Prisons Firm, Losing Money, To End Nevada Contract


The company operating Nevada’s only private prison will not renew its contract because of financial losses, says the Las Vegas Review-Journal. Corrections Corporation of America has run the Southern Nevada Women’s Correctional Facility since it opened in 1997. “It’s just not workable for us. … We’re losing money,” said company spokesman Steve Owen. He has said that the Tennessee-based CCA was losing more than $1 million a year at the prison, which houses about 450 inmates. Corrections Director Jackie Crawford said rising health care costs for inmates were mainly to blame. Under the contract, the state pays CCA $47.79 a day per inmate.

Nevada will begin accepting bids from companies to take over. Crawford said the average nationwide cost for running medium-security women’s prisons is more than $75 a day per inmate. The state could also take over operations at the prison for about $60 a day per inmate.


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