UNITED STATES
                    SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, 20549

                                FORM 10-K/A
                              Amendment No. 1


[X]  Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange
     Act of 1934
     For the Fiscal Year Ended December 31, 1999

[ ]  Transition Report to Section 13 or 15(d) of the Securities Exchange Act
     of 1934
     For the transition period from__________to__________.

                       Commission File No.:  0-23038

                      CORRECTIONAL SERVICES CORPORATION
            (Exact name of registrant as specified in its charter)

DELAWARE                                                  11-3182580
(State of other jurisdiction of                           (I.R.S. Employer
incorporation or organization)                            Identification No.)

1819 MAIN STREET, SARASOTA, FLORIDA                                    34236
(Address of principal executive office)                           (Zip Code)

Registrant's telephone number, including area code:  (941) 953-9199.

Securities registered pursuant to Section 12(b) of the Act:  None.

Securities registered pursuant to Section 12(g) of the Act:
TITLE OF EACH CLASS                 NAME OF EACH EXCHANGE ON WHICH REGISTERED
Common Stock, par value $.01 per share                 Nasdaq National Market


Indicate  by  check  mark  whether the Registrant (1) has filed all reports
required to be filed by Section  13 or 15(d) of the Securities Exchange Act
of 1934 during the past 12 months  (or  for  such  shorter  period that the
Registrant was required to file such reports), and (2) has been  subject to
such filing requirements for the past 90 days.        Yes  [X]     No  [ ]

Indicate by check mark if disclosure of delinquent filers pursuant  to Item
405  of  Regulation S-K is not contained herein, and will not be contained,
to the best  of  Registrant's knowledge, in definitive proxy or information
statements incorporated  by  reference in Part III of this Form 10-K or any
amendment to this Form 10-K.                                           [ ]

The aggregate market value of  the voting stock (Common Stock) held by non-
affiliates of the Registrant as  of the close of business on March 30, 2000
was approximately $55,443,687 based on the closing sale price of the common
stock on the Nasdaq National Market consolidated tape on that date.

<PAGE>  1

Number of shares outstanding of each  of the Registrant's classes of Common
Stock, as of the close of business on March 29, 2000:

     Common Stock, $.01 par value                     11,373,064 Shares

INFORMATION NOTE:

    This Form 10-K/A is being filed to correct 1999 stock price information
in Item 5 and to include Items required in Part III of a Form 10-K.

                                  Part II

Item 5.  Market for Registrant's Common Equity and Related Shareholder
Matters.

    The common stock of CSC is traded on  the  Nasdaq  National Market. The
following table sets forth, for the calendar quarters indicated,  the  high
and  low  sale  prices  per  share  on the Nasdaq National Market, based on
published financial sources.

<TABLE>
<CAPTION>
                                 CSC COMMON
                                   STOCK
                                 SALE PRICE
                               HIGH        LOW
       <S>                    <C>          <C>
1998
       First Quarter          15 3/4      10 3/16
       Second Quarter         16 7/8      12 1/2
       Third Quarter          15 1/2       8 7/8
       Fourth Quarter         14 1/4       6 3/4

1999
       First Quarter          12 1 1/8     7 5/8
       Second Quarter          9 11/16     7 3/8
       Third Quarter           9 1/4       4 13/16
       Fourth Quarter          6 6/16     3 17/32

</TABLE>


On the record date there were 199 holders of record and approximately
4,275 beneficial shareholders registered in nominee and street name.

                             Part III

Item 10.  Directors and Executive Officers of the Registrant.

Information Regarding Directors and Officers

     The following table sets forth the Directors and Executive Officers of
the Company, together with their respective ages and positions.

<PAGE>  2

<TABLE>
<CAPTION>
NAME                            AGE   OFFICE
<S>                             <C>   <C>
James F. Slattery (3)           50    President, Chief Executive Officer
                                       and Chairman of the Board
Michael C. Garretson            52     Executive Vice President, Chief Operating Officer
Ira M. Cotler                   36     Executive Vice President, Chief Financial Officer
Aaron Speisman                  52     Executive Vice President and Director
Richard P. Staley               68     Senior Vice President and Director
Stuart M. Gerson (1)(2)(3)      56     Director
Shimmie Horn                    27     Director
Bobbie L. Huskey(2)             51     Director
Melvin T. Stith (1)(2)          53     Director

</TABLE>

(1) Member of the Audit Committee and Compensation Committee
(2) Member of the Stock Options Committee
(3) Member of the Rights Committee

     James F. Slattery co-founded CSC  in  October  1987  and  has been its
President,  Chief  Executive  Officer and a director since CSC's inception,
and Chairman since August 1994.  Prior to co-founding CSC, Mr. Slattery had
been  a  managing partner of Merco  Properties,  Inc.,  a  hotel  operation
company,  Vice  President  of  Coastal  Investment  Group,  a  real  estate
development  company,  and  had  held several management positions with the
Sheraton Hotel Corporation.

     Michael C. Garretson joined the Company in August 1994 as its Vice
President of Business Development.  In October 1995, he became the Director of
Planning and Economic Development for the City of Jacksonville, Florida and
served in such position until rejoining the Company in January 1996, during
which period he also acted as a consultant to the company.  Mr. Garretson was
elected Executive Vice President and Chief Operating Officer in March 1996.
From September 1993 to August 1994, Mr. Garretson was Senior Vice President of
Wackenhut Corrections Corp. and from August 1990 to August 1993 was Director of
Area Development for Euro Disney S.C.A., the operator of a European theme park.

     Ira M. Cotler was elected Chief Financial Officer in January 1998, having
served as the Company's Executive Vice President-Finance since joining CSC in
March 1996.  Prior to joining the Company, from June 1989 to February 1996,
Mr. Cotler was employed by Janney Montgomery Scott Inc., an investment banking
firm, serving in several capacities, most recently as Vice President of
Corporate Finance.

     Aaron  Speisman co-founded CSC  in  October  1987  and  has  been  its
Executive Vice  President,  Secretary and a director since CSC's inception.
From  October  1987  to March 1994,  Mr.  Speisman  also  served  as  Chief
Financial Officer of the  Company.   Since  June  1, 1996, Mr. Speisman has
been employed by the Company on a part-time basis.

<PAGE>  3

     Richard P. Staley has served as a Director since  May 1994.  From 1988
to 1998, Mr. Staley was the company's Senior Vice President  of  Operations
and  in  1999  was named Senior Vice President of Strategic Planning.  From
1984 to 1987, Mr.  Staley  was  the Evaluation and Compliance  Director for
Corrections Corporation of America  and,  from  1953  to 1983, held various
positions  with  the United States Department of Justice,  Immigration  and
Naturalization Service.   Mr.  Staley  is a certified American Correctional
Association standards auditor for jail and detention facilities.

     Stuart M. Gerson was elected a director  of  CSC  in  June 1994. Since
March 1993, Mr. Gerson has been a member of the law firm of  Epstein Becker
&  Green,  P.C.  From  January  1993  to March 1993, he was acting Attorney
General of the United States. From January 1989 to January 1993, Mr. Gerson
was the Assistant U.S. Attorney General  for  the  Civil  Division  of  the
Department of Justice.

      Shimmie  Horn was elected a director of CSC in June 1996. Mr. Horn is
President of Iroquois  Properties,  Inc. a real estate holding company. Mr.
Horn, received a B.A. degree in Economics from Yeshiva College in 1993, and
graduated from the Benjamin Cardozo School of Law in 1996. He is the son of
the late Morris Horn, the former Chairman  of  the  Board  and a founder of
CSC, and Esther Horn, a principal stockholder of CSC.

     Bobbie L. Huskey was a director of Youth Services International, Inc.,
which was acquired by CSC in March 1999, at which time Ms. Huskey  became a
director  of  the  Company.  Ms.  Huskey  has  been  president of Huskey &
Associates  since  1984  and has 27 years in corrections,  specializing  in
juvenile justice planning,  facilities and program development. She has led
more than 60 needs assessments  and  planning  studies  in  20 states. Ms.
Huskey  has  hands-on  experience  in  juvenile justice facilities,  having
worked with delinquent girls in a treatment  facility  in  Kentucky and has
served  in  executive  leadership  positions  in  corrections  in Virginia,
Indiana  and  Chicago.  She  has held every elective office in the American
Correctional Association, including  president,  and  was  a  member of the
association's  executive  committee  for 12 years. Ms. Huskey has  authored
numerous  articles  and  appeared  on  national  news  programs  discussing
corrections  and  juvenile justice issues.  She  has  won  national  awards
including  the  E.R.   Cass   Award  for  outstanding  achievement  in  the
correctional field.

     Melvin T. Stith was elected  a  director  of  the  Company in November
1994.  Since  July  1991,  Mr.  Stith  has  been Dean of the Florida  State
University College of Business.  From December 1989 to July 1991, Mr. Stith
was Chairman of the Marketing Department of the  Florida  State  University
College  of  Business  where he was also a Professor.  Mr. Stith is also  a
director of Sprint and United Telephone of Florida.

Compliance with Section 16(a) of the Exchange Act

<PAGE>  4

     Section  16(a)  of  the  Securities  Exchange Act of 1934 requires the
Company's officers and directors and persons  who own more than ten percent
of a registered class of the Company's equity securities (collectively, the
"Reporting Persons"), to file reports of ownership and changes in ownership
with the Securities and Exchange Commission and to furnish the Company with
copies  of  these  reports.  Based solely on the Company's  review  of  the
copies of such forms  received by it during the Company's fiscal year ended
December 31, 1999, the Company believes that the Reporting Persons complied
with all filing requirements  applicable  to  them,  with  the exception of
Messrs. Staley and Slattery, directors of the Company.  [After  a review of
documentation  available  to the Company, it is the Company's belief  that]
Mr. Staley failed to timely  file one Form 4 comprising one transaction and
Mr.  Slattery  failed  to  timely   file   two  Form  4s  comprising  three
transactions during 1999.

Item 11.  Executive Compensation.

     The following table sets forth a summary  of  the compensation paid or
accrued by CSC during the three fiscal years ended December  31, 1999, 1998
and  1997  with  respect  to  CSC's  Chief Executive Officer and for  CSC's
executive officers whose total cash compensation for 1999 exceeded $100,000
(the "Named Executives"):

SUMMARY COMPENSATION TABLE

SUMMARY COMPENSATION TABLE

<TABLE>
<CAPTION>
                                                                 Long Term
                               Annual Compensation               Compensation
                                                                 Number of
                                                    Other Annual Securities      All Other
                                    Salary  Bonus   Compensation Underlying      Compensation
Name and Principal Position    Year ($)     ($)     ($)(1)       Options         (2)

<S>                            <C>  <C>     <C>     <C>          <C>             <C>
James F. Slattery              1999 270,000 200,000 11,815       40,000          9,625
 Chairman, Chief               1998 260,519 200,000 11,815       150,000         18,365
 Executive Officer             1997 208,373 200,000 17,988       0               27,270
 and President

Michael Garretson(3)           1999 194,307 0       12,000(3)    0               292
 Executive Vice President      1998 128,814 75,000  12,000(3)    0               292
                               1997 118,834 75,000  12,000(3)    0               288

Ira Cotler                     1999 191,077 82,827  6,000        25,000          67
 Executive Vice President      1998 141,431 75,000  6,000        0               67
 Chief Financial               1997 135,115 75,000  6,000        0               54

</TABLE>

(1)  Consists of car lease payments.
(2)  Consists of life insurance premiums.
(3)  Also includes housing allowance.

<PAGE>  5

Employment Agreements

     On September 29, 1999, CSC entered  into  an employment agreement with
its  Chief  Executive Officer, James F. Slattery,  replacing  the  existing
employment agreement  between  the  Company and Mr. Slattery dated February
17,  1998.  The new agreement has a term  of  three  years  with  automatic
annual  renewal  provisions.  Mr. Slattery's minimum annual compensation is
$270,000 until September 29, 2000, thereafter the base compensation will be
adjusted through annual costs of  living  increases  of  at least 3.5%. Mr.
Slattery  also  receives  use of an automobile, reimbursement  of  business
expenses, health insurance,  related  benefits  and  a bonus equal to 5% of
CSC's  pre-tax profits in excess of $1,000,000, such bonus  not  to  exceed
$200,000.

     Also,  on  September  29,  1999,  CSC entered into a Change in Control
Agreement  with  Mr.  Slattery which provides  for  payments  of  specified
benefits to Mr. Slattery  in  the  event  his  employment  terminates under
specified  circumstances  following  a  change in control of CSC.  For  the
purposes of this agreement, a change in control  is  deemed  to  take place
whenever:

     for any period of two consecutive years beginning on any date from and
after  September 29, 1999, if the Board of Directors at any time during  or
at the end  of  such  period  is  not  comprised  so that a majority of the
directors are either (i) individuals who constitute  the Board of Directors
at the beginning of such period or (ii) individuals who  joined  the  Board
during such period who were elected or nominated for election pursuant to a
vote  of  at  least  two-thirds  of  the directors then still in office who
either were directors at the beginning  of  the period or whose election or
nomination for election was previously so approved  (but not including, for
purposes of (i) or (ii), a director designated by a person  who has entered
into  an  agreement  with the Company to effect a transaction described  in
clause (B) of Subsection  1(b)  of the Change in Control Agreement relating
to stockholder approval of a merger, share exchange or consolidation of the
Company);

      the  stockholders  of  CSC  approve   a  merger,  share  exchange  or
consolidation of CSC with or into any other corporation wherein immediately
following such merger, the stockholders of CSC prior to the transaction own
less than 51% of the outstanding voting stock of CSC (if it is the survivor
of the transaction) or the surviving entity; or

     the stockholders of CSC approve a plan of  complete liquidation of CSC
or an agreement for the sale or disposition by CSC  of all or substantially
all CSC's assets.

     Benefits made available to Mr. Slattery under the  terms of the change
in control agreement in the event that his employment is  terminated  under
the above specified circumstances may include:

     Payment of his full base salary through the date of termination at the
rate  in  effect at the time notice of termination is given, plus all other
amounts and benefits to which Mr. Slattery is entitled under his employment
agreement or  pursuant  to  any plan of CSC in which he is participating at
the time of termination,

<PAGE>  6

     A lump sum severance payment  equal  to the sum of (A) three times Mr.
Slattery's annual base salary and incentive  bonus  in  effect  immediately
prior  to  the  occurrence  of the change in control and (B) $1,000,000  as
payment for Mr. Slattery's agreement to extend his agreement not to compete
under  his  employment agreement  to  four  years  following  the  date  of
termination,

     Any deferred compensation allocated or credited to Mr. Slattery or his
account as of the date of termination,

     Certain additional payments to cover any excise tax imposed by Section
4999 of the Internal Revenue Code,

      Maintenance  of  life,  disability,  accident  and  health  insurance
benefits  substantially  similar  to  those that Mr. Slattery was receiving
immediately prior to the notice of termination, for the period beginning on
the date of termination and ending on the  earlier  of  (A)  the end of the
36th  month  after  the  date  of  termination or (B) the date Mr. Slattery
becomes eligible for such benefits under  any  plan  offered by an employer
with which he is employed on a full-time basis, and

     All benefits payable to Mr. Slattery under any applicable  retirement,
thrift,  and  incentive  plans  as  well  as  any  other  plan or agreement
sponsored  by  CSC  or  any  of  its  subsidiaries  relating  to retirement
benefits.

      On  December  5,  1998  CSC  entered into a new three year employment
agreement  with  Mr.  Garretson,  which   provides   for   minimum   annual
compensation  of  $200,000, annual salary increases, automobile allowances,
reimbursement of business  expenses,  health  or  disability insurance, and
related benefits. The agreement also entitles Mr. Garretson  to  an  annual
bonus  of  $100,000  in  the  first  year and $110,000, and $120,000 in the
second and third years respectively, provided  that  the  CSC's  total  bed
count at each year-end exceeds certain amounts.

      On  May  3, 1999, CSC amended the employment agreement with its Chief
Financial Officer,  Ira Cotler, dated July 9, 1997 to provide for a term of
three years with automatic  annual renewal provisions. Mr. Cotler's minimum
annual compensation is $200,000  until  February  26,  2000, $210,000 until
February 26, 2001 and an amount to be renegotiated by the  parties,  but in
no  event  less  than  $210,000  until  February  26, 2002. Mr. Cotler also
receives automobile allowances and a bonus equal to  four  tenths  of 1% of
CSC's  earnings  before  interests,  taxes,  depreciation, amortization and
start-up,  such bonus not to exceed $100,000. Mr.  Cotler  is  entitled  to
terminate his  employment  with  CSC  and  to receive in a lump sum payment
three times his annual base salary plus a bonus  at the bonus cap ($100,000
per  annum  or  the pro rata amount) if he is required  to  relocate  to  a
location not within  50  miles  of  his present office, except for required
travel on CSC's business to an extent  substantially  consistent  with  his
present travel obligations.

<PAGE>  7

     Also, on May 3, 1999, CSC entered into a Change in Control Agreement with
Ira  Cotler which provides for payments to Mr. Cotler of specified benefits
in the  event  that his employment terminates under specified circumstances
following a change  in  control  of  CSC.   The  definition  of a change in
control is substantially similar to that set forth in Mr. Slattery's change
in control agreement previously described.

     Benefits made available to Mr. Cotler under the terms of the change in
control agreement in the event that his employment is terminated  under the
above specified circumstances may include:

     Payment of his full base salary through the date of termination at the
rate in effect at the time notice  of termination is given, plus all  other
amounts  and  benefits to which Mr. Cotler is entitled under his employment
agreement or pursuant  to  any  plan of CSC in which he is participating at
the time of termination,

     A lump sum severance payment  equal  to  the sum of (A) 2.99 times Mr.
Cotler's annual base  salary  in effect immediately prior to the occurrence
of  the  change  in control and (B) $600,000 as payment  for  Mr.  Cotler's
agreement to extend  his  agreement  not  to  compete  under his employment
agreement to three years following the date of termination,

     Any  deferred compensation allocated or credited to  Mr. cotler or his
account as of the date of termination,

     Certain additional payments to cover any excise tax imposed by Section
4999 of the Internal  Revenue Code,

      Maintenance  of  life,  disability,  accident  and  health  insurance
benefits  substantially  similar  to  those  that  Mr. Cotler was receiving
immediately prior to the notice of termination, for the period beginning on
the date of termination and ending on the earlier of  (A)  the  end  of the
36th month after the date of termination or (B) the date Mr. Cotler becomes
eligible for such benefits under any plan offered by an employer with which
he is employed on a full-time basis, and

      All  benefits  payable to Mr. Cotler under any applicable retirement,
thrift, and  incentive   plans   as   well  as  any other plan or agreement
sponsored  by  CSC  or  any  of  its  subsidiaries relating  to  retirement
benefits.

Stock Options

     The following table sets forth information relating to options granted
to the only executive officers named in  the Summary Compensation Table who
was granted options during CSC's fiscal year ended December 31, 1999:

<PAGE>  8

                           OPTION GRANTS IN 1999

<TABLE>
<CAPTION>
Potential Realizable
Individual Grants                                                  Value At Assumed
                                                                   Annual Rates
                                                                   of Stock Price
                                                                   Appreciation For
                                                                   Option Term


                                                                     5% ($)    10% ($)

                                  Percent Of
                                  Total
                       Number Of  Options    Exercise
Name                   Securities Granted to Of
                       Underlying Employees  Base
                       Options    In Fiscal  Price     Expiration
                       Granted(1) Year       ($/sb)    Date
<S>                    <C>        <C>        <C>       <C>           <C>       <C>
James F. Slattery      40,000     8.5%       $7.43     6/25/09       186,907   473,660
Ira Cotler             25,000     5.3%       $11.13    2/01/04       174,990   443,459
</TABLE>

     (1) Exercisable at the annual rate of  50%  of  the underlying shares,
commencing one year after the date of grant.

     The following table sets forth the value of unexercised  stock options
held  by  the  Named  Executives.  No  options were exercised by the  Named
Executives in 1999:

Option Values at December 31, 1999

<TABLE>
<CAPTION>
Name                     Number of Shares             Vaue of In-The Money
                         Underlying Options at        Options at Year End
                         Year End                     Exercisable/Unexercisable
                         Exercisable/Unexcercisable
<S>                      <C>                          <C>
James F. Slattery        175,000/20,000               $0/$0
Mike Garretson           90,000/0                     $0/$0
Ira Cotler               121,666/3,334                 $0/$0

</TABLE>

<PAGE>  9

Item 12. Security Ownership of Certain Beneficial Ownership and Management.

     The following table sets forth the  beneficial ownership of the Common
Stock on April 30, 2000 by (i) each person  known  by  the  Company  to own
beneficially  more  than  five  percent of such shares, (ii) each director,
(iii) each person named in the Summary  Compensation Table under "Executive
Compensation" of this Annual Report on Form  10-K,  and  (iv) all directors
and   executive  officers  as  a  group,  together  with  their  respective
percentage ownership of the outstanding shares:



<TABLE>
<CAPTION>
                 Amount and Nature of Beneficial Ownership
                                                       Acquirable
Name and Address of                       Number of    Within 60    Percent
Beneficial Owner                          Shares       Days**       Outstanding
<S>                                       <C>          <C>          <C>
Esther Horn(1)                            637,175                   5.6%
James F. Slattery(1)                      806,500      175,000      8.6
Aaron Speisman(1)                         427,485      25,000       4.0
Jennifer Anna Speisman 1992 Trust         83,438          -          *
Joshua Israel Speisman 1992 Trust         83,438          -          *
Ira M. Cotler                             18,518    (2) 121,666 *** 1.2
Richard P. Staley                          9,450         26,340      *
Michael C. Garretson                         -           90,000      *
Stuart Gerson                              1,000         45,850      *
Melvin T. Stith                              -           30,850      *
Shimmie Horn                               14,312        22,500      *
Bobbie L. Huskey                             -           15,800      *
Gilder, Gagnon, Howe & Co. (3)             2,043,351     -          18.0
Greenville Capital Management              480,466       -          4.2
Inc.(4)
All officers and directors as a            1,444,141     553,006    17.6
group (eight persons)

</TABLE>
*     Less than 1%
**    Consists  of  shares  issuable  upon exercise of options unless
otherwise noted.
*** Includes 5,000 shares issuable upon exercise of warrants.
(1)  Address is c/o Correctional Services Corporation,  1819  Main  Street,
Suite 1000, Sarasota, Florida 34236.
(2) Includes  2,612  shares  of  CSC  common stock owned by his wife, as to
which he disclaims beneficial ownership.
(3) Address is 1775 Broadway, 26th Floor,  New  York, New York 10019. Based
on  a  Schedule  13G  filed  with  the SEC by Gilder, Gagnon,  Howe  &  Co.
("Gilder, Gagnon") on March 14, 2000,  Gilder,  Gagnon  has shared power to
dispose  or to direct the disposition of 2,043,351 shares  and  has  shared
power to vote  or  to direct the vote of 14,775 shares. The shares reported
include 1,979,083 shares  held  in  customer  accounts  over which partners
and/or employees of Gilder, Gagnon have discretionary authority  to dispose
of or  direct the disposition of the shares. 49,493 shares held in accounts
owned  by  the  partners  of  Gilder,  Gagnon and their families, and 6,700
shares held in the account of the profit-sharing plan of Gilder, Gagnon.
(4) Address is P.O. Box 220, Rockland, Delaware  19732. Based on a Schedule
13G filed with the SEC by Greenville Capital Management  Inc.  on  February
10, 1999,  Greenville Capital Management Inc., an  investment  adviser, has
sole dispositive power over these shares.

<PAGE>  10

Item 13.  Certain Related Transaction.

     The  Company  subleases  a building located at 12-16 East 31st Street,
New York, New York from LeMarquis  Operating  Corp. ("LMOC"), a corporation
owned 25% by Ester Horn and 8% by James F. Slattery.  The Company currently
utilizes  approximately  fifty percent of the building  for  the  Manhattan
Community Corrections and  the  New  York  Community  Corrections programs.
LMOC  leases  this building from an unaffiliated party at  a  current  base
monthly rental  of  approximately  $16,074  (the  "Base Rent"), plus taxes,
currently  approximately  $14,000, and water and sewer  charges,  currently
approximately $3,500, for a  total monthly rental of approximately $33,000.
The Company has the right to use as much of the building as it requires for
its business subject to the rights  of  certain  residential  subtenants to
remain  in  the building.  These rights include the right to housing  at  a
predetermined  rental for an indefinite period of time pursuant to New York
State rent stabilization laws.

     As a result  of  the  lease negotiations, under a sublease dated as of
January 1, 1994, since May 1,  1995,  the  Company has paid rent of $18,000
per month above the rent paid by LMOC to the  building's  owner for a total
monthly rent of approximately $51,420. The Company has, to  date,  invested
$739,000  in  leasehold  improvements  and will not receive any credit,  in
terms of a reduction in rent or otherwise,  for  these  improvements.   The
terms  of  this  sublease  were  not  negotiated at arm's length due to the
relationship of Mrs. Horn and Mr. Slattery  with both the Company and LMOC.
The negotiation of the sublease, including the renewal terms, was requested
by the Representative of the Underwriters of the Company's February 2, 1994
initial public offering to substantially track  the  renewal  terms  of the
Company's  management  contract.  The  negotiations were not subject to the
board  resolution,  adopted subsequent to  the  negotiations,  relating  to
affiliated transactions,  although  the  terms  were approved by all of the
directors.  The initial term of the Company's sublease  expired  April  30,
1995,  and  is currently in its first renewal term expiring April 30, 2000.
The sublease  contains  two additional successive five-year renewal options
beginning May 1, 2000.  The monthly rent above the rent paid by LMOC to the
building's owner will increase  to  $22,000  per  month  during  the second
renewal  term  beginning  May  1, 2000 and to $26,000 per month during  the
third renewal term beginning May 1, 2005.  The Company paid $40,000 to LMOC
for the renewal options.  These  renewal options were separately negotiated
between the Board of Directors of  the  Company  and  LMOC.   Mr.  Slattery
participated in such negotiations.  Mrs. Horn and Mr. Slattery will receive
their  proportionate  shares  of rents received by LMOC under the terms  of
this sublease.

     Previously, residential and  commercial  tenants of this building paid
rent to LeMarquis Enterprise Corp. ("Enterprises"),  a company owned 30% by
Mrs.  Horn,  28% by Mr. Slattery and 25% by Mr. Speisman,  and  Enterprises
paid all expenses  of  operating the residential and commercial portions of
the building as well as  a portion of the overall expenses of the building.
As of February 1994, however,  all  of  the  building's revenues, including
rent  from the residential and commercial tenants  are  now   received  and
expenses  paid  by the Company.

<PAGE>  11

The Company anticipates that operating the portion of the building occupied
by residential and commercial tenants will result in a net expense  to  the
Company   of  approximately   $6,500  per  month.   Due  to  New  York rent
stabilization  laws, the Company is unable to increase the rent paid by the
residential  tenants  in   this  building in  response to increased rent or
expenses incurred by the Company.

     The Company leases the entire building located at  988  Myrtle Avenue,
Brooklyn, New York from Myrtle Avenue Family Center, Inc. ("MAFC") pursuant
to  a  lease  which  commenced January 1, 1994 and expired on December  31,
1998. The lease established a monthly rental of $40,000 and contained three
five-year renewal options.  The  Company  is  currently in its first option
period, which runs from January 1, 1999 through  December  31,  2003.   The
monthly  rental  payment  during  the  first option period is $40,000.  The
monthly rental for the second option period,  which  runs  from  January 1,
2004 through December 31, 2008, is $45,000, and the monthly rental  for the
third  option period, which runs from January 1, 2009 through December  31,
2013, is  $50,000.  In addition, the Company pays taxes, insurance, repairs
and maintenance on this building.  MAFC is a corporation owned by Mrs. Horn
(27.5%) and  Messrs.  Slattery (8%) and Speisman (27.5%).  The terms of the
lease were not negotiated  at  arm's  length due to their relationship with
MAFC and the Company.  Messrs. Slattery  and  Speisman participated in such
negotiations.

     The Company leases a building located at 2534  Creston  Avenue, Bronx,
New  York  from  Creston  Realty  Associates, L.P. ("CRA"), the corporation
owned 10% by Ester Horn. The lease  term is two years commencing October 1,
1996 and has three additional one year  option  periods.   The Company also
pays a base rent of $180,000 per year which will escalate five  percent per
year for each of the three year options if they are exercised.  The Company
pays taxes, insurance, repairs and maintenance on this building which  will
be  used to house a community correctional center.  The terms of this lease
were  not  negotiated  at  arms  length due to the relationship between the
Company, Ms. Horn and CRA.

     Stuart M. Gerson, a director  of  CSC, is a member of Epstein Becker &
Green,  CSC's legal counsel, which has received  fees  for  legal  services
rendered to CSC during the last fiscal year.

     Pursuant  to  the  terms of a Board of Directors resolution adopted in
connection with the Company's  initial  public  offering,  all transactions
between  the  Company  and  any  of  its  officers, directors or affiliates
(except for wholly-owned subsidiaries) must  be  approved  by a majority of
the unaffiliated members of the Board of Directors and be on  terms no less
favorable  to  the  Company than could be obtained from unaffiliated  third
parties and be in connection  with  bona  fide  business  purposes  of  the
Company.

     In the event the Company makes a loan to an individual affiliate
(other than  a  short-term advance for travel, business expense, relocation
or similar ordinary operating expenditure), such loan must be approved by a
majority of the unaffiliated directors.

<PAGE>  12

      In October 1989,  a  subsidiary  of  the  Company,  entered  into  an
employment  agreement  with William Banks.  Under this agreement, Mr. Banks
was  responsible  for  developing   and  implementing  community  relations
projects on behalf of the Company and  for  acting as a liaison between the
Company and local community and civic groups  who  may  have concerns about
Company's  facilities  being  established  in their communities,  and  with
government officials throughout the State of  New  York.   As compensation,
Mr.  Banks  received  3%  of the gross revenue from all Federal  Bureau  of
Prisons, state and local correctional  agency contracts within the State of
New York with a guaranteed minimum monthly  income  of $4,500.  In December
1993, Mr. Banks agreed to become a consultant to the  Company upon the same
terms and conditions in order to accurately reflect the level and nature of
the services he provided.  In 1998 and 1999, Mr. Banks earned approximately
$300,000 and $272,000 respectively.

<PAGE>  13

                              SIGNATURES

     In accordance with Section 13 or 15(d) of the Exchange Act, the
registrant caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.

                                     CORRECTIONAL SERVICES CORPORATION
                                     Registrant


                                     By: /s/ James F. Slattery
                                         James F. Slattery, President

Dated: May 1, 2000