Physical Assets and Capital Intentions

The Department of Corrections manages over $1.7 billion worth of physical assets across New Zealand. In recent years the Department has managed its assets to accommodate a substantial increase in the offender population.

The Department has a Capacity Planning Optimisation Model to determine the optimum prison building and decommissioning programme – when and where new prison beds are potentially required. The programme is then used to quantify the operating requirements – for example the number of custodial staff required and funding implications.

The Department will decommission and upgrade some of its prison facilities to ensure that it can safely and humanely contain prisoners and deliver effective rehabilitation programmes and reintegration services. The largest project of this nature is the redevelopment of Mt Eden Prison which will deliver two new accommodation buildings providing 450 permanent beds to replace current capacity of 420 beds (fully operational by 2011); support facilities and infrastructure for future development (allows for additional capacity of 570 permanent beds from 2014); and the preservation and conversion of the Mt Eden prison heritage building.

The Department is also working through a capital programme developed for the Community Probation and Psychological Service to provide appropriate facilities to manage community-based offenders.

In 2008/09, the following initiatives will develop the Department’s capital asset base:

  • commencement of the redevelopment of Mt Eden Prison
  • completion of new infrastructure required as a result of building additional beds on existing sites over recent years
  • progressing with additional support facilities as part of the EffectiveInterventions programme.

The table on the following page outlines the Corrections’ capital expenditure programme. This capital programme is aimed at helping to achieve the Department's operating intentions by ensuring the Department has the required capacity to meet demand and that the Department's physical assets are maintained to a standard that ensures offenders are managed securely, safely and humanely.

Capital Expenditure Trends and Forecasts
  2010/11 Forecast $000 2009/10 Forecast $000 2008/09 Forecast $000 2007/08 Forecast $000 2006/07 Actual $000 2005/06 Actual $000
Land and buildings            
New regional prisons 9,039 35,951 235,453 310,650
Prison expansion – additional beds & infrastructure 48,272 20,299 44,149 70,880
Mt Eden Prison redevelopment 53,000 103,000 40,130 4,367 2,496 980
Effective Interventions 31,525 20,237 11,220 1,330
Security projects, including fences 5,000 10,000 5,000 7,000
Health and safety 7,500 15,000 23,006 5,828 1,088 8,880
Deferred maintenance 2,739 11,331 21,315 17,100
Community Probation and Psychological Services accommodation 19,598 7,700 952 4,162 2,320
Sub-total 85,098 167,225 148,423 96,948 309,993 410,810
Prisoner employment projects 5,000 5,000 5,000 6,320 4,679 2,600
Plant and machinery, equipment, motor vehicles, and furniture and fittings 8,850 8,850 9,017 15,515 6,242 5,390
Information technology 11,500 11,500 12,150 13,163 17,306 14,040
Total 110,448 192,575 174,590 131,946 338,220 432,840