Legal status (simple and player-readable)

I’d keep it to 3 statuses:

Allowed Guards don’t care. You can carry it anywhere.

Restricted Allowed only in certain contexts (job area, specific block, certain time, with a permit). If found outside the allowed context, it gets treated like contraband.

Contraband Never allowed. If found, it triggers punishment/heat.

Contraband types that players understand instantly

Instead of “contraband type” meaning an internal tag, make it mean “how you get caught”. Players care about that because it changes their behavior.

These are the best contraband types for a prison RPG:

Visible contraband Big or obvious. If a guard sees it, you are done.

Scanner contraband Caught at checkpoints, gates, metal detectors, security frames.

Patdown contraband Caught when guards frisk you, stop you, search you after suspicion.

Cell search contraband Hard to catch on you, but likely to be found during random cell inspections.

K9 contraband Substances. Dogs or sniff checks.

Paper contraband Intel, maps, notes, schedules, blackmail. Easy to hide, huge consequences if found.

Each item can have one primary type, and optionally one secondary type. That is enough for players to make choices.

How they differ in gameplay

To make the types feel different, every type should change three things:

When it gets checked Scanner at entrances, patdowns near guards, cell searches at random times.

How risky it is to carry Visible is always risky, paper is risky only if searched.

What consequences feel like Weapons trigger immediate escalation, luxury often gets confiscated, access items cause lockdown level response.