Attachment 5 - AR 200-02 Inmate Banking.pdf

ADMINISTRATIVE REGULATION

COLORADO DEPARTMENT OF CORRECTIONS

REGULATION NUMBER

200-02

PAGE NUMBER

CHAPTER: Business Services

SUBJECT: Inmate Banking

RELATED STANDARDS: ACA Standards: 2-CO-1B-05, 2-

CO-1B-06, 5-ACI-1B-09, 5-ACI-

1B-21, 5-ACI-1B-22, 5-ACI-1B-

23, 5-ACI-5A-06

EFFECTIVE DATE: April 1, 2022

SUPERSESSION: 02/15/20

Dean Williams

Executive Director

OPR: OBO REVIEW MONTH: MARCH

I. POLICY

It is the policy of the Colorado Department of Corrections (DOC) to have a systematic administration of offender funds in accordance with Colorado state statutes.

II. PURPOSE

The purpose of this administrative regulation (AR) is to establish a system for the management of offender accounts and collection procedures for offender debts owed to the DOC and the state of Colorado.

III. DEFINITIONS

None

IV. PROCEDURES

A. The DOC will govern the control of funds belonging to offenders [2-CO-1B-05] [5-ACI-5A-06] by making a reasonable effort to prevent debt incurrence by offenders, i.e., if an offender does not have sufficient funds to cover an elective type purchase submitted on a AR Form 200-02C, Miscellaneous Withdrawal Ticket (canteen, etc.), the offender will not be allowed to make the purchase.

1. Withdrawals chargeable to the offender’s DOC account for document copies used for the express purpose of including in a clemency or special needs parole application will be posted, even if the offender’s DOC account is, or will be, in a deficit balance.

B. Non-elective withdrawals chargeable to the offender’s DOC account, supported by DOC ARs or through adjudication, will be posted, even if the offender’s DOC account is, or will be, in a deficit balance.

1. Most withdrawals, including court-ordered attorney’s fees and Code of Penal Discipline (COPD) charges, to an offender’s account will be deducted at 100 percent.

2. Charges will not be deducted in increments, except as detailed in the next paragraph.

3. All charges to an offender’s account will decrease the available balance.

4. If the charge is greater than the offender’s available balance the available balance will be zero.

C. All charges to an offender’s account for COPD charges that result from medical costs for treatment to self, correctional

CHAPTER SUBJECT AR # Page 2

Business Services Inmate Banking 200-02

EFFECTIVE

04/01/22 officers, or other DOC employees, contractors, and other offenders will be posted as a garnishment against the offender’s account.

1. The available balance on the offender’s account will be withdrawn down to zero and applied towards the fees that were assessed.

2. Any outstanding balance of $100.00 or more will be entered as a garnishment against the offender’s account.

3. Twenty percent of all deposits will be applied to the COPD garnishment. This is in addition to the 20 percent mandatory withholdings for court ordered fines and fees, surcharges and restitution, child support, and filing fees, if owed.

D. Offenders will be allowed to withdraw excess funds from their DOC inmate account to deposit into an interest bearing personal bank account. The DOC can not establish an external personal bank account on behalf of offenders.

Offenders will be allowed to make deposits and withdrawals to their personal bank accounts, unless substantial reasons justify otherwise. Any interest earned on an offender’s personal bank account will accrue to the offender.

[2-CO-1B-05] [5-ACI-1B-22]

E. The offender will be notified, in writing, by a facility DOC employee, prior to any administrative-imposed transactions being charged to the offender’s account. This notification will inform the offender of the nature of the charge, the amount to be withheld, either fixed or as a percentage, and over what period of time the collection will be extended.

F. The DOC, as trustee of the offender bank, will limit the number of deficit offender DOC accounts and the value of the total accounts receivable due to deficit balance by:

1. Denying requests for outgoing money orders drawn upon an offender’s DOC account that has a deficit balance, or where the issuance will place the account in deficit.

2. One hundred percent of all monies deposited will be applied to the offender’s current balance. If the offender has a deficit current balance, 50 percent of the deposit amount will first be applied to any deficit balance prior to any mandatory withholdings, unless the deposit is a payoff that liquidates the deficit balance, then the current balance will equal the available balance. The mandatory withholding is based on the full amount of the deposit.

3. All offenders paroling or discharging from the DOC will have a hold placed upon their offender account seven days before parole or discharge.

4. In order for a discharged or paroled offender to obtain the available monies in their offender account, they will need to submit to the Inmate Banking Office AR Form 200-02E, Account Release Letter (Release Check) provided to them at the time of their discharge or provide a written request to close their account. This will include offender name, DOC number, mailing address, and signature. The Inmate Banking Office will release the available funds of

$5.00 or more by check to the offender as soon as possible to the address provided, but no sooner than 30 days from the date of discharge as to allow for miscellaneous debits and credits.

5. Offenders who received a debit card upon release from DOC will need to submit AR Form 200-02F, Account

Release Letter (Prepaid Debit Card) or provide a written request for the balance of their funds ($5.00 minimum).

This will include offender name, DOC number, contact phone number, and signature. The available funds will be reloaded to the debit card no sooner than 30 days from the date of discharge to allow for miscellaneous debits and credits.

G. Offenders transferred to out-of-state contract private facilities will transfer only accounts with credit balances. Accounts with deficit balances are retained within the DOC and the transferring offender has zero funds available when arriving at the contract facility.

CHAPTER SUBJECT AR # Page 3

H. Offenders transferring from out-of-state contract private facilities transfer only accounts with credit balances into the

DOC Inmate Banking System. The DOC will not transfer offender accounts with a deficit balance from an out-of-state contract facility. Funds transferred from the out-of-state contract facility will be available upon deposit, unless they are applied in part or in total to a deficit DOC account balance.

I. Offenders may not move money from their telephone account back to their inmate bank account. The only time an offender may receive the balance on their account for telephone services will be upon transfer from a correctional facility to community corrections, court-ordered release, discharge, or death. Only in those cases where there are extenuating circumstances will transfers be considered between the offender's telephone account and their inmate bank account. These requests will be reviewed on a case-by-case basis, and will require the approval from the respective case manager and the Director of Finance and Administration. (See AR 850-12, Telephone Regulations for Offenders).

J. When an offender’s DOC account has a credit balance, the current balance will be considered the available balance, less any encumbered money. When funds deposited to a deficit offender DOC account is a payoff, elective withdrawals will be limited to the current balance, less any encumbered money.

K. When an indebted offender meets the parole board, the parole board will be advised of the indebtedness by the administrative head, or designee, of the facility/center.

L. If an offender paroles while still indebted to the state, the Division of Adult Parole will continue to make a reasonable effort to collect.

1. Community parole officers are not debt collectors and will not compel a parolee to pay debts under threat or implied threat that failure to do so might result in revocation of parole. Community parole officers may only require payment of restitution and other fees and court costs, as ordered by the parole board.

2. Community parole officers will advise the parolee of an inquiry by a creditor.

3. Community parole officers will advise creditors to correspond with the parolee in care of the parole office address.

4. Under no circumstances will a DOC employee provide a creditor with a parolee’s address or place of employment.

5. Community parole officers assigned to the offender’s case will make an effort to convince the indebted parolee to liquidate the debt and to inform the parolee of collection procedures the DOC is obligated to take under section

IV.K.

6. All payments accepted will be in the form of certified checks or money orders made payable to the “Department of

Corrections” or “Treasurer, State of Colorado.”

M. The deficit offender account may be identified as an uncollectible offender debt and referred to the state collection agency for collection 31 days after an offender discharges their sentence.

N. Offender debt turned over for collection may be cancelled as uncollectible upon approval from the controller. The applicable accounts receivable will be reduced simultaneously. Except as provided in section IV.R.8., operating funds or the canteen enterprise fund will be charged for any action or inaction resulting in the offender’s DOC account having a deficit balance. Deficit offender bank accounts may be reinstated for offenders that regress back to DOC.

O. Monetary consideration given under administrative regulation 200-01, Monetary Consideration for Departure, will not be withheld to cover indebtedness, unless approved by the executive director.

P. Money Order Requests: AR Form 200-02B, Request for Money Order is to be completed by the offender and an

CHAPTER SUBJECT AR # Page 4 authorized money order will be printed by the Inmate Bank Office. Funds for the money order will be deducted from the offender’s personal account.

1. All money order requests must be approved by an appropriate DOC employee at the facility.

2. Any financial transactions permitted between offenders must be approved by the appointing authority for each facility. [5-ACI-1B-23] In general, money orders are not permitted to be sent to other offenders, or relatives or visitors of other offenders. Exceptions may be made for offenders with common immediate family members. The offender will need to submit an AR Form 200-02G, Offender to Offender Transfer of Funds Approval Request

Form. The offender requesting the money to be taken from their account must fill out AR Form 200-02B, Request for Money Order.

3. All money order requests must have a stamped envelope addressed to the receiving party. Any exceptions will be approved by Inmate Banking.

4. Money order fees will be charged for each money order printed. The fee will be $.75 per $1,000.00.

5. When a request is over $2,000.00, a check will be written in lieu of money orders and a $2.00 fee will be charged to the offender’s DOC account.

6. When a tracer needs to be placed on a money order, the offender will be required to complete the proper forms to request the tracer and pay the tracer fee that is required by the money order company (Western Union - Integrated

Payment Systems, Inc.). A tracer packet may be requested from the Inmate Bank Office.

7. When an offender has insufficient funds to cover the amount of the money order requested, the account balance will be checked on two separate days. If the funds are still insufficient, the request and the envelope will be returned to the offender. If the offender wants to re-submit the request, they must complete a new request form and submit a new approval. The returned request cannot be used a second time.

8. Unless the original money order is returned to DOC, all vendor refunds will be subject to 20 percent mandatory withholding, pursuant to C.R.S. 16-18.5-106.

9. Offenders will not be allowed to send funds to persons who are on active parole, in a Community Corrections, or have an active Colorado DOC sentence. Exceptions will only be granted with the approval of the administrative head.

Q. Monthly offender account statements will be printed and distributed to the offenders each month by facility employees.

R. Guidelines for Inmate Banking

1. Deposits to an offender’s account from an offender’s family or friends must be made by electronic fund transfer

(EFT). The DOC will no longer accept paper money orders for deposit to an offender’s bank account. All other incoming deposits (e.g. vendor refunds and government payments in the form of a check) will be accepted. Any person that is an offender’s relative or friend will be allowed to send funds to an offender by EFT. The offender will receive receipts for financial transactions. [5-ACI-1B-21] All monies collected at the facility are to be deposited into the bank or placed in an officially designated and secure location daily. [2-CO-1B-06] [5-ACI-1B-09]

2. Offender deposits will be monitored for security purposes. Funds sent by EFT will automatically be credited to the offender’s account the next day after it is received. There are three providers of EFT services; JPay, GTL and

Western Union. There are three methods to send electronic fund transfers:

a. In-person with cash at locations throughout the country.

CHAPTER SUBJECT AR # Page 5

b. Electronically through the provider’s internet website utilizing a credit or debit card.

c. Via telephone by using a credit or debit card.

The cost for an EFT varies between the different providers and on the method of payment such as Internet or by cash in-person transactions. The person sending funds to the offender will pay a fee to the provider selected for the EFT services. JPay, GTL and Western Union will provide instructions for sending funds by EFT.

3. The only exception to the EFT policy will be for those families or friends that are located in remote or small towns and do not have reasonable access to one of the EFT provider services and cannot use a debit card or credit card.

Those families or friends without access to EFT services can send a letter of explanation to the DOC Inmate Bank.

They may be allowed to send money orders purchased from the U.S. Postal Service, if EFT services are not reasonably available. The Inmate Bank Office will review those payments to ensure that they are sent from locations that do not have GTL, Western Union or JPay services. Postal money orders for offender accounts will need to be sent to:

DOC Inmate Bank

P.O. Box 230 Canon City, CO 81215

4. Interest earned by the inmate bank fund will be transferred to the canteen and library fund on a monthly basis.

5. All transactions affecting the offender’s account will normally be posted to the DOC offender accounts system within two working days after receipt in the DOC Inmate Bank Office. There may be exceptions due to month end closure of offender accounts or incidents beyond DOC employee’s control, such as power or computer outages. In addition, certain incoming deposits such as life insurance proceeds or inheritance checks may be put on hold at the discretion of the DOC. This is to ensure funds are good and to determine whether funds are subject to other withholdings such as cost of incarceration and other court ordered costs.

6. Upon discharge, parole, or other release from the DOC custody, all available funds remaining in the offender’s bank account will be returned to the offender. Upon death, funds will be given to the offender’s next-of-kin or estate, as long as the DOC has no responsibility for the burial cost, in accordance with AR 850-10, Emergency Notification.

7. Offenders in the custody of the DOC are not allowed to send, receive, or solicit EFTs from other offenders or relatives or visitors of other offenders in the custody of the DOC. Exceptions may be made for inmates with common immediate family members by application to the Custody/Control manager of their facility.

a. All EFTs received by offenders are subject to investigation by each facility’s intelligence officer. If the funds are determined to be used for bartering, have come from someone determined to be a relative or visitor of another offender or are deemed questionable, they will be confiscated from the offender’s account and put into a holding account until a final determination can be made regarding their status.

b. Each facility’s intelligence officer will then determine within ten business days whether the funds will be retuned to the sender, released to the offender or held as contraband.

c. All funds confiscated as contraband and/or abandoned will be forwarded to the Inmate Bank Office to be deposited into the canteen and library fund. Subsequent return of such funds by legal order will be from the canteen and library fund.

8. Persons who are on active parole, in a Community Corrections, or have an active Colorado DOC sentence will not be allowed to send funds to an offender in DOC custody. Exceptions will only be granted with the approval of the

CHAPTER SUBJECT AR # Page 6 administrative head.

9. Charges to an offender’s account will not be allowed in the seven days prior to the offender’s discharge or parole date, unless such charges are amounts owed to the state of Colorado. Purchases which increase an offender’s debt to the state and which are charged within seven days prior to the offender’s release date, as provided in the listing of release actions, may become a liability of the facility approving the expenditure. The purchases may be charged against the operating expenses of the authority which permitted the charge.

10. Requests for research on any offender account must be submitted on the AR Form 200-02D, Request for Account

Research Form and submitted to the Inmate Bank Office with an authorized signature affixed.

11. In accordance with State Archive Policies Records Management Manual, Schedule No.7., D.,1, as well as those of the Department, all Inmate Bank records will be retained for three years plus the current. Any research on banking transactions and supporting documentation will be limited to records dated within three calendar years from the date of occurrence.

12. A processing fee of $.50 will be assessed for any research requested by an offender. This fee will be waived if the account was found to be in error due to circumstances beyond the control of the offender submitting the request.

13. A fee of $.25 per page will be assessed for all photocopy requests from offenders.

V. RESPONSIBILITY

A. Denver Complex DOC employees will brief all incoming offenders of their responsibility for pecuniary liabilities and the

DOC debt collection procedures, as outlined in this administrative regulation. Denver Complex DOC employees will obtain the offender’s signature on the briefing form. AR Form 200-02A, Financial Responsibility Briefing will become a permanent part of the offender’s electronic files.

B. The director of Finance and Administration will review this AR annually and update as necessary.

VI. AUTHORITY

A. C.R.S. 16-16-103. Place of confinement - extension of limits.

B. C.R.S. 17-20-117. Labor of inmates.

C. C.R.S. 24-30-201. Division of accounts and control - controller.

D. C.R.S. 24-30-202.4. Collection of debts due the state – controller’s duties - creation of debt collection fund - definitions.

E. C.R.S. 26-13-122.5. Administrative lien and attachment of inmate bank accounts.

VII. HISTORY

February 15, 2020

May 1, 2019

July 1, 2018

April 1, 2017

March 1, 2016

March 15, 2014

September 15, 2012

June 1, 2011

May 1, 2009

CHAPTER SUBJECT AR # Page 7

May 1, 2008

May 1, 2007

May 1, 2006

November 1, 2005

May 1, 2005

May 1, 2004

ATTACHMENTS:

A. AR Form 200-02A, Financial Responsibility Briefing Form

B. AR Form 200-02B, Request for Money Order

C. AR Form 200-02C, Misc. Withdrawal Ticket

D. AR Form 200-02D, Request for Account Research

E. AR Form 200-02E, Account Release Letter (Release Check)

F. AR Form 200-02F, Account Release Letter (Prepaid Debit Card)

G. AR Form 200-02G, Offender to Offender Transfer of Funds Approval Request Form

H. AR Form 100-01A, Administrative Regulation Implementation/Adjustments

AR Form 200-02A (11/01/05)

Financial Responsibility Briefing Form

Commitment Date DOC Number Offender Name

I. I certify that I have been informed of my responsibility to pay any and all just debts incurred while under the jurisdiction of the Department of Corrections, state of Colorado, and that all legal efforts to collect them may be exercised. I realize that examples of these debts include, but are not limited to:

1. Charges for loss, damage or destruction of State property.

2. Canteen purchases.

3. Room and board assessments.

4. Fines.

5. Transportation for return from escape or parole violation.

6. Co-pay for medical or dental services.

II. I have been advised to send any personal property home that has substantial or sentimental value. I understand that the Department of Corrections will not assume liability for the loss of such items if I choose to keep them during my incarceration.

Date Offender Signature

Date Briefing Officer Signature (and Printed/Typed Name)

Attachment A

AR Form 200-02B (05/01/19)

Request for Money Order

Offender Number

Offender Name

Amount Requested $

Offender Signature

Money Order Fee $

Facility

Unit

Total $

Date

To:

Name

Address

City

State

Zip Code

Reason:

Approved

---------------------------------------------------------Office Use Only--------------------------------------------------------

Need Approval

Insufficient Funds

Money Order Number:

Need Reason

Other

Date Request Received:

Attachment B

AR Form 200-02C (05/01/19)

Miscellaneous Withdrawal Ticket

Date __________________ Amount _________________________

Offender No. ___________________ Fac. _______________ Unit __________

Offender Name _____________________________________________________

Reason for Transaction _______________________________________________

I hereby authorize this amount to be deducted from my account:

Offender Signature__________________________________________________

Staff Authorization:

Printed Name _______________________Signature________________________

Attachment C

AR Form 200-02D (05/01/19)

Inmate Banking

Request for Account Research

Date: ________________________________ Facility: _________________________

Name: _______________________________ Req No. _________________________

State the request in detail:

I understand that my account will be charged according to AR 200-02, IV.R.11. (A processing fee of $.50 will be assessed for any research requested by an offender. This fee will be waived if the account was found to be in error due to circumstances beyond the control of the offender submitting the request.)

Signed: _____________________________________________

Attachment D

AR Form 200-02E (10/13/20)

ACCOUNT RELEASE LETTER

THIS FORM MUST BE RETURNED TO RECEIVE FUNDS

RE: RELEASE CHECK

Please fill out the form below and return to Inmate Accounts so that any funds ($5.00 minimum) which may come in after your release can be sent to you by check. Please call the DOC Cashier at

(719) 269-4188 or Inmate Accounts at (719) 269-4271 with any questions. Please note that account balances are not released until 30 days following your release date to allow all credits and/or charges to be posted.

TO: DEPARTMENT OF CORRECTIONS

INMATE ACCOUNTS

P.O. BOX 230

CANON CITY, CO 81215-0230

PHONE 719-269-4271

FAX 719-269-4050

EMAIL: doc_inmateaccounts@state.co.us

FROM:

NAME - PLEASE PRINT CLEARLY DOC NUMBER

ADDRESS CONTACT PHONE (optional)

CITY STATE ZIP CODE

I have been released from the Department of Corrections. Please close my account and send the balance to me at the above address.

SIGNATURE DATE

THIS FORM MUST BE SIGNED

Attachment E

AR Form 200-02F (04/01/22)

ACCOUNT RELEASE LETTER

RE: PREPAID DEBIT CARD

Please fill out the form below and return to Inmate Accounts so that any funds ($5.00 minimum) which may come in after your release can be loaded on to your debit card. Please call the DOC

Cashier at (719) 269-4188 or Inmate Accounts at (719) 269-4271 with any questions. Please note that account balances are not released until 30 days following your release date to allow all credits and/or charges to be posted.

TO: DEPARTMENT OF CORRECTIONS

INMATE ACCOUNTS

P.O. BOX 230

CANON CITY, CO 81215-0230

PHONE 719-269-4271

FAX 719-269-4050

EMAIL: doc_inmateaccounts@state.co.us

FROM:

NAME - PLEASE PRINT CLEARLY DOC NUMBER

CONTACT PHONE (optional)

I have been released from the Department of Corrections. Please close my account and fund my

JPAY debit card with the balance.

SIGNATURE DATE

THIS FORM MUST BE SIGNED

Attachment F

AR Form 200-02G (05/01/19)

Offender to Offender Transfer of Funds Approval Request Form

Date: _____________________

Offender Name: ______________________________ DOC #___________________

Located at: ___________________________________________________________

Is Requesting Permission to Transfer Funds to

Offender Name:_______________________________DOC #___________________

Located At:____________________________________________________________

The Relationship Is: (Circle One)

Husband / Wife Sibling Parent / Child Grandparent / Grandchild Other

Check One: This will be a one-time transaction.

This will be an ongoing transaction

Please verify the relationship and then approve or disapprove the transfer of funds.

Requesting Facility:

Approved Not Approved

Signature ______________________________ Date __________________

Receiving Facility:

Approved Not Approved

Signature ______________________________ Date __________________

NOTE: The Offender requesting the money to be taken from their account must fill out a Department of

Corrections Request for Money Order (AR Form 200-02) each time they wish to request a money order. The

Request for Money Order must be filled out completely and correctly, and signed by a staff member, even if there is a signed approval form such as this on file. If the Request for Money Order is not filled out correctly, it will be returned unprocessed.

Attachment G

ADMINISTRATIVE REGULATION

IMPLEMENTATION/ADJUSTMENTS

AR Form 100-01A (04/15/08)

CHAPTER SUBJECT AR # EFFECTIVE

Business Services Inmate Banking 200-02 04/01/22

(FACILITY/WORK UNIT NAME) ______________________________________________________________________

WILL ACCEPT AND IMPLEMENT THE PROVISIONS OF THE ABOVE ADMINISTRATIVE REGULATION:

[ ] AS WRITTEN [ ] NOT APPLICABLE [ ] WITH THE FOLLOWING PROCEDURES TO ACCOMPLISH THE INTENT

OF THE AR

(SIGNED) (DATE)

Administrative Head

Attachment H