department of Corrections has mentioned Houston as a possible site, but also added that Point MacKenzie and Sutton were being examined.

&#8220I don't know what the site will be right now,” Colver said. &#8220As we eliminate possible locations and develop a few possibilities, we'll have a very public process where people can comment on proposed sites. Then I suppose we'll narrow it down and work with Corrections on that final location,”

Duffy is excited about what the prison facility being built in the borough will mean to the local economy.

&#8220Construction is expected to employ 1,500 and, when open, the prison will need as many as 500-600 staff and officers,” Duffy said. &#8220That doesn't include the increase in sales of goods and services that will be necessary to support the facility. Plus the new staff will move into the community and establish residency in the Valley.”

The state has more than $16 million budgeted this year to pay for housing prisoners out of state, according to Corrections Department administrative services director Sharleen Griffin.

&#8220When completed, we will be keeping the money spent by the state to send prisoners to Arizona in the sate,” Duffy said. &#8220More importantly, the money will be spent in the Valley.”

Contact Darrell L. Breese at 352-2267 or darrell.breese@ frontiersman.com.