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State refunding $262,000 in illegal surcharges to inmates
By Associated Press
Published: 05/03/2004

The state is trying to refund $262,000 to current and former prisoners, almost two years after the state Supreme Court ruled that a 5 percent surcharge on items sold at prison canteens was illegal.
Last month, the state paid nearly $122,000 to 1,500 inmates in amounts ranging from a few dollars to more than $250. Now it is trying to track down 3,300 former prisoners who paid the surcharge but have since been released.
The Legislature passed the surcharge in 1999 to support the victim's assistance fund. But the Supreme Court ruled in July 2002 it was essentially a sales tax that was unconstitutional because it applied only to prisoners.
Inmates can buy toiletries, snacks and even televisions at prison canteens using their inmate accounts. Cash is contraband at the prison, but inmates can earn credit in their accounts by working in prison industries or through contributions from friends and family members on the outside.
Former inmates who are on parole can expect to be paid by June 15, said Department of Corrections spokesman Jeff Lyons. The state will try to track down those who are no longer on parole and repay them by Sept. 15.
The state will then publish in a newspaper a list of those the department can't find. If they fail to claim the money, it will be returned to their old inmate accounts.
"If they happen to come back to the prison on new charges, violations or whatever, then they'll find some money sitting in their inmate accounts," said Michael Brown, a senior assistant attorney general.


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