Adam,
It is prudent to find a guard that works for your application and to use it as far as it is practical. Your inmates most likely vary in skill and so need as much protection as you can provide. That said, you need to know that unless there is an employer/employee relationship between the prison and the inmates, the OSHA regulations do not apply to their use of the equipment. Perhaps you do pay them for any work generated by the shop and that would make them employees. If you are the only employee that uses this shop then you could argue, in the case that you only supervise and never use the equipment, that OSHA regs do not then apply.
Do you know if your inspection is by the compliance folks or from their consultative services group. If the latter, then they will only offer advice and will not cite you.
Again, make sure that you are providing as much protection as you can, whether OSHA regs apply or not. I am not advocating skirting rules when they legitimately apply, but only that you should defend against citations if OSHA has no jurisdiction.
In addition to guarding, dust collection, and PPE they will check the electrics (switches, wiring, connections), stability of the equipment, lighting, and maybe training. They may get into hazard communication for any chemical products used and also will probably ask about your log of injuries/illnesses. I have interacted with NC OSHA for 30 years and would anticipate that the inspection will be reasonably conducted and educational for you. It's when they inspect following a serious accident that they get out the big book and whack you.
Good luck