This is no different then the prison systems. The prisons get overcrowded so we let the low security prisoners off early, still however on probation. We pay for them in prison, and we pay for them on probation, we pay for a place for them to live, and a place for them to work.
I believe we should send them into the military, since we have to pay them anyways. And since we are short on people joining the service and fighting in the middle east, send them over onto the front lines. If they survive then they can come home free.