What does it mean if an inmate has to go to camp before releasing to the half way house? Why would the doc require this?

Camp is another term for "minimum security prison". Depending on the circumstances, as an inmate is nearing their release date, the DOC will "step down" their custody level preparing them for re-entry. This is a GOOD thing, not a bad thing. They would not offer this if they had any trust concerns with this inmate.