Arizona Revised Statutes

Ariz. Rev. Stat. § 31-254 (2026)

Compensation for labor performed; price of prison made articles; distribution of earnings; workers' compensation

✓ current as of May 2026
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A. Each prisoner who is engaged in productive work in any state prison or institution under the jurisdiction of the department or a private prison under contract with the department as a part of the prison industries program shall receive for the prisoner's work the compensation that the director determines. The compensation shall be in accordance with a graduated schedule based on quantity and quality of work performed and skill required for its performance but shall not exceed one dollar fifty cents per hour unless the prisoner is employed in an Arizona correctional industries program pursuant to title 41, chapter 11, article 3. If the director enters into a contract pursuant to section 41-1624.01 with a private person, firm, corporation or association the director shall prescribe prisoner compensation of at least two dollars per hour. Compensation shall not be paid to prisoners for attendance at educational training or treatment programs, but compensation may be paid for work training programs.

B. Whenever a price is fixed for any article, material, supply or service to be produced, manufactured, supplied or performed in connection with the industries program of the department, the compensation paid to prisoners shall be included as an item of cost in fixing the price.

C. The compensation of prisoners shall be paid out of the fund established pursuant to section 41-1624 or out of funds appropriated for that purpose by the legislature when required.

D. If the compensation due a prisoner is less than two dollars per hour, mandatory deductions shall be taken for the following purposes in the order specified:

1. Twenty-five percent of the prisoner's gross wages until the prisoner's dedicated discharge account registers a two hundred fifty dollar balance or, if the prisoner is serving a sentence of natural life, a fifty dollar balance.

2. If the prisoner initiates a lawsuit, twenty percent from all deposits to the prisoner's spendable account until the court fees are collected in full.

3. If the prisoner was not convicted of a violation of title 28, chapter 4, five percent of the prisoner's gross wages shall be used exclusively to fund the transition program established by section 31-281.  All monies collected under this paragraph shall be deposited, pursuant to sections 35-146 and 35-147, in the transition program fund established by section 31-284.

4. Thirty percent of the prisoner's wages for court ordered dependent care.

E. If the compensation due a prisoner equals or exceeds two dollars per hour, the director shall credit to the prisoner's spendable account established pursuant to section 31-230 an amount equaling fifty cents per hour for each hour compensation is due plus ten percent of the adjusted balance remaining after the mandatory deductions are taken. Mandatory deductions shall be taken for the following purposes in the order specified:

1. Twenty-five percent of the prisoner's gross wages until the prisoner's dedicated discharge account registers a two hundred fifty dollar balance or, if the prisoner is serving a sentence of natural life, a fifty dollar balance.

2. If the prisoner initiates a lawsuit, twenty percent from all deposits to the prisoner's spendable account until the court costs are collected in full.

3. If the prisoner was not convicted of a violation of title 28, chapter 4, five percent of the prisoner's gross wages to fund the transition program established by section 31-281.  All monies collected under this paragraph shall be deposited, pursuant to sections 35-146 and 35-147, in the transition program fund established by section 31-284.

4. Thirty percent of the prisoner's wages for the room and board costs of maintaining the prisoner at the facility.

5. Thirty percent of the prisoner's wages for court ordered dependent care.

F. After the mandatory deductions and obligations are paid by the prisoner, the remaining monies shall be credited to the prisoner's retention account established by the director pursuant to section 31-261, subsection B.

G. A prisoner may gain access to the prisoner's trust fund or retention account for emergency purposes at the sole discretion of the director.

H. Any monies not expended from the contributing prisoner's trust fund or retention account for the purposes prescribed in subsection E of this section shall be paid to the prisoner on release pursuant to section 31-228.

I. If any prisoner escapes, the director shall determine what portion of the prisoner's earnings shall be forfeited, and the forfeited amount shall be deposited in the special services fund established by section 41-1604.03.

J. This section is not intended to restore, in whole or in part, the civil rights of any prisoner. A prisoner who is compensated under this section shall not be considered to be an employee of or employed by this state, the department or any private person, firm, corporation or association engaged in a contract pursuant to section 41-1624.01, and the prisoner does not come within any of the provisions of the workers' compensation provided in title 23, chapter 6 and is not entitled to any benefits under title 23, chapter 6 whether on behalf of the prisoner or of any other person. This subsection does not apply to prisoners who are employed pursuant to a federally certified prison industry enhancement program established pursuant to section 41-1674.

Notes of Decisions
Cited in 24 cases (4 in the last 5 years), 1975–2026 · leading case: City of South Tucson v. Indus. Comm'n, 753 P.2d 1199 (Ariz. Ct. App. 1988).
City of South Tucson v. Indus. Comm'n, 753 P.2d 1199 (Ariz. Ct. App. 1988). · cites it 27× “This argument is overbroad because the exclusion also depends on whether a prisoner was compensated under A.R.S. § 31-254. Thus, the dispositive question is whether the claimant’s compensation satisfied this condition.”
James Piatt v. Ellis MacDougall, 773 F.2d 1032 (9th Cir. 1985). · cites it 3× “” Ariz.Rev.Stat. § 31-254. If, as Piatt asserts, his work was done as part of a contract with a private entity, we conclude that he is entitled to pay at least equal to the minimum wage.”
Ward v. Ryan, 623 F.3d 807 (9th Cir. 2010). · cites it 3× “Ariz.Rev. Stat. § 31-254(A). For the most part, this compensation is placed in the inmate’s spendable account and may be withdrawn for certain enumerated purposes, such as inmate store purchases or long distance telephone calls.”
State v. Stocks, 258 P.3d 208 (Ariz. Ct. App. 2011). · cites it 7× “In a delayed third appeal, this court rejected Defendant’s argument *393 that retroactive application of A.R.S. § 31-254, authorizing the thirty percent deduction from his prison wages, violated the federal and state constitutional prohibitions against ex post facto laws.”
BILKE v. State, 209 P.3d 1056 (Ariz. Ct. App. 2009). · cites it 9× “”] Accordingly, the court is also of the opinion that the contract required the contractor to pay at least the minimum wage as a result of subsection A of A.R.S. § 31-254. The court therefore concludes that the Department violated its obligation to the inmates who worked under…”
Ford v. State, 979 P.2d 10 (Ariz. Ct. App. 1999). · cites it 8× “The State’s right to deduct thirty percent from an inmate’s wages is based on former section 31-254, which provides: E. If the compensation due a prisoner equals or exceeds the minimum wage, the director shall credit to the prisoner’s spendable account established pursuant to §…”
Young v. Cutter Biological, 694 F. Supp. 651 (D. Ariz. 1988). · cites it 8× “(1982); and (3) A.R.S. § 31-254 (West Supp. 1987) and A.R.”
Hale v. Arizona, 993 F.2d 1387 (9th Cir. 1993). · cites it 4× “V Inmates also argue that Ariz.Rev. Stat. § 31-254 and § 41-1623(E) (now repealed) give them a liberty interest in minimum wages of which they were deprived without due process of law.”
State v. Moore, 754 P.2d 293 (Ariz. 1988). · cites it 6× “A.R.S. § 31-254(A). A.R.S. § 31-254(D) provides as follows: If the compensation due a prisoner exceeds fifty cents per hour, and if a court has ordered the prisoner to pay restitution pursuant to § 13-603, thirty per cent of the prisoner’s compensation shall be expended for the…”
Keeney v. Indus. Comm'n, 535 P.2d 31 (Ariz. Ct. App. 1975). · cites it 7× “At the time of the accident petitioner was incarcerated in the maximum security area of the prison for a term less than life, and was receiving as a form of “compensation” or reward a “two-for-one” time served credit and the sum of twenty-five cents per hour as authorized by…”
Bilke v. State, 938 P.2d 1134 (Ariz. Ct. App. 1997). · cites it 10× “A.R.S. § 31-254, amended by 1985 Ariz. Sess.”
Marvin A. Chacon, Catherine L. Chacon, Johnny O. Contreras, Sally Contreras, Evelyn Bielak, Ronald Springfield & Carol Springfield v. United States, 48 F.3d 508 (Fed. Cir. 1995). · cites it 2× “” ArizRev.Stat.Ann. § 31-254(A) (1990). Under subsection (J), to which the Director referred, "[n]othing in this section is intended to restore, in whole or in part, the civil rights of any prisoner.”
— Ariz. Rev. Stat. § 31-254(1) — 2 cases
City of South Tucson v. Indus. Comm'n, 753 P.2d 1199 (Ariz. Ct. App. 1988). “This argument is overbroad because the exclusion also depends on whether a prisoner was compensated under A.R.S. § 31-254. Thus, the dispositive question is whether the claimant’s compensation satisfied this condition.”
Hale v. Arizona, 993 F.2d 1387 (9th Cir. 1993). “V Inmates also argue that Ariz.Rev. Stat. § 31-254 and § 41-1623(E) (now repealed) give them a liberty interest in minimum wages of which they were deprived without due process of law.”
— Ariz. Rev. Stat. § 31-254(7) — 1 case
City of South Tucson v. Indus. Comm'n, 753 P.2d 1199 (Ariz. Ct. App. 1988). “This argument is overbroad because the exclusion also depends on whether a prisoner was compensated under A.R.S. § 31-254. Thus, the dispositive question is whether the claimant’s compensation satisfied this condition.”
— Ariz. Rev. Stat. § 31-254(A) — 11 cases
Ward v. Ryan, 623 F.3d 807 (9th Cir. 2010). “Ariz.Rev. Stat. § 31-254(A). For the most part, this compensation is placed in the inmate’s spendable account and may be withdrawn for certain enumerated purposes, such as inmate store purchases or long distance telephone calls.”
BILKE v. State, 209 P.3d 1056 (Ariz. Ct. App. 2009). “”] Accordingly, the court is also of the opinion that the contract required the contractor to pay at least the minimum wage as a result of subsection A of A.R.S. § 31-254. The court therefore concludes that the Department violated its obligation to the inmates who worked under…”
City of South Tucson v. Indus. Comm'n, 753 P.2d 1199 (Ariz. Ct. App. 1988). “This argument is overbroad because the exclusion also depends on whether a prisoner was compensated under A.R.S. § 31-254. Thus, the dispositive question is whether the claimant’s compensation satisfied this condition.”
Marvin A. Chacon, Catherine L. Chacon, Johnny O. Contreras, Sally Contreras, Evelyn Bielak, Ronald Springfield & Carol Springfield v. United States, 48 F.3d 508 (Fed. Cir. 1995). “” ArizRev.Stat.Ann. § 31-254(A) (1990). Under subsection (J), to which the Director referred, "[n]othing in this section is intended to restore, in whole or in part, the civil rights of any prisoner.”
State v. Moore, 754 P.2d 293 (Ariz. 1988). “A.R.S. § 31-254(A). A.R.S. § 31-254(D) provides as follows: If the compensation due a prisoner exceeds fifty cents per hour, and if a court has ordered the prisoner to pay restitution pursuant to § 13-603, thirty per cent of the prisoner’s compensation shall be expended for the…”
— Ariz. Rev. Stat. § 31-254(D) — 2 cases
State v. Moore, 754 P.2d 293 (Ariz. 1988). “A.R.S. § 31-254(A). A.R.S. § 31-254(D) provides as follows: If the compensation due a prisoner exceeds fifty cents per hour, and if a court has ordered the prisoner to pay restitution pursuant to § 13-603, thirty per cent of the prisoner’s compensation shall be expended for the…”
State v. Stocks, 258 P.3d 208 (Ariz. Ct. App. 2011). “In a delayed third appeal, this court rejected Defendant’s argument *393 that retroactive application of A.R.S. § 31-254, authorizing the thirty percent deduction from his prison wages, violated the federal and state constitutional prohibitions against ex post facto laws.”
— Ariz. Rev. Stat. § 31-254(D)(4) — 2 cases
state/des v. Torres, 431 P.3d 1207 (Ariz. Ct. App. 2018).
State v. Hansen, 147 P.3d 1050 (Ariz. Ct. App. 2006).
— Ariz. Rev. Stat. § 31-254(E) — 1 case
Keeney v. Indus. Comm'n, 535 P.2d 31 (Ariz. Ct. App. 1975). “At the time of the accident petitioner was incarcerated in the maximum security area of the prison for a term less than life, and was receiving as a form of “compensation” or reward a “two-for-one” time served credit and the sum of twenty-five cents per hour as authorized by…”
— Ariz. Rev. Stat. § 31-254(E)(4) — 1 case
Ford v. State, 979 P.2d 10 (Ariz. Ct. App. 1999). “The State’s right to deduct thirty percent from an inmate’s wages is based on former section 31-254, which provides: E. If the compensation due a prisoner equals or exceeds the minimum wage, the director shall credit to the prisoner’s spendable account established pursuant to §…”
— Ariz. Rev. Stat. § 31-254(F) — 1 case
Gockley v. Arizona Dep't of Corr., 725 P.2d 1108 (Ariz. 1986).
— Ariz. Rev. Stat. § 31-254(H) — 1 case
Gockley v. Arizona Dep't of Corr., 725 P.2d 1108 (Ariz. 1986).
— Ariz. Rev. Stat. § 31-254(I) — 1 case
City of South Tucson v. Indus. Comm'n, 753 P.2d 1199 (Ariz. Ct. App. 1988). “This argument is overbroad because the exclusion also depends on whether a prisoner was compensated under A.R.S. § 31-254. Thus, the dispositive question is whether the claimant’s compensation satisfied this condition.”
— Ariz. Rev. Stat. § 31-254(J) — 5 cases
Marvin A. Chacon, Catherine L. Chacon, Johnny O. Contreras, Sally Contreras, Evelyn Bielak, Ronald Springfield & Carol Springfield v. United States, 48 F.3d 508 (Fed. Cir. 1995). “” ArizRev.Stat.Ann. § 31-254(A) (1990). Under subsection (J), to which the Director referred, "[n]othing in this section is intended to restore, in whole or in part, the civil rights of any prisoner.”
Hale v. Arizona, 993 F.2d 1387 (9th Cir. 1993). “V Inmates also argue that Ariz.Rev. Stat. § 31-254 and § 41-1623(E) (now repealed) give them a liberty interest in minimum wages of which they were deprived without due process of law.”
Ford v. State, 979 P.2d 10 (Ariz. Ct. App. 1999). “The State’s right to deduct thirty percent from an inmate’s wages is based on former section 31-254, which provides: E. If the compensation due a prisoner equals or exceeds the minimum wage, the director shall credit to the prisoner’s spendable account established pursuant to §…”
Bilke v. State, 938 P.2d 1134 (Ariz. Ct. App. 1997). “A.R.S. § 31-254, amended by 1985 Ariz. Sess.”
Chacon v. United States, 32 Fed. Cl. 684 (Fed. Cl. 1995).
Annotations are extracted automatically from the opinions in the Syfert caselaw corpus and ranked by authority, recency, and treatment. Dots show Syfertize treatment of the citing case itself.