# Federal Prison System

# Federal Prison Industries, Incorporated

# Table of Contents

Page No.

**I. Overview 1**

**II Summary of Program Changes (Not applicable) N/A**

**III. Appropriations Language and Analysis of Appropriations Language
4**

IV\. Decision Unit Justification

A. Federal Prison Industries

1\. Program Description 5

2\. Performance Tables 7

3\. Performance, Resources, and Strategies 9

a.  Performance Plan and Report for Outcomes

b.  Strategies to Accomplish Outcomes

c.  Results of Program Assessment Rating Tool (PART) Reviews

**V.** **E-Gov Initiatives (Not Applicable) N/A**

VI\. Exhibits

A.  Organizational Chart

> B. Summary of Requirements
>
> C. Program Increases by Decision Unit (Not Applicable)

D.  Resources by DOJ Strategic Goal/Objective

E.  Justification for Base Adjustments

F.  Crosswalk of 2007 Availability

G.  Crosswalk of 2008 Availability

H.  Summary of Reimbursable Resources (Not Applicable)

I.  Detail of Permanent Positions by Category

J.  Financial Analysis of Program Increases/Offsets (Not Applicable)

K.  Summary of Requirements by Grade

L.  Summary of Requirements by Object Class

M.  Status of Congressionally Requested Studies, Reports, and
    Evaluations (Not Applicable)

N.  Summary of Change

**I. Overview for Federal Prison Industries, Incorporated**

**A. General Overview**

**1. Introduction**

Federal Prison Industries'(FPI) mission is to employ and provide work
skills training to the greatest practical number of inmates in Federal
correctional facilities necessary to ensure the safe and secure
operation of such institutions, and in doing so, to produce market
priced, quality goods and services in a self-sustaining manner that
minimizes the potential impact on private business and labor. Electronic
copies of the Department of Justice's Congressional Budget
Justifications and Capital Asset Plan and Business Case exhibits can be
viewed or downloaded from the Internet using the Internet address:
[**[http://www.usdoj.gov/jmd/2009justification/]{.underline}**](http://www.usdoj.gov/jmd/2008justification/).

FPI was created by Congress in 1934, and is a wholly owned Government
corporation that operates at no cost to the U.S. taxpayer. The
Corporation is authorized to operate industries in Federal penal and
correctional institutions and disciplinary barracks (18 U.S.C.
4121-4129). UNICOR is the trade name for FPI. The Director of the
Federal Prison System (FPS), who has jurisdiction over all Federal penal
and correctional institutions, is the Chief Executive Officer. FPI
reduces inmate idleness by providing a full-time work program and
continually strives to attain the goal of employing approximately 25
percent of the eligible inmate population. Many of the inmates do not
have marketable skills. FPI provides a program of constructive
industrial work and services wherein job skills can be developed and
work habits acquired. Earnings from the Corporation's industrial
activities are used for all operating costs of the Corporation,
including purchase of raw materials and equipment, staff salaries and
benefits, compensation to inmates performing in industrial work details,
and compensation to former inmates for injuries they received while in
Federal prisons.

A board of six Directors, appointed by the President, reviews and
approves the policies of the Corporation, long-range Corporate plans,
establishment of new industries, and bylaws and capital investments in
excess of \$500,000. The Board also makes annual reports to Congress on
the conduct of the business of the Corporation and the condition of its
funds. General management of the Corporation is vested in an Assistant
Director of the FPS, who serves as Chief Operating Officer, and carried
out by a staff of 32 Corporate Management employees located in
Washington, DC. Expenses of this function are subject to Congressional
limitation.

As of September 30, 2007, there were 23,152 inmates employed in 114
factories. Inmates manufacture items such as furniture, clothing,
electronics, and metal products, and provide such services as printing,
data processing and laundry. Products and services of the Corporation
are sold primarily to Federal Agencies. The Departments of Defense and
Justice, the Postal Service, the Department of Homeland Security, and
the General Services Administration are FPI's largest customers. The
growth of the BOP and the corresponding need to increase inmate
employment while minimizing FPI's effect on private labor and business
continue to be FPI's major challenge.

For FY 2009, a total of 2,075 positions and 1,931 workyears are
requested for FPI. Further, \$2,328,000 is included as the
Administrative Expenses limitation.

**2. Issues, Outcomes, and Strategies**

Strategic Goal 3: Ensure the fair and efficient administration of
justice.

Strategic Objective 3.4: Provide services and programs to facilitate
inmates' successful reintegration into society consistent with community
expectations and standards.

FPI's performance goals are part of the Department of Justice (DOJ). The
primary FPI goal, inmate population management, is to proactively manage
the offender population through meaningful work programs.

FPI meets this objective by reducing undesirable inmate idleness through
a full time work program that provides constructive industrial work
wherein job skills can be developed and work habits acquired. Inmate
idleness is the number one cause of inmate unrest and violence in
prison, and FPI employs over 20,000 inmates and provides skills training
to help ensure the safe and secure operation of the institutions. FPI
plays a vital role in the management of inmates, and also improves the
likelihood that inmates will remain crime-free upon their release from
BOP custody. A 2005 study, to establish a baseline was conducted of
15,406 FPI participants and an equal number of comparison subjects
released between 1994 through 1998. Results indicate that inmates who
participate in FPI are significantly less likely to recidivate.

For FY 2009, a total of 2,075 positions and 1,931 workyears are
requested for FPI. Further, \$2,328,000 is included as the
Administrative Expenses.

**3. Full Program Costs**

FPI operates as a revolving fund and does not receive an annual
appropriation. This budget reflects the full value of anticipated orders
received (Revenue) less the associated costs to produce the products
ordered and maintain the facilities for manufacturing. FPI maintains a
proprietary, full accrual accounting system. The revenue and costs
presented in the budget are based upon historical data, market trends of
FPI's sales of products and services, and projected expansion (growth)
of the BOP. FPI monitors the following program's activities, Sales
Volume, Number of Factories and Inmate Employment. These activities
directly relate to FPI's goal of population management.

FPI sales have been significantly impacted by the passage of Sections
811 and 819 of the National Defense Authorization Acts of 2002 and 2003,
and Section 637 of the FY 2004 and 2005 Omnibus Appropriations Bill
which changed the nature of FPI's mandatory source status, as well as
several administrative initiatives by the FPI program's Board of
Directors.

The impact has primarily been seen in the FPI Office Furniture Business
Group, which has historically comprised a major portion of FPI's total
sales. FPI's Office Furniture sales in FY 2007 were \$116 million, down
from \$140 million in FY 2005, \$141 million in FY 2004, \$152 million
in FY 2003, and \$218 million in FY 2002. The \$102 million less in
sales during FY 2007 as compared to the peak sales year of FY 2002
represents a 47 percent decrease.

In response, the FPI program has closed some factories and realigned
several others as part of an effort to reduce its operating costs. The
FPI program continues to improve customer service relationships, target
new markets, and develop other innovative strategies. These initiatives
have resulted in FPI's inmate employment increasing by 592 inmates from
the FY 2001 total of 22,560 to 23,152 in FY 2007. This represents a
increase of 3 percent.

Overall sales in FY 2007 of \$852,724,000 increased 19 percent from FY
2006 sales of \$717,544,000. FPI earnings increased to \$96,787,000 in
FY 2007 compared to \$71,256,000 in FY 2006, a increase of 36 percent.
This was due mainly to the Electronics Business Group's earnings
increasing to \$77,826,000 in FY 2007 from \$62,743,000 in FY 2006 in
continued support of the Department of Defense's war effort. Sales by
the Electronics Business Group represent 38 percent of FPI's total sales
and 80 percent of FPI total earnings. Electronics sales increased to
\$326,329,000 in FY 2007 from \$233,182,000 in FY 2006, a 40 percent
increase.

**4. Performance Challenges**

**[External Challenges]{.underline}**

FPI does not receive appropriated funding for operations and must
maintain itself through the results of operations. Historically, FPI
operates on a very low margin. The margins are much below that which
would be seen by a non-government corporation of similar size and
longevity. FPI has been able to sustain itself despite unprecedented
growth in the number of inmates. The growth demands of the BOP are
expected to continue for the foreseeable future.

The delicate balancing act between self sufficiency and growth create a
sizable challenge for FPI. Additionally, FPI is faced with challenges
that may impact this balance. These challenges include changes to FPI's
position as a supplier to the Federal Government (preference provided to
FPI) and increases in costs not directly controlled by FPI (Federal
staff pay schedule and benefits costs).

**[Internal Challenges]{.underline}**

FPI faces challenges similar to that of a non-government corporation.
These challenges include: control of costs, collection of account
receivables, control of raw materials inventory levels, and stability of
sales.

**III. Appropriation Language and Analysis of Appropriation Language**

**Appropriation Language**

**Federal Prison Industries, Incorporated**

The Federal Prison Industries, Incorporated, is hereby authorized to
make such expenditures, within the limits of funds and borrowing
authority available, and in accord with the law, and to make such
contracts and commitments, without regard to fiscal year limitations as
provided by section 9104 of title 31, United States Code, as may be
necessary in carrying out the program set forth in the budget for the
current fiscal year for such corporation, including purchase (not to
exceed five for replacement only) and hire of passenger motor vehicles.
(Department of Justice Appropriation Act, 2008)

**Limitation on Administrative Expenses**

**Federal Prison Industries, Incorporated**

Not to exceed \$2,328,000 of the funds of the corporation shall be
available for its administrative expenses, and for services as
authorized by 5 U.S.C. 3109, to be computed on an accrual basis to be
determined in accordance with the corporation's current prescribed
accounting system, and such amounts shall be exclusive of depreciation,
payment of claims, and expenditures which such accounting system
requires to be capitalized or charged to cost of commodities acquired or
produced, including selling and shipping expenses, and expenses in
connection with acquisition, construction, operation, maintenance,
improvement, protection, or disposition of facilities and other property
belonging to the corporation or in which it has an interest. (Department
of Justice Appropriation Act, 2008)

**Analysis of Appropriation Language**

No substantive changes proposed.

**IV. Decision Unit Justification**

**A. Federal Prison Industries**

  ----------------------------------------- ----------- --------- ------------
  **FPI**                                   **Perm.     **FTE**   **Amount**
                                            Pos.**                

  2007 Enacted with Rescissions             2,058       1,914     \$900,445

  2007 Supplementals                        0           0         0

  2007 Enacted w/Rescissions and Supp.      2,058       1,914     900,445

  2008 Enacted                              2,075       1,930     929,510

  Adjustments to Base and Technical Adj.    0           1         11,529

  2009 Current Services                     2,075       1,931     941,039

  2009 Program Increases                    0           0         0

  2009 Request                              2,075       1,931     941,039

  Total Change 2008-2009                    0           1         \$11,529

                                                                  
  ----------------------------------------- ----------- --------- ------------

**1. Program Description**: Federal Prison Industries, Inc. (FPI)
reduces inmate idleness by providing a full-time work program and
continually strives to attain the goal of employing approximately 25
percent of the eligible inmate population. Health, security level and
other factors determine eligibility for work in FPI. Many of the inmates
do not have marketable skills. FPI provides a program of constructive
industrial work wherein job skills can be developed and work habits
acquired.

FPI's operations are self-supporting. Revenues are derived from the sale
of products and services to other Federal departments, agencies, and
government institutions which purchase products listed on FPI's Schedule
of Products. FPI provides services on a non-mandatory, preferred source
basis. Operating expenses such as the costs of raw materials and
supplies, inmate wages, staff salaries, and capital expenditures are
applied against these revenues, resulting in operating income or loss,
which is reapplied toward operating costs for future production.

Institution factories and shops are operated by civilian supervisors and
managers, training and overseeing the work of inmates. The factories
utilize raw materials and component parts purchased from the private
sector to produce finished goods. FPI's major Government customers
include the Department of Defense, the Department of Justice, the
Department of Homeland Security, the Postal Service, and the General
Services Administration. Institution factories manufacture such items as
furniture, clothing, electronics, and metal products, and provide such
services as printing, data processing, laundry and recycling activities.
Orders for goods and services are obtained through marketing and sales
efforts by civilian staff. A portion of the earnings realized by these
operations is reinvested to improve and build new facilities and
purchase equipment, maintain the existing equipment base, and provide
working capital.

Extensive testing and product development procedures are required to
operate modern factories that produce products which meet Government
specifications. Inmate training is also extensive because most of the
inmates have no previous training, experience or skills. Much of the
needed training occurs on-the-job, with the civilian supervisors and
experienced inmates explaining and demonstrating the work to newly
assigned inmates. Where skills require more formal training, such as
soldering, classroom instruction is provided by UNICOR staff.

FPI makes capital investments in building and improvements, machinery
and equipment as necessary in the conduct of its industrial operations.
Other expenses charged to the industrial manufacturing program include
inmate accident compensation.

In 1988 Congress amended FPI's statute regarding the production of new
products and significant product expansion (18 U.S.C. 4122). Before any
significant product expansion or new products are manufactured, a review
process is conducted, which includes full notice to and input from the
public and interested parties. Implementing guidelines were first
promulgated in 1990 and updated in 1997, with input from the private
sector.

As required under the Federal rules, commonly referred to as the
Guidelines process, when FPI proposes to produce a new product or expand
its market share of an existing product, they first must conduct a
market impact study. This study must identify and consider the number of
vendors currently meeting the requirements of the Federal government;
the proportion of the Federal market for the product currently served by
small business, small disadvantaged businesses, or businesses operating
in labor surplus areas; the size of the Federal/non-Federal markets for
the product; the projected growth in the Federal government's demand for
the product; and the projected ability of the Federal market to sustain
both FPI and private vendors. FPI then must announce in the Federal
Business Opportunities (Fed Biz Opps) its proposal and invite comments
from private industry. FPI must also directly notify those trade
associations affected and allow them to provide comment.

FPI's Board of Directors is appointed by the President and by statute is
composed of six members representing Industry, Labor, Retailers and
Consumers, Agriculture, the Secretary of Defense and Attorney General.
The Board is provided copies of the market impact study, the comments
received, and FPI's recommendations. The Board also holds hearings which
the public can attend and provide testimony.

At the conclusion of the above process, the Board renders its decision,
which is also published in the Federal Business Opportunities (Fed Biz
Opps). Parties can appeal to the Board if and when market conditions
change or new facts could impact the decision.

<table>
<colgroup>
<col style="width: 9%" />
<col style="width: 15%" />
<col style="width: 6%" />
<col style="width: 5%" />
<col style="width: 6%" />
<col style="width: 7%" />
<col style="width: 7%" />
<col style="width: 8%" />
<col style="width: 9%" />
<col style="width: 9%" />
<col style="width: 7%" />
<col style="width: 7%" />
</colgroup>
<tbody>
<tr class="odd">
<td colspan="12"><strong>2. PERFORMANCE AND RESOURCES
TABLE</strong></td>
</tr>
<tr class="even">
<td colspan="12"><strong>Decision Unit: Federal Prison
Industries</strong></td>
</tr>
<tr class="odd">
<td colspan="12"><strong>DOJ Strategic Goal/Objective: 3.4</strong></td>
</tr>
<tr class="even">
<td colspan="2"><strong>Workload/Resources</strong></td>
<td colspan="2"><strong>Final Target</strong></td>
<td colspan="2"><strong>Actual</strong></td>
<td colspan="2"><strong>Projected</strong></td>
<td colspan="2"><strong>Changes</strong></td>
<td colspan="2"><strong>Requested (Total)</strong></td>
</tr>
<tr class="odd">
<td colspan="2"></td>
<td colspan="2"><strong>FY 2007</strong></td>
<td colspan="2"><strong>FY 2007</strong></td>
<td colspan="2"><strong>FY 2008 Enacted</strong></td>
<td colspan="2"><strong>Current Services Adjustments and FY 2009 Program
Changes</strong></td>
<td colspan="2"><strong>FY 2009 Request</strong></td>
</tr>
<tr class="even">
<td colspan="2"><strong>Workload</strong></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
<td colspan="2"></td>
</tr>
<tr class="odd">
<td colspan="2"><p>Base number of factories</p>
<p>Number of Inmate Jobs added</p>
<p>Inmates employed at year-end</p></td>
<td colspan="2"><p>114</p>
<p>0</p>
<p>21,500</p></td>
<td colspan="2"><p>114</p>
<p>1,652</p>
<p>23,152</p></td>
<td colspan="2"><p>115</p>
<p>0</p>
<p>21,788</p></td>
<td colspan="2"><p>0</p>
<p>0</p>
<p>0</p></td>
<td colspan="2"><p>115</p>
<p>0</p>
<p>21,788</p></td>
</tr>
<tr class="even">
<td colspan="2" rowspan="2"><p><strong>Total Costs and FTE</strong></p>
<p>(reimbursable FTE are included, but reimbursable costs are bracketed
and not included in the total)</p></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
</tr>
<tr class="odd">
<td>1,914</td>
<td>900,445</td>
<td>1,914</td>
<td>987,811</td>
<td>1,930</td>
<td>929,510</td>
<td>1</td>
<td>11,529</td>
<td>1,931</td>
<td>941,039</td>
</tr>
<tr class="even">
<td><strong>TYPE/ STRATEGIC OBJECTIVE</strong></td>
<td><strong>Performance</strong></td>
<td colspan="2"><strong>FY 2007</strong></td>
<td colspan="2"><strong>FY 2007</strong></td>
<td colspan="2"><strong>FY 2008 Requirements</strong></td>
<td colspan="2"><strong>FY 2009 Current Services Adjustments and Program
Change</strong></td>
<td colspan="2"><strong>FY 2009 Request</strong></td>
</tr>
<tr class="odd">
<td><strong>Program Activity</strong></td>
<td></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
<td><strong>FTE</strong></td>
<td><strong>$000</strong></td>
</tr>
<tr class="even">
<td></td>
<td>Sales Volume</td>
<td>1,914</td>
<td>900,445</td>
<td>1,914</td>
<td>987,811</td>
<td>1,930</td>
<td>929,510</td>
<td>1</td>
<td>11,529</td>
<td>1,931</td>
<td>941,039</td>
</tr>
<tr class="odd">
<td><strong>Performance Measure</strong></td>
<td><p>Comparative Recidivism for FPI inmates vs. non-FPI inmates (3
yrs.)</p>
<p>Comparative Recidivism for FPI inmates vs. non-FPI inmates (6
yrs.)</p></td>
<td><p>15%</p>
<p>10%</p></td>
<td></td>
<td><p>39%</p>
<p>23%</p></td>
<td></td>
<td><p>15%</p>
<p>10%</p></td>
<td></td>
<td><p>0</p>
<p>0</p></td>
<td></td>
<td><p>15%</p>
<p>10%</p></td>
<td></td>
</tr>
<tr class="even">
<td><strong>Efficiency Measure</strong></td>
<td>Number of Inmates Employed</td>
<td>21,500</td>
<td></td>
<td>23,152</td>
<td></td>
<td>21,788</td>
<td></td>
<td>0</td>
<td></td>
<td>21,788</td>
<td></td>
</tr>
<tr class="odd">
<td><strong>OUTCOME</strong></td>
<td>Number of inmates employed as a percentage of inmates housed in low,
medium, and high security institutions.</td>
<td>25%</td>
<td></td>
<td>16%</td>
<td></td>
<td>25%</td>
<td></td>
<td>0</td>
<td></td>
<td>25%</td>
<td></td>
</tr>
<tr class="even">
<td colspan="12">* The FY 2007 Final Target has not been revised from
the FY 2008 President’s Budget.</td>
</tr>
<tr class="odd">
<td colspan="12"><p>Data Definition, Validation, Verification, and
Limitations:</p>
<ol type="1">
<li><p>Base number of factories equal the number of factories at the
beginning of the year and previous year’s base number of factories
adjusted to agree with previous year-end results.</p></li>
<li><p>Sales volume is equal to gross revenues for the fiscal
year.</p></li>
<li><p>Decrease is the result of reduction of cost and delayed
activations.</p></li>
<li><p>In FY2005, a Baseline was established for comparative recidivism
rates for FPI inmates vs. non-FPI inmates who are less likely to
recidivate 3 years after release and less likely to recidivate 6 years
after release. In addition, FY 2008 – FY 2009 targets have been
developed.</p></li>
</ol></td>
</tr>
</tbody>
</table>

<table>
<colgroup>
<col style="width: 12%" />
<col style="width: 24%" />
<col style="width: 6%" />
<col style="width: 6%" />
<col style="width: 6%" />
<col style="width: 6%" />
<col style="width: 8%" />
<col style="width: 6%" />
<col style="width: 5%" />
<col style="width: 5%" />
<col style="width: 6%" />
<col style="width: 6%" />
</colgroup>
<tbody>
<tr class="odd">
<td colspan="12"><strong>2. PERFORMANCE MEASURE TABLE
(cont’d)</strong></td>
</tr>
<tr class="even">
<td colspan="12"><p><strong>Decision Unit: Federal Prison
Industries</strong></p>
<p><strong>Department of Justice Strategic Goal/Objective:
3.4</strong></p></td>
</tr>
<tr class="odd">
<td colspan="2" rowspan="2"><strong>Performance Report and Performance
Plan Targets</strong></td>
<td><strong>FY 2001</strong></td>
<td><strong>FY 2002</strong></td>
<td><strong>FY 2003</strong></td>
<td><strong>FY 2004</strong></td>
<td><strong>FY 2005</strong></td>
<td><strong>FY 2006</strong></td>
<td colspan="2"><strong>FY 2007</strong></td>
<td><strong>FY 2008</strong></td>
<td><strong>FY 2009</strong></td>
</tr>
<tr class="even">
<td><strong>Actual</strong></td>
<td><strong>Actual</strong></td>
<td><strong>Actual</strong></td>
<td><strong>Actual</strong></td>
<td><strong>Actual</strong></td>
<td><strong>Actual</strong></td>
<td><strong>Target</strong></td>
<td><strong>Actual</strong></td>
<td><strong>Target</strong></td>
<td><strong>Target</strong></td>
</tr>
<tr class="odd">
<td><strong>Performance Measure</strong></td>
<td><p>Comparative Recidivism for FPI inmates vs. non-FPI inmates (3
yrs.)</p>
<p>Comparative Recidivism for FPI inmates vs. non-FPI inmates (6
yrs.)</p></td>
<td><p>N/A</p>
<p>N/A</p></td>
<td><p>N/A</p>
<p>N/A</p></td>
<td><p>N/A</p>
<p>N/A</p></td>
<td><p>N/A</p>
<p>N/A</p></td>
<td><p>Baseline</p>
<p>Established</p>
<p>Baseline</p>
<p>Established</p></td>
<td><p>23%</p>
<p>10%</p></td>
<td><p>15%</p>
<p>10%</p></td>
<td><p>39%</p>
<p>23%</p></td>
<td><p>15%</p>
<p>10%</p></td>
<td><p>15%</p>
<p>10%</p></td>
</tr>
<tr class="even">
<td><strong>Efficiency Measure</strong></td>
<td>Number of Inmates Employed</td>
<td>22,560</td>
<td>21,778</td>
<td>20,274</td>
<td>19,337</td>
<td>19,720</td>
<td>21,205</td>
<td>21,500</td>
<td>23,152</td>
<td>21,788</td>
<td>21,788</td>
</tr>
</tbody>
</table>

**2. Performance, Resources and Strategies**

**a. Performance Plan and Report for Outcomes**

Inmate Employment: The Federal Prison Industries (FPI) actual inmate
employment of 23,152 at the end of FY 2007 exceeded the projected target
level of 21,500. The projected number of inmates employed increases
consistently, correlating with projected sales and the activation of new
institutions.

The recidivism measure was new in FY 2005. Baseline data for this
measure was established in FY 2005. A study, to establish a baseline was
conducted of 15,406 FPI participants and an equal number of comparison
subjects released between 1994 through 1998. Results indicate that
inmates who participate in FPI training and employment are significantly
less likely to recidivate. Now that baseline information is available,
FPI will begin targeting and collecting data to report in outyears
against a long-term and annual PART measure. The FY 2009 target is 15
percent less likely to recidivate 3 years after release and 10 percent
less likely to recidivate 6 years after release.

**b. Strategies to Accomplish Outcomes**

FPI's performance goals are part of the Department of Justice (DOJ). The
primary FPI goal; population management, is to proactively manage the
offender population through meaningful work programs.

FPI meets this objective by reducing undesirable inmate idleness through
a full time work program that provides constructive industrial work
wherein job skills can be developed and work habits acquired. Inmate
idleness is the number one cause of inmate unrest and violence in
prison; FPI employs over 20,000 inmates and provides skills training to
help ensure the safe and secure operation of the institutions. FPI plays
a vital role in the management of inmates, and also improves the
likelihood that inmates will remain crime-free upon their release from
BOP custody.

For FY 2009, a total of 2,075 positions and 1,931 workyears are
requested for FPI. Further, \$2,328,000 is included as the
Administrative Expenses limitation.

**c. Results of Program Assessment Rating Tool (PART) Reviews**

N/A

FPI internal results reflect FY 2007 targets of 15 percent less likely
to recidivate 3 years after release and 10 percent less likely to
recidivate 6 years after release were exceeded with actual results of
39% and 23% respectively.