Although the responding 36 correctional systems predicted that their coming budget year would bring budget decreases or cuts to programs and services, the results indicate that budgets actually increased in 28 of these correctional systems. These budget increases primarily went to fund a total of 10,945 new beds that were needed as a result of the continuing growth in the United States inmate population. The total budget figure reported by all 36 responding systems was approximately $22 billion. New facilities were constructed in 6 reporting systems, which also resulted in the creation of 1,400 staff positions. Rising health care costs for inmates was noted as a primary reason for budget increases, along with rising insurance costs, higher utility costs, and capital construction and improvement of existing facilities. New programs were implemented in only three of the responding systems. The most common types of programs included in correctional budgets in 18 of the responding systems were community centers and work release centers. Other programs included intensive supervision, probation violation centers, and substance abuse treatment. Only five of the responding systems reported that budgets were increased for juvenile justice services. Of the 36 responding systems, 21 anticipate needing to increase their budget during the next year, while 9 anticipate budget cuts. Finally, the article notes that the number of responding correctional systems is down this year, primarily due to staff cuts. Tables are offered that break down data into 2002-2003 allocated costs, funding sources, programs, and changes from the 2001-2002 budget year. Tables