U.S. flag

An official website of the United States government, Department of Justice.

NCJRS Virtual Library

The Virtual Library houses over 235,000 criminal justice resources, including all known OJP works.
Click here to search the NCJRS Virtual Library

Private Prison Industry--Part II: Business Development

NCJ Number
174296
Journal
Corrections Compendium Volume: 23 Issue: 2 Dated: February 1998 Pages: 1-3-25
Author(s)
A Singal
Date Published
1998
Length
5 pages
Annotation
Private prison management companies can take three approaches to business development: build facilities under the assumption that no matter where or what kind of facility they construct, the need is so great that the facility will be used; respond to a government request for proposal; or negotiate contracts with agencies willing to be contractually bound to using a facility once it is built.
Abstract
Regardless of the approach taken, the proposal process begins with the inquiring agency issuing a request for proposal or a request for qualifications. The proposal process leads to the selection of a private sector manager, and the winning vendor is granted the right to negotiate a contract. Governments have two options when expanding prison capacity. The first option is that facilities with only the most basic services can be constructed, providing those incarcerated with few rehabilitation programs. This approach is the least expensive in the short-term. The second option is to provide some combination of programs and services that will promote rehabilitation for inmates who can and will respond to them. Once built, facilities are generally operated in accordance with guidelines and standards of the American Correctional Association. Issues and trends relevant to the private prison industry concern prison disturbances, media coverage, out-of-state inmates, pricing, contract announcements and timing, financing, management and administration, qualified immunity, aging facilities, community corrections, and juvenile corrections. Competition in the private prison industry is discussed. 1 table