A. Before expanding an existing minimum or medium security level prison or before establishing a new minimum or medium security level prison, the director shall give consideration to contracting for private prisons for the incarceration of:

1. Prisoners convicted of offenses pursuant to Title 28, Chapter 4, Article 3.

2. Prisoners convicted of offenses pursuant to title 13, chapter 14.

3. Female prisoners.

4. Prisoners over the age of fifty-five years.

5. Other inmate populations identified by the director.

B. Before entering into a contract with a private prison facility contractor for the incarceration of prisoners listed in subsection A of this section, the director shall determine that the contractor will provide at least the same quality of services as this state at a lower cost or that the contractor will provide services superior in quality to those provided by this state at essentially the same cost. In making this determination, the director shall consider the following:

1. Security.

2. Inmate management and control.

3. Inmate programs and services.

4. Facility safety and sanitation.

5. Administration.

6. Food service.

7. Personnel practices and training.

8. Inmate health services.

9. Inmate discipline.

C. The director shall identify from subsection A of this section, the appropriate inmate population for placement in privatized beds and the corresponding number of inmates. The director shall report the information to the governor, the legislature and the joint select committee on corrections by October 15 of every year for consideration in determining expansion of prison capacity.

D. The director may establish other private incarceration facilities that are dedicated to the confinement of persons who are sentenced to the department.

E. Before incurring any obligation for the establishment or any change of use of any private incarceration facility, the department shall give notice pursuant to Section 41-1604.19.