State bills former inmates for prison stay when they inherit money

Fairfield County residents who have a family member currently or formerly in state custody may soon receive an unexpected bill from the Connecticut Department of Administrative Services. The state is enforcing a long-standing practice of charging individuals a daily fee for their time in prison and collecting that debt if they later receive money through an inheritance, a lawsuit, or a lottery win.

The current per-day rate stands at $347, a figure that ranks among the highest in the nation for the 2022-23 fiscal year. This cost is calculated by dividing the total annual operating expenses of the Department of Correction among the people incarcerated on any given day. The resulting debt accumulates over the entire length of a person's sentence, creating a liability that can reach tens of thousands of dollars.

State law, originally enacted in 1995, allows officials to attach a lien to financial gains made by formerly incarcerated individuals. The Department of Administrative Services monitors probate court filings to identify people with prison histories who are inheriting assets. When a match is found, the state sends a bill directly against the inheritance. Recent legal amendments require that the state leave the recipient with at least $50,000 and prohibit collection on most lawsuit settlements unless the plaintiff was convicted of specific murder or sexual assault charges.

The collected funds go directly into the state's General Fund, averaging $3.3 million in annual revenue. In some cases, the debt is so large that it forces the sale of an inherited home or property to satisfy the balance. Many recipients report that they were unaware they owed money until the state contacted them, sometimes more than a decade after their release. This practice has led some individuals to lose housing or miss opportunities for education and business startups.

Other states generally charge lower daily rates and often collect costs from inmates' paychecks while they are still in custody. Most states do not pursue collection after release, and some have repealed similar laws entirely. Officials argue that pursuing these debts after release makes it harder for people to reintegrate into society and build wealth.

State lawmakers are currently reviewing the law ahead of the 2027 legislative session, which begins in January. Both Democratic and Republican legislators have expressed interest in making changes. Some propose repealing the law completely, a move that was considered in 2022 but failed to pass. Others suggest modifying the rules to prevent people from losing their homes or to make it easier to secure a waiver based on financial need.

Gov. Ned Lamont has voiced support for changing the law while maintaining a mechanism to charge wealthy criminals. He noted that while a Wall Street titan might be expected to contribute to the cost of their incarceration, the majority of people should not face an impossible burden after serving their time. The governor's office remains engaged in discussions with legislators about how to balance state revenue with fairness for those re-entering the community.

The Department of Administrative Services states it is following directives from the Department of Correction and lacks the authority to waive or adjust individual debts. Meanwhile, the Department of Correction identifies the collection process as the responsibility of the administrative arm. Lawmakers who originally passed the 1995 legislation have not responded to recent requests for comment regarding the current impact of the policy.