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Federal Prison Industries, Inc. (FPI or trade name UNICOR) is a government corporation, established by Congress in 1934, that is under the management of the Federal Bureau of Prisons (BOP) and United States Department of Justice (DOJ). FPI is governed by a Presidentially-appointed Board of Directors.
FPI – whose mission is to train and employ inmates in federal custody – is a vital BOP correctional management program. FPI provides inmates valuable training and experience which develop job skills and a strong work ethic, thereby preparing inmates for successful reintegration into society. It also keeps inmates productively occupied and reduces inmate idleness and the violence associated with it.
Since inception in 1934, FPI has operated in the federal marketplace pursuant to the mandatory source provision in its enabling statute, 18 U.S.C. § 4124. Subsequent actions taken by Congress, however, have impacted the application of FPI’s mandatory source. Section 827 of the National Defense Authorization Act for Fiscal Year 2008 (Public Law 110-181; effective 3/31/08) requires DOD contracting officers to immediately use competitive procedures when procuring products for which UNICOR has a market share greater than 5% of the DoD market.
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