The ACLU noticed that the Corrections Corporation of America (CCA), the largest private prison company in the country, sent a letter to 48 state governors offering to buy up their state-owned and operated prisons.
It offering cash-strapped states a quick infusion of money by taking control state-owned prisons.
Does this sound too good to be true?
It is. The state would have to sign a 20-year contract and promise a 90 percent occupancy rate over that period.
In other words, CCA is asking states to commit to maintaining prisons filled to capacity. This makes sense, since CCA is a for-profit business whose success depends on keeping prisons full.
- the taxpayer will end up paying more to operate these prisons because of higher overhead costs.
- the prison staff and guards will see big losses in pay and lose their pensions.
- CEOS and top executives will get big salaries and bonuses at the expense of the workers.
- shareholders will also benefit.