Prison Law Blog

Sara Mayeux

Private Prison Company’s Contracts in California Have Soared

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The Capitol Weekly has this report on the Corrections Corporation of America, the leading private prison company in the U.S., whose contracts in California alone have soared from $23 million to $700 million, just since 2006.

Even in a state accustomed to high-dollar contracts, the 31-fold increase over three years is dramatic.

During the same period, the company’s campaign donations rose exponentially, from $36,750 in 2006, of which $25,000 went to the state Republican Party, to $233,500 in 2007-08 and nearly $139,000 in 2009.  The donations have gone to Democrats, Republicans and ballot measures. The company’s largest single contribution, $100,000, went to an unsuccessful budget-reform package pushed last year by Gov. Schwarzenegger.

The lack of competitive bidding has raised concerns about in the Democrat-controlled Legislature about prison-system procurement.

CCA operates five out-of-state facilities for the Golden State — holding about 8,000 California inmates (to increase to about 10,000 under the latest contract) — in Arizona, Mississippi, and Oklahoma. CCA, and some state officials, argue that the company has helped alleviate California prison system’s severe overcrowding problem.

Written by sara

January 28, 2010 at 12:57 pm

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