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FEB01.TXT
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1990-03-16
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FEBRUARY 1990
PRIVATIZATION OF PRISONS:
FAD OR FUTURE
By
Lt. David K. Burright
Linn County Sheriff's Office
Albany, OR
Very few people would dispute that this Nation's prison
system is in serious trouble. Corrections administrators are
faced with grossly over-crowded conditions, shrinking revenues,
and increased competition for operating capital. These problems
are combined with soaring crime rates, a public cry for more jail
sentences and longer incarcerations of criminals, and a Federal
judiciary which all too often imposes sanctions and restrictions
in an effort to force needed change.
It's no wonder that in response to these pressures, public
officials are grasping for ideas and solutions to the prison
problem. One major idea continually being proposed is the
private contracting and operation (privatization) of adult
correctional facilities.
The concept of privatization fuels a very controversial and
heated debate. Most arguments center on whether private
contractors can truly provide a better service at a lower cost
than public practitioners while still not sacrificing quality,
i.e., physical security, inmate programs, and support. An even
more difficult issue involved in this controversy is whether
corrections should either philosophically, ethically, or morally
be turned over to private enterprise. However, questions still
remain. Is privatization a panacea for the ills of corrections
in the United States? Is it a fad or is it the future?
BACKGROUND
The concept of private operations of correctional
facilities is not a new one. After the Civil War, many States
entered into contracts with private businesses to operate State
prisons. The inmates, however, were used virtually as slaves,
and the practice degenerated to ``...a well documented tale of
inmate abuse and political corruption.'' (1) By the late 1800's,
the practice of complete operation of prisons by private vendors
had been abolished and control was taken by the States and
counties.
Since then, public opinion and pressure have vacillated
regarding the treatment of lawbreakers. At times, public opinion
has been one of ``reform,'' with the idea that criminals should
be treated and not necessarily incarcerated. This was evident in
the 1960s and early 1970s when the building of new prisons and
jails was very unpopular and thought unnecessary. Many
practitioners believe this is the one reason that there is such a
shortage of jail/prison beds today.
In the meantime, private businesses recognized a potential
market and began offering specialty programs and began
contracting for medical and food service and housing for
low-security juveniles and illegal aliens being held for the
Immigration and Naturalization Service (INS). However, it was
not until these private vendors began pressing for the
opportunity to take over the complete management and operation of
full-scale adult prisons and jails that opposition began to
mount. Even so, by 1987, three States had adopted legislation
authorizing the private operation of the State facilities, and
a dozen more were actively considering it. (2) Today, there are
64 private companies in this business, and several States and
counties have prisons being operated by these companies. (3)
ARGUMENTS--PRO
BETTER PERFORMANCE
The proponents of the private operation of prisons and jails
offer a variety of arguments to support their position. Many
believe the government has not done a good job of management.
``Costs have soared, prisoners are coming out worse off than when
they went in, and while they are in they are kept in conditions
that shock the conscience, if not the stomach.'' (4) Because the
work would be performed under a service contract, proponents say
that vendors can be forced to perform or face termination of the
contract.
COST SAVINGS
Private vendors believe they can operate the facilities for
a much lower cost, saving 10-25% of the Nation's corrections
budget. These savings are possible because the vendors are
unencumbered by politics, bureaucracy, and civil service that
influence public operations.
An additional incentive to economize is the competition from
other private vendors. Others claim that costs can be lowered by
reducing employee turnover through better training, recruiting
and supervision, and reduced use of overtime.
EFFICIENCY
Many private vendors employ administrators who are highly
experienced in corrections; in fact, a large number have served
in the public sector. (5) When facilities are transferred to the
private sector, the public employees on staff are offered the
opportunity to be hired by the private operators in most
instances, thereby assuring trained, qualified employees are
manning the prisons. A private business could also contract with
two adjoining States to house prisoners in a common facility,
resulting in increased efficiency for both the public and the
vendor.
REDUCED CIVIL LIABILITY
Some vendors have agreed to indemnify the government should
lawsuits be filed against the facility. As a means of further
reducing the government's potential for liability, these
operators consent through their contracts to run the facility in
accordance with American Correction Association (ACA) standards.
ARGUMENTS--CON
REDUCED COSTS OR SERVICE?
Opponents to privatization strongly question whether there
will be any real savings by contracting out the operation of
prisons and jails. (6) They argue that cost cutting can only be at
the expense of humane treatment or security measures. Since the
majority of operating costs center on personnel, especially in
maximum security facilities, any significant reductions would
have to be made in the daily costs of inmate care or in measures
that would jeopardize the security of the facility.
Even though vendors point to lower inmate costs per day of
the current privately run operations, opponents state that most
of the private experience is with short-term minimum security
facilities and special program operations (juvenile facilities,
INS lock-ups, halfway houses, etc.). Operating expenses for
these facilities are much less than for a maximum security prison
or jail, which requires additional staff, security measures, and
inmate programs.
Opponents also question whether the ``lower costs'' include
the full cost of contract administration and management. To
ensure the vendor is complying with all contractual obligations,
especially in a large multifacility operation, would require
governmental monitoring and administration resulting in an
additional level of bureaucra