Information on capacity changes indicates that 25 responding corrections departments reported increases in system capacity for the third quarter of 1990. One State had a decrease in bed space. Cases filed in litigation encompass prison conditions, access to condoms, public protection, employee urine testing, and handicapped inmates' rights. Cases settled pertain to inmate publishing, strip searches, visitation, prison conditions, sex discrimination in hiring, protective custody, credit for jail time, artificial insemination, parole board liability, medical issues, frivolous lawsuits, and indeterminate sentences. Legislation covers boot camps, education/vocation program credits, intermediate sanctions, parole for the terminally ill, inmate mothers, infectious disease reporting, private-sector contracting, and citizens committees. The survey of corrections agencies requested information on the extent of prison gangs, the level of disruption gangs cause, regulations and policies that govern gang membership, agency responses to gang problems, and gang intelligence systems. 12 annotated recommended readings