Business Resource

After further research I did find a pro private prison argument.  The Wall Street Journal has an article entitled Prison Firm CCA Seeks to Reduce Number of Repeat Offenders.  I found it through searching WSJ’s website.  It highlights how the firm is working to decrease recidivism rates since repeat offenders are expensive for the government.



      Admittedly I’m a little skeptical since implementing these programs would hurt CCA’s traditional revenue source.  However, it’s possible that CCA is following the national trend toward less incarceration and wants to present itself as a leader in rehabilitation and become a leader in that emerging field.  CCA’s CEO Damon Hininger said, “This is a watershed moment for our company and we hope it will be for our entire industry.  We are determined to prove that we can play a leadership role in reducing recidivism and that we have every incentive to do so.”  State’s are beginning to see prisons and corrections as a long term investment where prevention is worthwhile, sort of like healthcare.

One study found that every $1 invested in rehabilitation saved $4-$6 in repeat incarceration costs.  Another think tank called Rand Corp. found that spending $140,000 to $174,000 on education programs for a hypothetical 100 inmates would save around $1 million in re-incarceration costs over a three year period.  Some of the potential rehabilitation programs include GED education, religious groups and drug counseling.   Traditionally these programs have been run at the local level, but CCA is hoping to created standardized versions.  In a sense create a Wal-Mart effect for rehabilitation programs.  This article is one of the first compelling pro argument and strategic moves I’ve found so far.  Overall I would rate this as a good quality article from a reliable source.




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