|Majority Of CDCR Prisoners To Be Managed By CCA|
CCA (Corrections Corporation of America) (NYSE: CXW), America's leader in partnership corrections, announced today that the California Department of Corrections and Rehabilitation (CDCR) has renewed its contract with CCA to manage up to 9,588 California inmates at four of the five CCA facilities currently housing California inmates (the Contract Extension). The CDCR also notified CCA of its Intent to Award an additional contract to manage up to 3,256 offenders at CCA's Crowley County Correctional Facility in Colorado and CCA's Prairie Correctional Facility in Minnesota (the Intent to Award). Between the Contract Extension and the Intent to Award, CCA expects to have the opportunity to house a total of up to 12,844 inmates for the CDCR in six facilities. CCA currently has a contract to house up to 10,468 California inmates.
Pursuant to terms of the Contract Extension the CDCR will continue to utilize CCA's Tallahatchie County Correctional Facility in Mississippi, North Fork Correctional Facility in Oklahoma, as well as CCA's Red Rock Correctional Center and La Palma Correctional Center both in Arizona. In order to make beds available to other federal partners, CCA elected not to renew its contract with the CDCR at its Florence Correctional Center in Arizona.
The term of the Contract Extension is for two-years beginning July 1, 2011. The Intent to Award is subject to final negotiations and is not expected to result in inmate population transfers until 2012. As a result of the Intent to Award, CCA is in discussions with Colorado to provide alternatives for housing approximately 1,600 Colorado inmates currently at CCA's Crowley facility.
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