“Lockup Quotas” Guarantee Profits for the U.S. Private Prison Industry

December 4th, 2013

Via: In The Public Interest:

Shar Habibi looks at the rise of “lockup quotas” in private prisons; quotas where states guarantee that prisons will be filled at rates of 90 percent or even higher. She argues that these quotas mean that even if communities realize their objective of lower crime rates, taxpayers will see no benefit, as they have to pay for prisons as if they were filled to capacity.

In 2012, Corrections Corporation of America (CCA), the largest for-profit prison company in the United States, sent a letter to 48 state governors offering to buy their public prisons. CCA offered to operate state prisons in exchange for a 20-year contract that included a guarantee from the governors that the prisons would be at least 90 percent filled for the entire term. In other words, taxpayers had to agree to a 90 percent “lockup quota” or else have to pay for empty prison beds.

Thankfully, no governor took CCA up on this particular offer. But unfortunately for U.S. taxpayers, and for the very idea of justice, “lockup quotas” are already a very common occurrence in contracts between state and local governments and private prison companies. According to a new study from In the Public Interest (ITPI), a comprehensive resource center on the outsourcing of public services to for-profit corporations, 65 percent of private prison contracts that we studied contain these quotas…

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