Almost 1 billion dollars of new prison facilities are under construction in the United States. More than 20 States have authorized construction programs approaching another billion dollars. Proposals of yet another billion and a half dollars are being debated in 33 States. Legislation has been introduced in the Congress to provide grants of six and a half billion dollars to the States for improved prison facilities over the next 7 years. If Federal grant legislation is enacted, it is important that the new standards include (1) conversion of prisons into places of education and training and into factories and shops for production, (2) a repeal of statutes which limit prison industry production, (3) an affirmative limitation against any form of discrimination against prison made goods, and (4) a change in attitude of organized labor and in the business leaders toward the use of prison inmates to produce goods or machine parts. Teaching inmates to perform in a realistic work environment, paying them reasonable compensation, and charging them something for room and board and keep will increase their chances of being able to find and maintain gainful employment upon release. Competent performance in prison industries can also help to increase the self-esteem crucial to the development of an integrated personality. Six footnotes are provided.