You are here

Latest CCA Investor Update

The Corrections Corporation of America (CCA) held its latest investor call earlier this month.  There were no big surprises on the call except that the company reported on how changes at the T. Don Hutto facility were impacting CCA’s bottom line.

We have covered previous CCA investor calls this year.  Given the nation’s current outlook, the private prison profiteers are not planning on building any new speculative prisons right now.  During the call they mentioned over 8,000 beds that are going unused.  This is a significant portion of the more than 86,800 beds that comprise the company’s inventory in its 44-owned prisons or 21-managed only facilities. 

During the call, company officials discussed the recession and the impact of state budgets on their ability to find new customers.  State prisons continue to be overcrowded – according to reports 29 states are operating at 100% capacity or more.  CCA has an interesting take on the state prison crisis.  Rather than building new prisons or even obtaining new contracts, many states – like Texas – have responded with policy changes.  In some instances those changes involve parole reforms and identifying changes to early release practices.  But CCA officials believe that states are having a harder time implementing these changes than officials thought they would.  So they are watching state policy changes pretty closely to determine changes in demand and potential new customers. 

As a result of the state outlook, CCA officials are focusing on federal customers.  Their primary customer targets are Immigration Customs and Enforcement (ICE), United States Marshall Service (USMS), and the Bureau of Prisons (BOP).  The BOP continues to operate at 137% capacity.  CCA thinks there may be an opportunity to consolidate detention beds in centralized facilities – currently about 12,000 detainees are imprisoned in over 150 jails that do not meet new detention standards.  As a result, the company believes there is an opportunity to obtain new contracts with ICE. 

The most relevant issue for Texas may be changes in family detention at Hutto. Now that the medium security prison is detaining immigrant women it seems that CCA can’t charge the same per diem rate to ICE as when it locked up families including small children.  The CCA profiteers seemed most concerned.

The economic outlook continues to delay speculative prison construction.  But it hasn’t changed the world view of the profit minded folks at CCA.  Let’s hope that stakeholders who don’t stand to profit will continue to challenge how we respond to crime and not listen to the folks at CCA or other companies. 

Blogging Categories: 

Comments

Watch latest movies and tv shows for free with HD quality only on Terrarium TV app. Download Terrarium TV apk file from this official terrarium tv site https://terrariumtvappdownloads.com/

Your timely updates are helping the investors to rely upon you and never think if their money is in wrong hands. For students the biggest investment is knowledge as I read in https://essay-writing-services.reviews/essayhave-com-review/ article which is promoting educational activities throughout the world.

Hi, I am Elijahl. I am a dental surgeon by profession. Click Tampines Dental Clinic to know few things before you opt for a dental surgery.

http://camillacastro.net/common-dental-health-misconceptions-myths-and-f...

high appreciate this post. It’s hard to find the good from the bad sometimes, but I think you’ve nailed it! would you mind updating your blog with more information <a href="https://driverssoft.com/hp-laserjet-p2035-driver.html">HP Laserjet p2035 driver</a>

I'm impressed, I have to admit. Seldom do I encounter a blog that's both educative and engaging, and let me tell you, you have hit the nail on the head. The problem is something which not enough folks are speaking intelligently about. https://bettafish.top/ Now i'm very happy that I came across this during my hunt for something concerning this.

The points highlighted in this latest CCA investor update has revealing many things which was not public before. Anyhow, I feel blessed to be the member of this team and provide tips through http://www.gamesreviews.com/articles/05/pluses-of-games-for-your-mental-... blog for students to explore their inner feelings and become creative.

In love with this post.thankyou for the information.

If your swimming pool is looking dated and tired or requires remodelling or re-plastering, you’ve come to the right place. The team at Amazing Pool Renovations can give your swimming pool a fresh lease of life. Whether it needs simple repairs or a complete overhaul, we can offer quality pool crack repair or renovation services at affordable rates. http://amazingpoolrenovations.com.au

Before you learn how to write a college acceptance letter, take some time to organize another trip to your future campus.
In this case, you will be able to write a better college acceptance letter, because you will see everything with your own eyes. https://prime-essay.net/great-college-acceptance-letters

I really admire you, the article is great!
https://earntodie.co/earn-to-die-2012

Add new comment