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Arizona prisons' health care to be run by Pa. company
By pressandguide.com - Bob Ortega
Published: 04/04/2012

Arizona's Department of Corrections awarded a $349 million, three-year contract Tuesday to privatize health care for prison inmates that will cost the state $5 million a year more than it spent in 2011.

The contract to privatize prison health care -- originally pushed by Rep. John Kavanagh as a way to save the state money -- was awarded to privately held Wexford Health Sources Inc. of Pittsburgh.

Wexford, which has previously lost contracts for poor service and was implicated in a 2008 payoff scandal in Illinois, bid $116.3million a year, $1.1million less than the second-place bid by Corizon Inc. of Brentwood, Tenn.

The contract, which is renewable for two additional years, was approved by Corrections Director Charles Ryan and reviewed by the Governor's Office before it was issued. Arizona spent $111.3 million last fiscal year on correctional health-care services for nearly 34,000 inmates in 10 state prisons.

Over the past three years, health-care spending by the Corrections Department has dropped nearly $30 million, in part because of a declining prison population and reduced staff levels.

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Comments:

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