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| Documents Show Arizona Officials Knew Private Prisons Weren’t Saving Money |
| By tucsoncitizen.com - cell-out-arizona |
| Published: 07/24/2012 |
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Documents recently obtained by the American Friends Service Committee (AFSC) show that the state of Arizona deliberately circumvented and ultimately repealed a state law requiring private for-profit prison corporations to demonstrate cost savings in their bids on new prison contracts. These records reveal that the state was aware that existing private prison contracts were not saving the state money–despite state laws requiring private prison contractors to deliver such savings. One such statute, ARS 41-1609.01 (G), previously stated: “A proposal shall not be accepted unless the proposal offers cost savings to this state. Cost savings shall be determined based upon the standard cost comparison model for privatization established by the Director.” In response to a public records request, the Arizona Department of Corrections (ADC) has confirmed that the “standard cost comparison model” referred to in the statute is the Department of Corrections Operating Per Capita Cost Report (Per Capita Cost Report). For the past six years, these reports have consistently found that private prisons are not saving the state money, and in many cases, the private beds cost more than equivalent public beds. In fact, an AFSC analysis of ADC Per Capita Cost Reports revealed that between 2008-2010, Arizona overpaid for its private prison beds by $10 million. Therefore, it would be impossible for a for-profit prison corporation to claim that its proposed prison would save the state money using this data as the basis of the assessment. But instead of holding the for-profit prison corporations accountable or changing course, the Arizona State Legislature simply began circumventing the law. Read More. |
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