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Crime panel questions true prison, jail costs
By Memphis Crime Commission
Published: 04/04/2005

A new report by the Memphis Shelby Crime Commission in Tennessee cautions county leaders to fully investigate whether correctional privatization is the best solution for solving budget ills.
The report, "Privatization of Prisons and Jails: An Exploration for Shelby County Correction Facilities," provides fodder for county officials as they study the fate of the Correction Center and Downtown jail.
Operational savings are important, but not the only issues to consider, the report suggests.
Other weighty factors -- some of which could lead to increased costs later -- include labor issues, safety and security, lawsuits and the quality of inmate programs and services.
"The best conclusion which can be drawn from the literature at this time is that privatization can not be said to be a panacea for inflated corrections budgets," the report said.
"Rather, prison and jail privatization must be considered on a case-by-case basis.
"In order for Shelby County to determine if privatization is the best option ... negotiators must analyze all potential costs and benefits of privatization before committing to a carefully crafted contract."
Ricci A. Hellman, acting CEO and director of research and strategic planning for the crime commission, said they looked at research from across the country.
"What it's going to come down to is, is it a fit for Shelby County given our jail and our correctional center? And that's something to approach in an informed manner," she said.
The report was asked for last year by County Commissioner Bruce Thompson and the crime committee of Memphis Tomorrow, a nonprofit group of local executives.
Thompson sparked the county's consideration of jail and prison privatization by asking the county to seek proposals from private firms.
A county government committee has been set up to review the three proposals submitted from Corrections Corporation of America (CCA), Correctional Services Corp. and The Geo Group.
Hellman said a key recommendation in the study is that privatization of the jail and Correction Center be considered separately.
There is a lack of reliable research on privatized jails, she said, because that is a newer concept.
And data on privatized prisons remain complex and inconclusive.
"Jails and prisons serve very different purposes," she added. "I think that's a very important concept for people to grasp. Jails typically house detainees and prisons typically house convicts."
Blair Taylor, executive director of Memphis Tomorrow, said they requested the study to provide facts to the public about privatization, which has been controversial. She said Memphis Tomorrow agrees with the study's recommendation that the county approach the issue carefully.
"We think it would be hasty for anyone to take a position until the committee has performed its analysis and carefully considered the financial and operational implications of each of the proposals," Taylor said.
Thompson, chairman of the County Commission's law enforcement committee and a member of the crime commission, said the report highlights issues the county should pay attention to while reviewing the proposals.
"I don't think it's designed to reach any kind of conclusion with respect to Shelby County or whether privatization works here, but it does a good job of identifying some of the key areas of interest and concern," Thompson said.
The report can be viewed at the crime commission's Web site: memphiscrime.org


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