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As immigration and incarceration issues become central to the 2016 presidential campaign, lobbyists for two major prison companies are serving as top fundraisers for Hillary Clinton. Corrections Corporation of America and the Geo Group could both see their fortunes turning if there are fewer people to lock up in the future.
The future of both criminal justice reform and immigration are critical for private prison firms. The Geo Group, in a disclosure statement for its investors, notes that its business could be “adversely affected by changes in existing criminal or immigration laws, crime rates in jurisdictions in which we operate, the relaxation of criminal or immigration enforcement efforts, leniency in conviction, sentencing or deportation practices, and the decriminalization of certain activities that are currently proscribed by criminal laws or the loosening of immigration laws.”
There are approximately 2 million inmates in state, federal and private prisons throughout the country. According to California Prison Focus, “no other society in human history has imprisoned so many of its own citizens.”
The prison privatization boom began in the 1980s, under the governments of Ronald Reagan and Bush Sr., but reached its height in 1990 under William Clinton, when Wall Street stocks were selling like hotcakes. Clinton’s program for cutting the federal workforce resulted in the Justice Departments contracting of private prison corporations for the incarceration of undocumented workers and high-security inmates.
Private prisons are the biggest business in the prison industry complex. About 18 corporations guard 10,000 prisoners in 27 states.
Nearly half of all immigrants detained by federal officials are held in facilities run by private prison companies, at an average cost for each detained immigrant is $166 a night. That’s added up to massive profits for Corrections Corporation of America, The GEO Group and other private prison companies:
A decade ago, more than 3,300 criminal immigrants were sent to private prisons under two 10-year contracts the Federal Bureau of Prisons signed with CCA worth $760 million. Now, the agency is paying the private companies $5.1 billion to hold more than 23,000 criminal immigrants through 13 contracts of varying lengths.
CCA was on the verge of bankruptcy in 2000 due to lawsuits, management problems and dwindling contracts. Last year, the company reaped $162 million in net income. Federal contracts made up 43 percent of its total revenues, in part thanks to rising immigrant detention. GEO, which cites the immigration agency as its largest client, saw its net income jump from $16.9 million to $78.6 million since 2000.
The Clinton Administration took the groundwork laid by Nixon, Reagan and Bush and embraced and blossomed the expansion and promotion of federal support for police, enforcement and the War on Drugs with a passion that was hard to understand unless and until you realized that the American financial system was deeply dependent on attracting an estimated $500 billion-$1 trillion of annual money laundering. Globalizing corporations and deepening deficits and housing bubbles required attracting vast amounts of capital.
originally posted by: MystikMushroom
a reply to: greencmp
Actually, if you look at the information, they started under Reagan in the 80s, not under Clinton.
Idaho investigates private prison | Idaho Press-Tribune - AP ...
BOISE — The Idaho State Police has launched an investigation into staffing levels at the state's largest private prison after state officials said they found ...
The CCA prison has been the subject of multiple lawsuits alleging rampant violence, understaffing, gang activity and contract fraud by CCA.
CCA acknowledged last year that falsified staffing reports were given to the state showing thousands of hours were staffed by CCA workers when the positions were actually vacant. And the Idaho State Police is investigating the operation of the facility for possible criminal activity.
A federal judge also has held CCA in contempt of court for failing to abide by the terms of a settlement agreement reached with inmates in a lawsuit claiming high rates of violence and chronic understaffing at the prison.
‘Gladiator School’: FBI Investigates Idaho Private Prison for Abuse
The prison is known by the nickname because of its kill-or-be-killed mentality among guards and prisoners.
The FBI has opened an investigation into one of the largest private-prison operators over its management of an Idaho prison with a reputation for violence, which inmates call “gladiator school," according the Associated Press.
originally posted by: nwtrucker
Except, privatized prison would be contracted services. Restrained by the same criteria as public prisons.
Actually, as the gov't would oversee these private corporations, it is more likely that they would hold those same corporations to higher standards than they would to themselves...
originally posted by: nwtrucker
a reply to: AlaskanDad
Perhaps. I also suspect Public Sector Unions having a vested interest against this trend.
When have we seen, other than movies, any exposure of the 'flaws' in our regular prison system?
Perhaps this is an indication that Privatization may work. At least, their flaws get exposed!