December 21, 2001—The US Department of Defense (DoD) is no longer required to purchase needed products from Federal Prison Industries (FPI), according to legislation that has now passed both the House and Senate. The National Defense Authorization Act for Fiscal Year 2002 includes a provision allowing the Secretary of Defense to purchase from the private sector if FPI’s products are not comparable to private sector products in price, quality, and time of delivery. President Bush has indicated he will sign the bill.
The Competition in Contracting Act Coalition (CCAC), which includes the US Chamber of Commerce, the AFL-CIO, the Business and Institutional Furniture Manufacturers Organization (BIFMA), and other business and labor organizations, has worked for more than a dozen years to campaign for the right of workers to compete with Federal Prison Industries for federal contracts. The Coalition, which considers this FPI reform for DoD to be a tremendous success, plans to return to Congress next year seeking legislation that would grant all federal agencies the freedom to choose between prison manufactured goods and those manufactured in the private sector. For more information on reform efforts of the Depression-era prison factory program, visit the CCAC.

