Skip navigation

News Articles

This site contains over 2,000 news articles, legal briefs and publications related to for-profit companies that provide correctional services. Most of the content under the "Articles" tab below is from our Prison Legal News site. PLN, a monthly print publication, has been reporting on criminal justice-related issues, including prison privatization, since 1990. If you are seeking pleadings or court rulings in lawsuits and other legal proceedings involving private prison companies, search under the "Legal Briefs" tab. For reports, audits and other publications related to the private prison industry, search using the "Publications" tab.

For any type of search, click on the magnifying glass icon to enter one or more keywords, and you can refine your search criteria using "More search options." Note that searches for "CCA" and "Corrections Corporation of America" will return different results. 


 

Pico National Network How the Private Prison Industry Is Corrupting Our Democracy and Promoting Mass Incarceration 2011

Download original document:
Brief thumbnail
This text is machine-read, and may contain errors. Check the original document to verify accuracy.
Unholy	
  Alliance	
  
How	
  the	
  private	
  prison	
  industry	
  is	
  
corrupting	
  our	
  democracy	
  and	
  promoting	
  
mass	
  incarceration	
  
	
  
	
  
	
  
	
  
	
  
A	
  paper	
  by	
  PICO	
  National	
  Network	
  and	
  Public	
  Campaign	
  
	
  
November	
  15,	
  2011	
  
	
  
	
  
	
  
	
  

	
  

	
  
	
  
	
  

	
  

INTRODUCTION	
  
	
  
Many	
  Americans	
  were	
  shocked	
  to	
  learn	
  that	
  two	
  Pennsylvania	
  judges	
  accepted	
  “cash-­‐
for-­‐kids,”	
  kickbacks	
  from	
  for-­‐profit	
  juvenile	
  detention	
  companies	
  in	
  exchange	
  for	
  locking	
  
up	
  young	
  people	
  for	
  very	
  minor	
  offenses.	
  Yet	
  the	
  reality	
  is	
  that	
  private	
  prison	
  lobbyists	
  
regularly	
  buy	
  influence	
  with	
  state	
  and	
  federal	
  officials,	
  not	
  only	
  to	
  win	
  lucrative	
  
contracts,	
  but	
  also	
  to	
  change	
  or	
  preserve	
  policies	
  that	
  increase	
  the	
  number	
  of	
  people	
  
behind	
  bars.	
  Private	
  companies	
  have	
  made	
  huge	
  profits	
  off	
  the	
  mass	
  incarceration	
  of	
  
non-­‐violent	
  drug	
  offenders,	
  and	
  are	
  now	
  turning	
  their	
  attention	
  to	
  increasing	
  the	
  
detention	
  of	
  Latino	
  immigrants—the	
  newest	
  profit	
  center	
  for	
  the	
  prison	
  industrial	
  
complex.	
  Ultimately	
  there	
  is	
  no	
  way	
  to	
  reverse	
  the	
  costly	
  trend	
  toward	
  mass	
  
incarceration	
  without	
  getting	
  these	
  companies	
  and	
  their	
  money	
  out	
  of	
  our	
  democracy.	
  
	
  
The	
  United	
  States	
  imprisons	
  more	
  people	
  than	
  in	
  any	
  other	
  nation	
  in	
  the	
  world,	
  by	
  far.	
  
While	
  the	
  U.S.	
  represents	
  less	
  than	
  five	
  percent	
  of	
  the	
  world’s	
  population,	
  we	
  hold	
  
almost	
  a	
  quarter	
  of	
  the	
  world’s	
  prison	
  population.1	
  Researchers	
  may	
  point	
  to	
  several	
  
factors	
  for	
  this	
  trend,	
  but	
  it	
  has	
  become	
  increasingly	
  apparent	
  that	
  a	
  driving	
  force	
  
behind	
  our	
  imprisonment	
  practices	
  is	
  the	
  profit	
  motive	
  of	
  private	
  prison	
  companies	
  and	
  
the	
  political	
  influence	
  these	
  companies	
  exert	
  to	
  create	
  and	
  expand	
  their	
  business	
  
opportunities.	
  Two	
  recent	
  studies—one	
  by	
  the	
  Justice	
  Policy	
  Institute	
  in	
  June	
  and	
  one	
  by	
  
the	
  American	
  Civil	
  Liberties	
  Union	
  in	
  November—reveal	
  the	
  pervasive	
  influence	
  of	
  the	
  
industry	
  on	
  criminal	
  justice	
  policy	
  in	
  the	
  United	
  States.	
  
	
  
Building	
  on	
  analysis	
  of	
  the	
  
most	
  recent	
  data	
  on	
  private	
  
prison	
  lobbying	
  and	
  campaign	
  
contributions,	
  as	
  well	
  as	
  
previous	
  research	
  and	
  news	
  
accounts,	
  this	
  paper	
  connects	
  
the	
  dots	
  between	
  rising	
  
incarceration	
  rates,	
  increased	
  
detention	
  of	
  immigrants,	
  
growing	
  private	
  prison	
  
revenue,	
  increased	
  spending	
  
on	
  political	
  campaigns	
  and	
  
lobbying,	
  and	
  privileged	
  access	
  
to	
  policymakers.	
  	
  
	
  
	
  
	
  
	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
1

	
  Adam	
  Liptak,	
  “U.S.	
  prison	
  population	
  dwarfs	
  that	
  of	
  other	
  nations,”	
  The	
  New	
  York	
  Times,	
  April	
  23,	
  2008,	
  
http://www.nytimes.com/2008/04/23/world/americas/23iht-­‐23prison.12253738.html?pagewanted=all	
  

Page	
  2	
  of	
  16	
  

In	
  addition,	
  through	
  summaries	
  of	
  recent	
  cases,	
  we	
  highlight	
  examples	
  of	
  these	
  unholy	
  
alliances	
  in	
  different	
  states.	
  The	
  overview	
  focuses	
  on	
  the	
  two	
  companies	
  operating	
  the	
  
majority	
  of	
  private	
  prisons	
  in	
  the	
  U.S.	
  today	
  (Corrections	
  Corporation	
  of	
  America	
  and	
  
GEO	
  Group),	
  but	
  the	
  cases	
  will	
  also	
  include	
  smaller	
  companies	
  with	
  interests	
  in	
  
particular	
  states.	
  
	
  

SUMMARY	
  OF	
  KEY	
  FINDINGS	
  
	
  
•

•

	
  

While	
  the	
  overall	
  prison	
  population	
  has	
  grown	
  dramatically	
  over	
  the	
  last	
  two	
  
decades,	
  the	
  growth	
  of	
  inmates	
  being	
  detained	
  in	
  private,	
  for-­‐profit	
  prisons	
  has	
  
skyrocketed.	
  Between	
  1990	
  and	
  2009,	
  the	
  total	
  number	
  of	
  inmates	
  in	
  federal	
  
and	
  state	
  prisons	
  doubled,	
  while	
  private	
  prisons	
  saw	
  its	
  business	
  explode—the	
  
private	
  prison	
  population	
  in	
  2009	
  was	
  17	
  times	
  larger	
  than	
  2	
  decades	
  earlier.	
  
	
  
The	
  more	
  people	
  behind	
  bars,	
  and	
  the	
  longer	
  they	
  stay	
  there,	
  the	
  more	
  money	
  
that	
  private,	
  for-­‐profit	
  prison	
  companies	
  make.	
  Over	
  the	
  last	
  decade,	
  the	
  two	
  
largest	
  for-­‐profit	
  prison	
  companies	
  (Corrections	
  Corporation	
  of	
  America	
  and	
  GEO	
  
Group)	
  saw	
  their	
  annual	
  revenue	
  double	
  as	
  a	
  result	
  of	
  the	
  spike	
  in	
  incarcerations,	
  
making	
  them	
  both	
  billion-­‐dollar	
  companies.	
  

•

The	
  explosion	
  in	
  the	
  number	
  of	
  inmates	
  and	
  corresponding	
  growth	
  in	
  revenue	
  
for	
  private	
  prisons	
  is	
  no	
  accident.	
  It	
  has	
  been	
  part	
  of	
  an	
  intentional	
  effort	
  by	
  the	
  
private	
  prison	
  industry	
  to	
  shape	
  public	
  policy	
  to	
  push	
  more	
  people	
  into	
  prison	
  
and	
  keep	
  them	
  there	
  longer.	
  The	
  industry	
  has	
  achieved	
  this	
  through	
  the	
  classic	
  
three-­‐pronged	
  strategy	
  of	
  contributing	
  to	
  political	
  campaigns,	
  lobbying,	
  and	
  
gaining	
  access	
  to	
  policymakers	
  through	
  close	
  relationships.	
  

•

Through	
  involvement	
  in	
  the	
  leadership	
  of	
  ALEC	
  (American	
  Legislative	
  Exchange	
  
Council),	
  private	
  prison	
  companies	
  have	
  played	
  a	
  key	
  role	
  in	
  lobbying	
  for	
  and	
  
passing	
  harsher	
  sentencing	
  for	
  non-­‐violent	
  offenses	
  including	
  three-­‐strike	
  laws,	
  
mandatory	
  sentencing,	
  and	
  truth-­‐in-­‐sentencing.	
  They	
  are	
  also	
  behind	
  the	
  recent	
  
spate	
  of	
  anti-­‐immigrant	
  state	
  laws	
  that	
  are	
  putting	
  more	
  and	
  more	
  immigrants	
  
behind	
  bars—the	
  new	
  profit	
  center	
  for	
  the	
  prison	
  industrial	
  complex.	
  	
  	
  

•

Private	
  prison	
  companies	
  employ	
  legions	
  of	
  lobbyists	
  to	
  push	
  for	
  policies	
  that	
  
support	
  their	
  bottom	
  line.	
  Since	
  2001,	
  CCA,	
  GEO	
  Group	
  and	
  Cornell	
  Companies	
  
have	
  spent	
  over	
  $22	
  million	
  lobbying	
  Congress.2	
  Recent	
  lobbying	
  by	
  CCA	
  and	
  
GEO	
  Group	
  includes	
  efforts	
  to	
  increase	
  funding	
  to	
  Immigration	
  Customs	
  and	
  
Enforcement	
  (ICE)	
  through	
  the	
  Department	
  of	
  Homeland	
  Security	
  Appropriations	
  

	
  

	
  

	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
2

	
  All	
  information	
  on	
  federal	
  lobbying	
  and	
  campaign	
  contributions	
  is	
  based	
  on	
  data	
  provided	
  by	
  the	
  Center	
  for	
  
Responsive	
  Politics,	
  accessed	
  either	
  through	
  its	
  website	
  OpenSecrets.org	
  or	
  through	
  the	
  Sunlight	
  Foundation	
  site	
  at	
  
TransparencyData.com.	
  

Page	
  3	
  of	
  16	
  

Act	
  (H.R.2017).	
  	
  Since	
  2003,	
  CCA	
  has	
  employed	
  204	
  of	
  lobbyists	
  in	
  32	
  states,	
  and	
  
GEO	
  Group	
  has	
  employed	
  by	
  79	
  lobbyists	
  in	
  17	
  states.3	
  

	
  

Private	
  prison	
  companies	
  also	
  influence	
  policymaking	
  by	
  strategically	
  supporting	
  
political	
  campaigns.	
  At	
  the	
  federal	
  level,	
  the	
  political	
  action	
  committees	
  and	
  
executives	
  of	
  private	
  prison	
  companies	
  have	
  given	
  at	
  least	
  $3.3	
  million	
  to	
  
political	
  parties,	
  candidates,	
  and	
  their	
  political	
  action	
  committees	
  since	
  2001.	
  
The	
  private	
  prison	
  industry	
  has	
  given	
  more	
  than	
  $7.3	
  million	
  to	
  state	
  candidates	
  
and	
  political	
  parties	
  since	
  2001,	
  including	
  $1.9	
  million	
  in	
  2010,	
  the	
  highest	
  
amount	
  in	
  the	
  past	
  decade.	
  
	
  
We’re	
  all	
  losing	
  as	
  a	
  result	
  of	
  allowing	
  private	
  prisons	
  to	
  profit	
  off	
  of	
  mass	
  incarceration.	
  
More	
  and	
  more	
  families	
  are	
  being	
  torn	
  apart,	
  communities	
  are	
  seeing	
  an	
  entire	
  
generation	
  put	
  behind	
  bars,	
  youth	
  are	
  having	
  their	
  futures	
  undermined,	
  and	
  taxpayers	
  
are	
  seeing	
  their	
  hard-­‐earned	
  dollars	
  go	
  towards	
  subsidizing	
  private	
  prisons’	
  profit	
  
margin.	
  An	
  essential	
  first	
  step	
  towards	
  ending	
  mass	
  incarceration	
  is	
  to	
  reduce	
  the	
  
influence	
  of	
  these	
  private	
  prison	
  companies	
  and	
  their	
  money	
  in	
  our	
  democracy.	
  
	
  
•

THE	
  PRIVATE	
  PRISON	
  MONEY	
  GAME	
  
	
  

More	
  Private	
  Prisons,	
  More	
  Revenue	
  
Incarceration	
  rates	
  grew	
  particularly	
  fast	
  in	
  the	
  1980’s	
  and	
  1990’s,	
  fueled	
  by	
  “tough	
  on	
  
crime”	
  policies	
  supported	
  and	
  advanced	
  by	
  the	
  private	
  prison	
  industry,	
  including	
  
mandatory	
  sentencing,	
  three-­‐strikes,	
  truth-­‐in-­‐sentencing,	
  and	
  the	
  war	
  on	
  drugs.4	
  While	
  
the	
  prison	
  populations	
  have	
  grown	
  in	
  general,	
  the	
  private	
  prison	
  population	
  has	
  grown	
  
even	
  faster.	
  Between	
  1990	
  and	
  2009,	
  the	
  total	
  number	
  of	
  inmates	
  in	
  federal	
  and	
  state	
  
prisons	
  doubled.	
  During	
  the	
  same	
  period,	
  private	
  prisons,	
  which	
  had	
  hardly	
  any	
  
presence	
  in	
  the	
  early	
  1980’s,	
  saw	
  its	
  business	
  explode—the	
  private	
  prison	
  population	
  in	
  
2009	
  was	
  17	
  times	
  larger	
  than	
  2	
  decades	
  earlier.	
  	
  
	
  
Prison	
  Population	
  Growth	
  from	
  1990	
  to	
  20095	
  
	
  
	
  
Number	
  of	
  Inmates	
   	
  
	
  
1990	
  
2009	
   Change	
  
Total	
  Prison	
  Population	
  
773,919	
   1,613,740	
  
209%	
  
Private	
  Prison	
  Population	
  
7,771	
  
129,336	
   1664%	
  

	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
3

	
  All	
  information	
  on	
  state	
  lobbying	
  and	
  campaign	
  contributions	
  is	
  based	
  on	
  data	
  provided	
  by	
  the	
  National	
  Institute	
  on	
  
Money	
  in	
  State	
  Politics,	
  accessed	
  through	
  their	
  site	
  FollowtheMoney.org	
  or	
  through	
  the	
  Sunlight	
  Foundation	
  site	
  at	
  
TransparencyData.com.	
  
4
	
  Paul	
  Ashton,	
  Gaming	
  the	
  System,	
  Justice	
  Policy	
  Institute,	
  June	
  2011.	
  
http://www.justicepolicy.org/uploads/justicepolicy/documents/gaming_the_system.pdf	
  
5
	
  Allen	
  J.	
  Beck	
  and	
  Darrell	
  K.	
  Gilliard,	
  “Prisoners	
  1994,”	
  Bureau	
  of	
  Justice	
  Statistics,	
  1995;	
  Heather	
  C.	
  West,	
  William	
  J.	
  
Sabol	
  and	
  Sarah	
  J.	
  Greenman,	
  “Prisoners	
  in	
  2009	
  -­‐	
  Statistical	
  Tables,”	
  Bureau	
  of	
  Justice	
  Statistics,	
  2010;	
  David	
  Shapiro,	
  
Banking	
  on	
  Bondage,	
  ACLU,	
  November	
  2011.	
  

Page	
  4	
  of	
  16	
  

Private	
  prison	
  companies	
  have	
  been	
  particularly	
  successful	
  in	
  the	
  youth	
  and	
  immigrant	
  
detention	
  markets.	
  Private	
  prison	
  companies	
  run	
  half	
  of	
  the	
  youth	
  correctional	
  facilities	
  
in	
  the	
  United	
  States.6	
  They	
  also	
  house	
  about	
  half	
  of	
  all	
  immigrants	
  detained	
  by	
  the	
  
federal	
  government.7	
  The	
  number	
  of	
  immigrant	
  detention	
  beds	
  has	
  nearly	
  doubled	
  
since	
  2005.8	
  	
  
	
  
As	
  local,	
  state,	
  and	
  federal	
  governments	
  established	
  policies	
  and	
  practices	
  leading	
  to	
  
locking	
  up	
  more	
  people	
  and	
  for	
  longer	
  periods	
  of	
  time,	
  private	
  prison	
  companies	
  
worked	
  to	
  increase	
  their	
  market	
  share.9	
  As	
  a	
  result,	
  these	
  companies	
  have	
  seen	
  their	
  
revenue	
  soar	
  over	
  the	
  years.	
  Corrections	
  Corporation	
  of	
  America	
  (CCA),	
  the	
  first	
  and	
  
largest	
  prison	
  company	
  in	
  the	
  U.S.	
  has	
  seen	
  its	
  revenue	
  rise	
  steadily	
  over	
  the	
  past	
  
decade,	
  taking	
  in	
  over	
  $1	
  billion	
  each	
  year	
  starting	
  in	
  2003,	
  and	
  almost	
  doubling	
  its	
  
annual	
  revenue	
  over	
  the	
  decade,	
  from	
  $888	
  million	
  in	
  2001	
  to	
  $1.675	
  billion	
  in	
  2010.10	
  	
  
	
  
GEO	
  Group,	
  a	
  multinational	
  private	
  prison	
  company	
  whose	
  U.S.	
  corrections	
  division	
  
generates	
  the	
  majority	
  of	
  its	
  revenue,11	
  is	
  the	
  other	
  major	
  company,	
  having	
  acquired	
  a	
  
number	
  of	
  smaller	
  firms,	
  including	
  Cornell	
  Companies	
  in	
  2010.12	
  GEO	
  Group’s	
  revenue	
  
has	
  also	
  grown	
  over	
  the	
  past	
  decade,	
  more	
  than	
  doubling	
  between	
  2002	
  and	
  2010	
  (from	
  
$517	
  million	
  to	
  $1270	
  million),	
  thanks	
  in	
  large	
  part	
  to	
  their	
  U.S.	
  corrections	
  revenue,	
  
which	
  has	
  grown	
  in	
  tandem,	
  from	
  $451	
  million	
  in	
  2002	
  to	
  $842	
  million	
  in	
  2010.13	
  
	
  
Both	
  CCA	
  and	
  GEO	
  Group	
  have	
  been	
  rewarded	
  their	
  CEOs	
  handsomely	
  for	
  growing	
  their	
  
businesses.	
  CCA’s	
  CEO,	
  Damon	
  Hininger,	
  received	
  a	
  $3.3	
  million	
  compensation	
  package	
  
in	
  2010.	
  GEO	
  Group	
  provided	
  its	
  CEO,	
  George	
  Zoley,	
  with	
  a	
  $3.5	
  million	
  compensation	
  
package.14	
  
	
  

Expanding	
  Business	
  by	
  Influencing	
  Policies	
  and	
  Elections	
  

In	
  order	
  to	
  ensure	
  a	
  steady	
  and	
  ever-­‐growing	
  stream	
  of	
  inmates,	
  private	
  prison	
  
companies	
  have	
  not	
  passively	
  watched	
  on	
  as	
  policies	
  and	
  budgets	
  have	
  been	
  crafted	
  
impacting	
  criminal	
  justice	
  and	
  immigrant	
  detention.	
  On	
  the	
  contrary,	
  CCA,	
  GEO	
  Group,	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
6

	
  Paul	
  Ashton,	
  Gaming	
  the	
  System,	
  Justice	
  Policy	
  Institute,	
  June	
  2011.	
  	
  
	
  David	
  Shapiro,	
  Banking	
  on	
  Bondage,	
  ACLU,	
  November	
  2011.	
  
8
	
  From	
  18,000	
  bed	
  in	
  2005	
  to	
  33,000	
  in	
  2011.	
  Gretchen	
  Gavett,	
  “Map:	
  The	
  U.S.	
  Immigration	
  Detention	
  Boom,”	
  PBS	
  
Frontline,	
  October	
  18,	
  2011,	
  http://www.pbs.org/wgbh/pages/frontline/race-­‐multicultural/lost-­‐in-­‐detention/map-­‐
the-­‐u-­‐s-­‐immigration-­‐detention-­‐boom/	
  
9
	
  In	
  2009,	
  private	
  prisons	
  housed	
  16%	
  of	
  federal	
  inmates,	
  6%	
  of	
  state	
  prisoners	
  and	
  nearly	
  half	
  of	
  all	
  immigrant	
  
detainees.	
  Heather	
  C.	
  West,	
  William	
  J.	
  Sabol	
  and	
  Sarah	
  J.	
  Greenman,	
  “Prisoners	
  in	
  2009	
  -­‐	
  Statistical	
  Tables,”	
  Bureau	
  of	
  
Justice	
  Statistics,	
  2010.	
  
10
	
  Paul	
  Ashton,	
  Gaming	
  the	
  System,	
  Justice	
  Policy	
  Institute,	
  June	
  2011.	
  
11
	
  The	
  GEO	
  Group	
  website,	
  US	
  Detention	
  &	
  Corrections	
  page.	
  Accessed	
  on	
  November	
  10,	
  2011:	
  
http://www.thegeogroupinc.com/us-­‐corrections.asp	
  
12
	
  Paul	
  Ashton,	
  Gaming	
  the	
  System,	
  Justice	
  Policy	
  Institute,	
  June	
  2011.	
  
13
	
  GEO	
  Group’s	
  operations	
  in	
  other	
  countries	
  have	
  grown,	
  particularly	
  around	
  immigration	
  detention.	
  A	
  recent	
  New	
  
York	
  Times	
  article	
  discusses	
  their	
  problematic	
  global	
  expansion:	
  
http://www.nytimes.com/2011/09/29/world/asia/getting-­‐tough-­‐on-­‐immigrants-­‐to-­‐turn-­‐a-­‐
profit.html?pagewanted=all	
  
14
	
  David	
  Shapiro,	
  Banking	
  on	
  Bondage,	
  ACLU,	
  November	
  2011.	
  
7

Page	
  5	
  of	
  16	
  

and	
  others	
  have	
  employed	
  the	
  classic	
  three-­‐pronged	
  strategy	
  of	
  contributing	
  to	
  political	
  
campaigns,	
  lobbying,	
  and	
  gaining	
  access	
  to	
  policymakers	
  through	
  close	
  relationships.	
  
	
  
ALEC	
  
The	
  history	
  of	
  rising	
  incarceration	
  rates	
  is	
  also	
  the	
  history	
  of	
  the	
  corporations	
  working	
  
directly	
  with	
  legislators	
  to	
  shape	
  polices	
  that	
  support	
  their	
  own	
  business	
  interests.	
  
Through	
  the	
  American	
  Legislative	
  Exchange	
  Council	
  (ALEC),	
  an	
  association	
  that	
  literally	
  
brings	
  state	
  legislators	
  and	
  private	
  corporate	
  representatives	
  into	
  the	
  same	
  room	
  to	
  
draft	
  model	
  legislation,	
  the	
  very	
  policies	
  that	
  
drove	
  up	
  prison	
  populations	
  were	
  developed	
  
“TOUGH	
  ON	
  CRIME”	
  LAWS	
  
and	
  realized	
  as	
  state	
  laws	
  across	
  the	
  country	
  
A	
  set	
  of	
  policies	
  that	
  emphasize	
  punishment	
  
by	
  the	
  same	
  companies	
  that	
  stood	
  to	
  profit	
  
as	
  a	
  primary,	
  and	
  often	
  sole,	
  response	
  to	
  
from	
  those	
  policies.	
  
crime	
  has	
  helped	
  to	
  drive	
  up	
  the	
  prison	
  
	
  
population	
  in	
  the	
  last	
  three	
  decades.	
  
Starting	
  at	
  least	
  in	
  the	
  early	
  1990’s,	
  ALEC	
  has	
  
	
  
Mandatory	
  minimum	
  sentencing	
  limits	
  
written	
  bills	
  on	
  mandatory	
  sentencing,	
  three-­‐
judicial	
  discretion	
  by	
  requiring	
  a	
  minimum	
  
strikes,	
  and	
  truth-­‐in-­‐sentencing.	
  In	
  ALEC’s	
  
number	
  of	
  years	
  in	
  prison.	
  For	
  example,	
  the	
  
1995	
  Model	
  Legislation	
  Scorecard,	
  the	
  
1988	
  Anti-­‐Drug	
  Abuse	
  Act	
  included	
  a	
  five-­‐
association	
  claimed	
  “The	
  busiest	
  Task	
  Force	
  
year	
  minimum	
  sentence	
  for	
  first-­‐time	
  
was	
  Criminal	
  Justice,	
  which	
  had	
  199	
  bills	
  
offenders	
  convicted	
  of	
  possessing	
  five	
  or	
  
more	
  grams	
  of	
  crack	
  cocaine.	
  
introduced.”	
  That	
  year,	
  their	
  most	
  successful	
  
policy	
  was	
  the	
  Truth	
  in	
  Sentencing	
  Act,	
  where	
   	
  
Three-­‐strikes	
  laws	
  are	
  a	
  form	
  of	
  mandatory	
  
inmates	
  serve	
  at	
  least	
  85%	
  of	
  their	
  sentence,	
  
sentencing.	
  The	
  prominent	
  1994	
  three-­‐
15
enacted	
  in	
  25	
  states. 	
  
strikes	
  law	
  in	
  California	
  made	
  life	
  
	
  
imprisonment	
  mandatory	
  for	
  three-­‐time	
  
convicts.	
  
Private	
  prison	
  interests	
  have	
  not	
  only	
  been	
  
members	
  of	
  ALEC,	
  they	
  have	
  had	
  a	
  key	
  seat	
  at	
   	
  
Truth-­‐in-­‐sentencing	
  refers	
  to	
  policies	
  that	
  
the	
  table.	
  CCA	
  has	
  served	
  on	
  ALEC’s	
  Public	
  
require	
  inmates	
  to	
  serve	
  most	
  or	
  all	
  of	
  their	
  
Safety	
  and	
  Elections	
  Task	
  Force	
  since	
  the	
  
time	
  without	
  a	
  chance	
  for	
  parole.	
  
early	
  1990’s	
  and	
  has	
  also	
  a	
  member	
  of	
  that	
  
	
  
Sources:	
  John	
  Biewen,	
  “Corrections,	
  Inc.,”	
  
task	
  force’s	
  Executive	
  Committee.	
  Laurie	
  
American	
  RadioWorks,	
  April	
  2002,	
  
Shanblum,	
  CCA's	
  senior	
  director	
  of	
  business	
  
http://americanradioworks.publicradio.org/featu
development,	
  co-­‐chaired	
  the	
  task	
  force	
  in	
  the	
   res/corrections/laws4.html.	
  Political	
  Research	
  
Associates,	
  	
  “The	
  Rise	
  of	
  the	
  Modern	
  Tough	
  On	
  
mid-­‐	
  to	
  late	
  1990’s.16	
  That	
  the	
  corporation’s	
  
Crime	
  Movement,”	
  Defending	
  Justice,	
  2005,	
  
senior	
  director	
  of	
  business	
  development	
  
http://www.defendingjustice.org/pdfs/chapters/t
chaired	
  a	
  public	
  policy	
  task	
  force	
  speaks	
  
oughcrime.pdf	
  
volumes.	
  
	
  
Prominent	
  legislators	
  who	
  have	
  been	
  members	
  of	
  ALEC	
  and	
  who	
  have	
  championed	
  
policies	
  benefitting	
  private	
  prisons	
  include	
  Wisconsin	
  Governor	
  Scott	
  Walker,	
  Ohio	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
15

	
  Brigette	
  Sarabi	
  and	
  Edwin	
  Bender,	
  The	
  Prison	
  Payoff:	
  The	
  Role	
  of	
  Politics	
  and	
  Private	
  Prisons	
  in	
  the	
  Incarceration	
  
Boom,	
  Western	
  States	
  Center	
  and	
  the	
  Western	
  Prison	
  Project,	
  2000.	
  
16
	
  Bob	
  Ortega,	
  “Arizona	
  prison	
  businesses	
  are	
  big	
  political	
  contributors,”	
  The	
  Arizona	
  Republic,	
  September	
  4,	
  2011,	
  
http://www.azcentral.com/news/articles/2011/09/04/20110904arizona-­‐prison-­‐business-­‐politics.html	
  

Page	
  6	
  of	
  16	
  

Governor	
  John	
  Kasich,	
  and	
  Arizona	
  State	
  Senator	
  Russell	
  Pearce.17	
  As	
  a	
  state	
  
representative,	
  Walker	
  introduced	
  ALEC’s	
  truth-­‐in-­‐sentencing	
  legislation	
  in	
  1997,18	
  
which	
  the	
  legislature	
  passed.	
  Kasich	
  is	
  behind	
  the	
  plan	
  to	
  sell	
  Ohio	
  public	
  prisons	
  to	
  
private	
  prison	
  companies.	
  Pearce	
  is	
  best	
  known	
  as	
  the	
  legislator	
  behind	
  the	
  notorious	
  
anti-­‐immigrant	
  Arizona	
  law	
  (S.B.	
  1070),	
  but	
  he	
  has	
  a	
  long	
  history	
  of	
  proposing	
  ALEC-­‐
written	
  prison	
  related	
  policies.19	
  Recently	
  Pearce	
  lost	
  his	
  seat	
  in	
  a	
  recall	
  election,	
  largely	
  
due	
  to	
  organizing,	
  particularly	
  in	
  the	
  immigrant	
  rights	
  community,	
  and	
  to	
  the	
  disdain	
  
among	
  voters	
  for	
  the	
  corrupt	
  system	
  of	
  money	
  and	
  politics	
  he	
  participated	
  in.	
  
	
  
While	
  CCA	
  and	
  private	
  prison	
  businesses	
  have	
  done	
  well	
  through	
  their	
  ALEC	
  affiliation,	
  
they	
  also	
  recognize	
  the	
  shifting	
  landscape	
  of	
  criminal	
  justice	
  policy.	
  As	
  legislatures	
  shift	
  
toward	
  less	
  costly	
  corrections	
  policies	
  and	
  as	
  other	
  ALEC	
  members,	
  such	
  as	
  bail	
  bond	
  
interests,	
  compete	
  for	
  business,	
  private	
  prison	
  companies	
  are	
  adapting,	
  including	
  
expanding	
  into	
  the	
  community	
  alternatives	
  side	
  of	
  corrections20	
  and	
  shifting	
  toward	
  
federal	
  opportunities	
  in	
  immigrant	
  detention.	
  
	
  
Lobbying	
  
In	
  addition	
  to	
  developing	
  relationships	
  with	
  lawmakers	
  through	
  associations	
  like	
  ALEC,	
  
private	
  prison	
  companies	
  employ	
  legions	
  of	
  lobbyists	
  to	
  push	
  for	
  policies	
  that	
  support	
  
their	
  bottom	
  line.	
  Since	
  2001,	
  CCA,	
  GEO	
  Group	
  and	
  Cornell	
  Companies	
  have	
  spent	
  over	
  
$22	
  million	
  lobbying	
  Congress,	
  with	
  over	
  $17	
  million	
  spent	
  by	
  CCA	
  alone.	
  At	
  the	
  state	
  
level,	
  we	
  can	
  look	
  at	
  the	
  level	
  of	
  lobbying	
  activity	
  through	
  the	
  number	
  of	
  lobbyists	
  
employed.21	
  Since	
  2003,	
  CCA	
  has	
  employed	
  204	
  of	
  lobbyists	
  in	
  32	
  states,	
  and	
  GEO	
  Group	
  
has	
  employed	
  by	
  79	
  lobbyists	
  in	
  17	
  states.	
  
	
  
At	
  the	
  federal	
  level,	
  recent	
  lobbying	
  by	
  CCA	
  and	
  GEO	
  Group	
  includes	
  efforts	
  to	
  increase	
  
funding	
  to	
  Immigration	
  Customs	
  and	
  Enforcement	
  (ICE)	
  through	
  the	
  Department	
  of	
  
Homeland	
  Security	
  Appropriations	
  Act	
  (H.R.2017).	
  The	
  budget	
  for	
  immigrant	
  detention	
  
centers	
  has	
  nearly	
  doubled	
  since	
  2005	
  (now	
  at	
  more	
  than	
  $1.7	
  billion),22	
  and	
  ICE	
  has	
  
begun	
  contracting	
  with	
  private	
  prison	
  companies	
  to	
  set	
  up	
  new	
  immigrant	
  detention	
  
centers.	
  This	
  is	
  becoming	
  the	
  new	
  profit	
  center	
  of	
  the	
  private	
  prison	
  industry.	
  
	
  

	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
17

	
  ALEC	
  Exposed,	
  ALEC	
  Politicians,	
  accessed	
  on	
  November	
  5,	
  2011,	
  
http://www.sourcewatch.org/index.php?title=ALEC_Politicians	
  
18
	
  http://www.prwatch.org/news/2011/07/10902/alec-­‐profit-­‐criminal-­‐justice-­‐and-­‐wisconsin	
  
19
	
  Bob	
  Ortega,	
  “Arizona	
  prison	
  businesses	
  are	
  big	
  political	
  contributors,”	
  The	
  Arizona	
  Republic,	
  September	
  4,	
  2011.	
  
20
	
  GEO	
  Group	
  recently	
  acquired	
  Behavioral	
  Intervention,	
  a	
  community	
  supervision	
  company.	
  Pilar	
  Marrero,	
  
“Companies	
  Profit	
  From	
  Increased	
  Immigrant	
  Detention	
  Rate,”	
  La	
  Opinión,	
  July	
  6,	
  2011.	
  
http://newamericamedia.org/2011/07/companies-­‐profit-­‐from-­‐increased-­‐immigrant-­‐detention-­‐rate.php	
  
21
	
  Due	
  to	
  varying	
  state	
  systems,	
  it	
  is	
  difficult	
  to	
  calculate	
  total	
  lobbying	
  expenditures	
  at	
  the	
  state	
  level.	
  
22
	
  Gretchen	
  Gavett,	
  “Map:	
  The	
  U.S.	
  Immigration	
  Detention	
  Boom,”	
  PBS	
  Frontline,	
  October	
  18,	
  2011.	
  
http://www.pbs.org/wgbh/pages/frontline/race-­‐multicultural/lost-­‐in-­‐detention/map-­‐the-­‐u-­‐s-­‐immigration-­‐detention-­‐
boom/	
  

Page	
  7	
  of	
  16	
  

Federal	
  contracts	
  for	
  prisons	
  and	
  immigrant	
  detention	
  centers	
  are	
  big	
  business.	
  Since	
  
2001,	
  CCA	
  has	
  secured	
  at	
  least	
  $2.2	
  billion	
  in	
  federal	
  contracts	
  since	
  2001.23	
  GEO	
  Group,	
  
Wackenhut	
  and	
  related	
  subsidiaries	
  have	
  secured	
  at	
  least	
  $4.7	
  billion	
  in	
  federal	
  
contracts	
  in	
  the	
  same	
  period.24	
  
	
  
Campaign	
  Contributions	
  
Private	
  prison	
  companies	
  also	
  influence	
  policymaking	
  by	
  strategically	
  supporting	
  
political	
  campaigns.	
  At	
  the	
  federal	
  level,	
  the	
  political	
  action	
  committees	
  and	
  executives	
  
of	
  private	
  prison	
  companies	
  have	
  given	
  at	
  least	
  $3.3	
  million	
  to	
  political	
  parties,	
  
candidates,	
  and	
  their	
  political	
  action	
  committees	
  since	
  2001.	
  Since	
  the	
  bulk	
  of	
  the	
  
private	
  prison	
  business	
  still	
  occurs	
  through	
  state	
  contracts,	
  private	
  prison	
  companies	
  
give	
  more	
  heavily	
  to	
  state	
  campaigns	
  than	
  to	
  federal	
  campaigns.	
  The	
  private	
  prison	
  
industry	
  has	
  given	
  more	
  than	
  $7.3	
  million	
  to	
  state	
  candidates	
  and	
  political	
  parties	
  since	
  
2001.	
  Campaign	
  spending	
  at	
  the	
  state	
  level	
  has	
  risen	
  steadily	
  over	
  the	
  decade,	
  reaching	
  
its	
  highest	
  point	
  last	
  year—in	
  2010	
  the	
  private	
  prison	
  industry	
  gave	
  more	
  than	
  $1.9	
  
million	
  to	
  influence	
  state	
  elections.	
  
	
  
The	
  numbers	
  tell	
  a	
  predictable	
  story.	
  Contributions	
  have	
  been	
  concentrated	
  to	
  state	
  
candidates	
  in	
  target	
  states,	
  particularly	
  where	
  major	
  decisions	
  loom	
  for	
  the	
  industry.	
  
Private	
  prison	
  companies	
  have	
  invested	
  $2.6	
  million	
  in	
  Florida	
  state	
  campaigns	
  since	
  
2000.	
  Florida	
  has	
  the	
  second	
  largest	
  private	
  prison	
  population	
  in	
  the	
  U.S	
  and	
  lawmakers	
  
have	
  recently	
  attempted	
  to	
  expand	
  that	
  system.25	
  In	
  California,	
  private	
  prison	
  
companies	
  have	
  spent	
  nearly	
  $800,000	
  on	
  state	
  campaigns	
  since	
  2000.	
  California	
  has	
  
the	
  largest	
  incarcerated	
  population	
  and	
  has	
  been	
  ordered	
  by	
  U.S.	
  Supreme	
  Court	
  to	
  
reduce	
  its	
  overcrowded	
  prison	
  system	
  by	
  46,000	
  people	
  over	
  the	
  next	
  two	
  years,	
  an	
  
opportunity	
  private	
  prison	
  companies	
  could	
  seize	
  upon	
  to	
  build	
  new	
  facilities.26	
  	
  
	
  

RECENT	
  CASES	
  
	
  
Arizona	
  
Perhaps	
  the	
  most	
  egregious	
  example	
  of	
  this	
  multi-­‐pronged	
  approach	
  occurred	
  recently	
  
in	
  Arizona	
  where	
  two	
  laws	
  passed	
  in	
  2010	
  that	
  directly	
  benefit	
  private	
  prison	
  
companies,	
  both	
  championed	
  by	
  the	
  same	
  set	
  of	
  politicians	
  with	
  ties	
  to	
  the	
  industry.	
  
	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
23

	
  Data	
  from	
  the	
  FedSpending.org	
  site,	
  provided	
  by	
  OMB	
  Watch,	
  is	
  available	
  through	
  the	
  third	
  quarter	
  of	
  2009.	
  
http://www.fedspending.org/fpds/fpds.php?reptype=r&detail=-­‐
1&sortp=f&datype=T&reptype=r&database=fpds&database=fpds&parent_id=84757&fiscal_year=2008&record_num
=f500	
  
24
	
  These	
  companies	
  are	
  lumped	
  together	
  under	
  G4S	
  in	
  the	
  FedSpending.org	
  database.	
  
http://www.fedspending.org/fpds/fpds.php?reptype=r&detail=-­‐
1&sortp=f&datype=T&reptype=r&database=fpds&database=fpds&parent_id=136402&fiscal_year=2008&record_nu
m=f500	
  
25
	
  http://www.reuters.com/article/2011/05/12/us-­‐usa-­‐prisons-­‐florida-­‐idUSTRE74B49B20110512	
  
26
	
  Paul	
  Ashton,	
  Gaming	
  the	
  System,	
  Justice	
  Policy	
  Institute,	
  June	
  2011.	
  

Page	
  8	
  of	
  16	
  

One	
  bill	
  is	
  the	
  controversial	
  anti-­‐immigrant	
  policy	
  passed	
  in	
  April	
  2010	
  (S.B.	
  1070).	
  By	
  
allowing	
  local	
  police	
  to	
  lock	
  up	
  immigrants	
  who	
  cannot	
  show	
  documentation	
  when	
  
stopped,	
  this	
  policy	
  could	
  dramatically	
  increase	
  the	
  rate	
  of	
  immigrant	
  detention.	
  The	
  
story	
  of	
  how	
  this	
  law	
  came	
  to	
  be,	
  well	
  documented	
  by	
  the	
  NPR	
  investigation	
  conducted	
  
last	
  fall,27	
  includes	
  all	
  the	
  elements	
  discussed	
  above:	
  ALEC	
  model	
  legislation,	
  campaign	
  
contributions,	
  and	
  lobbyists.	
  	
  
	
  
In	
  December	
  2009	
  at	
  the	
  Grand	
  Hyatt	
  in	
  Washington	
  D.C.,	
  Arizona	
  State	
  Senator	
  Russell	
  
Pearce	
  met	
  with	
  other	
  ALEC	
  members,	
  including	
  CCA	
  officials.	
  The	
  bill	
  they	
  drafted	
  
became,	
  almost	
  word	
  for	
  word,	
  S.B.	
  1070,	
  introduced	
  four	
  months	
  later	
  and	
  signed	
  into	
  
law	
  soon	
  after	
  by	
  Governor	
  Jan	
  Brewer.	
  When	
  the	
  bill	
  was	
  introduced,	
  36	
  legislators	
  
jumped	
  on	
  board	
  as	
  co-­‐sponsors,	
  two-­‐thirds	
  of	
  whom	
  had	
  gone	
  to	
  the	
  December	
  ALEC	
  
meeting	
  or	
  were	
  ALEC	
  members.	
  That	
  same	
  week,	
  CCA	
  hired	
  a	
  powerful	
  new	
  lobbyist	
  to	
  
work	
  the	
  bill,	
  and	
  over	
  the	
  next	
  six	
  months,	
  campaign	
  contributions	
  arrived	
  for	
  30	
  of	
  the	
  
36	
  co-­‐sponsors,	
  from	
  both	
  private	
  prison	
  companies	
  and	
  their	
  lobbyists.	
  Pearce	
  has	
  
received	
  at	
  least	
  $8,033	
  from	
  private	
  prison	
  companies	
  and	
  their	
  lobbyists	
  over	
  this	
  
career,	
  including	
  $1,430	
  in	
  his	
  most	
  recent	
  campaign	
  (the	
  2010	
  cycle),	
  making	
  these	
  
donors	
  some	
  of	
  this	
  largest.28	
  Governor	
  Brewer’s	
  ties	
  include	
  two	
  senior	
  advisors	
  who	
  
had	
  been	
  lobbyists	
  for	
  private	
  prison	
  companies,	
  spokesman	
  Paul	
  Senseman	
  and	
  
campaign	
  manager	
  Chuck	
  Coughlin.	
  	
  
	
  
The	
  second	
  big	
  giveaway	
  to	
  private	
  prisons	
  came	
  in	
  the	
  form	
  of	
  a	
  rule	
  to	
  expand	
  private	
  
prisons	
  by	
  5,000	
  beds,	
  passed	
  by	
  state	
  lawmakers	
  and	
  signed	
  by	
  Brewer	
  in	
  2010.	
  
Expansion	
  plans	
  have	
  moved	
  forward	
  despite	
  a	
  finding	
  by	
  the	
  Arizona	
  Auditor	
  General	
  
that	
  for-­‐profit	
  prisons	
  in	
  Arizona	
  may	
  cost	
  more	
  than	
  publicly	
  operated	
  facilities.29	
  Once	
  
again,	
  Pearce	
  was	
  among	
  the	
  lawmakers	
  who	
  championed	
  the	
  law,	
  along	
  with	
  then-­‐
House	
  Speaker	
  Kirk	
  Adams	
  and	
  Majority	
  Whip	
  Andy	
  Tobin,	
  both	
  of	
  whom	
  received	
  
campaign	
  contributions	
  from	
  GEO	
  Group.30	
  During	
  a	
  time	
  when	
  Arizona	
  is	
  cutting	
  the	
  
budget	
  of	
  every	
  large	
  state	
  agency,	
  the	
  Arizona	
  Department	
  of	
  Corrections	
  is	
  the	
  only	
  
agency	
  not	
  subject	
  to	
  a	
  budget	
  cut	
  in	
  fiscal	
  year	
  2012.	
  In	
  fact,	
  its	
  budget	
  grew	
  by	
  $10	
  
million.31	
  
	
  
Florida	
  
Florida	
  has	
  been	
  a	
  hotbed	
  of	
  recent	
  attempts	
  to	
  expand	
  private	
  prisons.	
  This	
  is	
  not	
  
surprising	
  given	
  the	
  strong	
  presence	
  of	
  GEO	
  Group,	
  whose	
  U.S.	
  operations	
  are	
  based	
  in	
  
Boca	
  Raton,	
  and	
  the	
  influence	
  investments	
  made	
  by	
  CCA.	
  Both	
  companies	
  target	
  their	
  
campaign	
  contributions	
  and	
  lobbying	
  in	
  Florida,	
  with	
  GEO	
  Group	
  giving	
  more	
  to	
  state	
  
campaigns	
  in	
  Florida	
  than	
  to	
  any	
  other	
  state	
  ($1.5	
  million	
  from	
  2003	
  through	
  2010)	
  and	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
27

	
  http://www.npr.org/templates/story/story.php?storyId=130833741&ps=cprs	
  
	
  His	
  largest	
  donor	
  over	
  his	
  career	
  is	
  the	
  Arizona	
  Association	
  of	
  Realtors,	
  giving	
  a	
  total	
  of	
  $3,537.	
  His	
  largest	
  donor	
  in	
  
the	
  2010	
  cycle	
  was	
  a	
  lobbyist	
  who	
  gave	
  $820.	
  
29
	
  David	
  Shapiro,	
  Banking	
  on	
  Bondage,	
  ACLU,	
  November	
  2011.	
  
30
	
  http://www.azcentral.com/news/articles/2011/09/04/20110904arizona-­‐prison-­‐business-­‐politics.html	
  
31
	
  David	
  Shapiro,	
  Banking	
  on	
  Bondage,	
  ACLU,	
  November	
  2011.	
  
28

Page	
  9	
  of	
  16	
  

both	
  companies	
  employing	
  more	
  lobbyists	
  in	
  Florida	
  than	
  in	
  any	
  other	
  state.32	
  These	
  
investments	
  have	
  spurred	
  three	
  efforts	
  to	
  expand	
  prison	
  privatization	
  by	
  quietly	
  
inserting	
  language	
  into	
  state	
  budgets,	
  as	
  well	
  as	
  an	
  attempt	
  to	
  pass	
  an	
  “Arizona-­‐style”	
  
immigration	
  law.	
  
	
  
This	
  year,	
  the	
  Florida	
  legislature	
  passed	
  and	
  Governor	
  Rick	
  Scott	
  signed	
  a	
  budget	
  that	
  
included	
  language	
  to	
  convert	
  all	
  of	
  the	
  state-­‐run	
  prisons	
  in	
  South	
  Florida	
  into	
  private	
  
prisons.	
  This	
  conversion	
  would	
  have	
  provided	
  $600	
  million	
  in	
  contracts	
  to	
  private	
  prison	
  
companies.33	
  However,	
  on	
  September	
  30,	
  a	
  Leon	
  County	
  Circuit	
  Court	
  judge	
  ruled	
  that	
  
Scott	
  and	
  the	
  legislature	
  violated	
  the	
  state	
  constitution	
  by	
  using	
  budget	
  “proviso”	
  
language	
  to	
  change	
  state	
  law.	
  In	
  an	
  interview	
  in	
  early	
  October,	
  Senate	
  President	
  Mike	
  
Haridopolos	
  told	
  reporters	
  that	
  legislators	
  would	
  continue	
  to	
  use	
  proviso	
  language	
  and	
  
to	
  pursue	
  prison	
  privatization.34	
  	
  
	
  
Haridopolos,	
  who	
  until	
  mid-­‐July	
  was	
  also	
  running	
  for	
  U.S.	
  Senate,	
  was	
  one	
  of	
  the	
  most	
  
notable	
  recipients	
  of	
  GEO	
  Group	
  campaign	
  money	
  in	
  2011.	
  The	
  total	
  he	
  received	
  from	
  
GEO	
  Group	
  ($24,500)	
  came	
  entirely	
  from	
  GEO	
  executives,	
  including	
  $5,000	
  from	
  George	
  
Zoley	
  (chairmen	
  and	
  CEO)	
  and	
  $5,000	
  from	
  John	
  Hurley	
  (president	
  of	
  U.S.	
  corrections	
  
and	
  detention).35	
  This	
  amount	
  places	
  GEO	
  Group	
  as	
  the	
  third	
  largest	
  contributor	
  to	
  
Haridopolos'	
  U.S.	
  Senate	
  run.	
  All	
  $24,500	
  in	
  donations	
  were	
  made	
  on	
  May	
  28,	
  2011,36	
  a	
  
couple	
  weeks	
  after	
  Florida	
  lawmakers	
  had	
  finalized	
  their	
  budget	
  plans	
  which	
  included	
  
the	
  privatization	
  proposal.	
  	
  
	
  
Private	
  prison	
  interests	
  were	
  particularly	
  active	
  in	
  Florida	
  during	
  last	
  fall’s	
  election,	
  
giving	
  nearly	
  $1	
  million,	
  a	
  record	
  for	
  the	
  industry.37	
  While	
  Scott	
  may	
  not	
  have	
  received	
  
donations	
  directly	
  to	
  his	
  campaign,	
  he	
  benefited	
  from	
  the	
  $400,000	
  GEO	
  Group	
  
contributed	
  to	
  the	
  Florida	
  Republican	
  Party	
  for	
  the	
  2010	
  election	
  and	
  the	
  $25,000	
  GEO	
  
Group	
  gave	
  to	
  his	
  inaugural	
  fund.38	
  One	
  of	
  Scott’s	
  top	
  transition	
  budget	
  advisers,	
  Donna	
  
Arduin,	
  is	
  a	
  former	
  trustee	
  of	
  Correctional	
  Properties	
  Trust,	
  GEO	
  Group’s	
  real	
  estate	
  
company.	
  Scott	
  also	
  appointed	
  Brian	
  Ballard,	
  a	
  prominent	
  lobbyist	
  who	
  has	
  worked	
  for	
  
GEO	
  Group	
  and	
  CCA,	
  to	
  his	
  inaugural	
  fund.	
  Ballard	
  raised	
  $3	
  million	
  for	
  the	
  event	
  and	
  
has	
  hosted	
  fundraisers	
  at	
  his	
  home	
  on	
  Scott’s	
  behalf.	
  
	
  
Meanwhile,	
  the	
  previous	
  attempt	
  to	
  privatize	
  Florida	
  prisons,	
  using	
  similar	
  tactics,	
  has	
  
been	
  embroiled	
  in	
  a	
  grand	
  jury	
  investigation.	
  Federal	
  investigators	
  are	
  looking	
  into	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
32

	
  From	
  2003	
  to	
  2010,	
  GEO	
  Group	
  employed	
  13	
  lobbyists	
  in	
  Florida	
  and	
  CCA	
  employed	
  17.	
  Justice	
  Policy	
  Institute,	
  
Gaming	
  the	
  System,	
  June	
  2011.	
  
33
	
  http://www.grassrootsleadership.org/blog/?p=263	
  
34
	
  http://www.miamiherald.com/2011/10/09/2445393/grand-­‐jury-­‐probes-­‐panhandle-­‐private.html	
  
35
	
  Data	
  provided	
  by	
  the	
  National	
  Institute	
  on	
  Money	
  in	
  State	
  Politics	
  and	
  accessed	
  at	
  
http://www.followthemoney.org/	
  on	
  September	
  29,	
  2011.	
  
36
	
  Haridopolos	
  also	
  received	
  campaign	
  contributions	
  prior	
  to	
  2011,	
  including	
  $2500	
  in	
  late	
  2009	
  and	
  early	
  2010	
  from	
  
private	
  prison	
  interests,	
  including	
  $1000	
  from	
  GEO	
  Group	
  and	
  $500	
  from	
  CCA.	
  
37
	
  http://www.followthemoney.org/blog/2011/05/private-­‐prison-­‐industry-­‐increases-­‐campaign-­‐spending-­‐in-­‐florida/	
  
38
	
  http://www.grassrootsleadership.org/blog/?p=263	
  

Page	
  10	
  of	
  16	
  

illegalities	
  in	
  the	
  building	
  of	
  the	
  Blackwater	
  River	
  Correctional	
  Facility	
  in	
  Milton,	
  Florida’s	
  
largest	
  private	
  prison.	
  According	
  to	
  documents	
  released	
  as	
  part	
  of	
  the	
  investigation,	
  
plans	
  that	
  led	
  to	
  the	
  awarding	
  of	
  the	
  $115	
  million	
  contract	
  to	
  GEO	
  Group	
  in	
  2009	
  and	
  
completion	
  of	
  the	
  facility	
  in	
  late	
  2010	
  began	
  in	
  early	
  2008	
  under	
  the	
  code	
  name	
  “Project	
  
Justice.”	
  	
  
	
  
Florida	
  officials	
  implicated	
  include	
  the	
  economic	
  development	
  division	
  of	
  Santa	
  Rosa	
  
County,	
  former	
  House	
  Speaker	
  Ray	
  Sansom,	
  and	
  incoming	
  Senate	
  President	
  Don	
  Gaetz,	
  
all	
  of	
  whom	
  met	
  in	
  February	
  2008	
  to	
  discuss	
  “prison	
  funding	
  support.”39	
  In	
  March	
  2008,	
  
one	
  week	
  after	
  he	
  traveled	
  to	
  Boca	
  Raton	
  on	
  “personal	
  business,”	
  Sansom,	
  then	
  
incoming	
  House	
  budget	
  chairman,	
  inserted	
  the	
  prison	
  language	
  into	
  the	
  budget	
  that	
  led	
  
to	
  the	
  GEO	
  contract.	
  Then,	
  in	
  2010,	
  when	
  Florida	
  prisons	
  were	
  under	
  capacity,	
  
lawmakers	
  again	
  inserted	
  language	
  into	
  the	
  budget,	
  this	
  time	
  to	
  close	
  state-­‐run	
  prisons	
  
and	
  transfer	
  the	
  $22	
  million	
  to	
  the	
  
Blackwater	
  facility.	
  State	
  campaign	
  
DISENFRANCHISED	
  IN	
  FLORIDA	
  
finance	
  records	
  show	
  both	
  Sansom	
  and	
  
According	
  to	
  the	
  Brennan	
  Center	
  for	
  Justice,	
  
Gaetz	
  received	
  private	
  prison	
  campaign	
  
Florida	
  has	
  become	
  the	
  most	
  punitive	
  state	
  in	
  
the	
  country	
  regarding	
  the	
  voting	
  rights	
  of	
  people	
  
contributions,40	
  including	
  money	
  from	
  
with	
  criminal	
  convictions.	
  In	
  March	
  2011,	
  
GEO	
  Group	
  and	
  its	
  subsidiaries.	
  	
  
Governor	
  Scott	
  changed	
  Florida’s	
  clemency	
  
	
  
rules,	
  effectively	
  denying	
  the	
  right	
  to	
  vote	
  to	
  as	
  
On	
  the	
  immigration	
  detention	
  side	
  of	
  
many	
  as	
  a	
  million	
  Florida	
  citizens.	
  
private	
  prison	
  business,	
  Senate	
  President	
  
	
  
Under	
  the	
  Florida	
  Constitution,	
  anyone	
  with	
  a	
  
Haridopolos	
  again	
  surfaces	
  as	
  a	
  key	
  
felony	
  conviction	
  is	
  barred	
  from	
  voting	
  for	
  life,	
  
player.	
  He	
  was	
  the	
  main	
  driver	
  behind	
  an	
  
unless	
  the	
  governor	
  grants	
  clemency.	
  The	
  new	
  
anti-­‐immigrant	
  law	
  (S.B.	
  2040)	
  that	
  would	
  
rules	
  include	
  a	
  five-­‐year	
  wait	
  before	
  being	
  
have	
  required	
  the	
  widespread	
  use	
  of	
  
eligible	
  to	
  apply	
  for	
  clemency,	
  even	
  for	
  people	
  
electronic	
  employment	
  verification	
  
with	
  nonviolent	
  convictions.	
  Scott	
  also	
  
eliminated	
  a	
  provision	
  allowing	
  people	
  to	
  apply	
  
systems	
  to	
  check	
  for	
  legal	
  status.	
  The	
  
for	
  a	
  waiver	
  of	
  the	
  rules,	
  a	
  provision	
  in	
  place	
  
measure	
  failed	
  in	
  May.	
  However,	
  through	
  
under	
  previous	
  governors	
  Jeb	
  Bush	
  and	
  Charlie	
  
an	
  ICE	
  program	
  to	
  build	
  more	
  immigration	
  
Crist.	
  
detention	
  centers,41	
  Florida	
  is	
  now	
  the	
  
	
  
planned	
  site	
  of	
  the	
  largest	
  immigrant	
  
In	
  fact	
  the	
  new	
  rules	
  roll	
  back	
  reforms	
  by	
  Crist	
  
and	
  are	
  far	
  more	
  restrictive	
  than	
  those	
  in	
  place	
  
detention	
  center	
  in	
  the	
  country,	
  to	
  be	
  
under	
  Jeb	
  Bush.	
  
built	
  and	
  run	
  by	
  CCA	
  in	
  the	
  town	
  of	
  
	
  
Southwest	
  Ranches.42	
  
Source:	
  Erika	
  Wood,	
  “Turning	
  Back	
  the	
  Clock	
  in	
  
	
  
Florida,”	
  Brennan	
  Center	
  for	
  Justice,	
  March	
  11,	
  2011,	
  
http://www.brennancenter.org/blog/archives/turning
	
  
_back_the_clock_in_florida/	
  

	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
39

	
  http://www.miamiherald.com/2011/10/09/2445393/grand-­‐jury-­‐probes-­‐panhandle-­‐private.html	
  
	
  Sansom	
  received	
  a	
  $500	
  donation	
  from	
  GEO	
  Group	
  in	
  October	
  2007	
  (the	
  maximum	
  contribution	
  allowed	
  in	
  Florida	
  
per	
  election,	
  which	
  can	
  include	
  a	
  first	
  primary,	
  second	
  primary	
  and	
  general	
  election,	
  unless	
  the	
  candidate	
  is	
  
unopposed).	
  Gaetz	
  received	
  $3000	
  in	
  2009,	
  including	
  $1500	
  total	
  from	
  GEO	
  Group	
  and	
  its	
  subsidiary	
  GEO	
  Care	
  and	
  
$500	
  from	
  CCA.	
  
41
	
  David	
  Shapiro,	
  Banking	
  on	
  Bondage,	
  ACLU,	
  November	
  2011.	
  
42
	
  http://floridaindependent.com/50687/geo-­‐group-­‐cca-­‐private-­‐prisons	
  
40

Page	
  11	
  of	
  16	
  

New	
  Jersey	
  
One	
  of	
  the	
  other	
  proposed	
  locations	
  for	
  ICE’s	
  new	
  immigrant	
  detention	
  centers	
  is	
  Essex	
  
County,	
  New	
  Jersey.	
  Earlier	
  this	
  summer,	
  it	
  looked	
  like	
  Community	
  Education	
  Centers,	
  a	
  
private	
  prison	
  company	
  based	
  in	
  New	
  Jersey,	
  would	
  win	
  the	
  contract	
  valued	
  between	
  $8	
  
and	
  $10	
  million	
  annually,	
  despite	
  its	
  checkered	
  record	
  and	
  through	
  a	
  questionable	
  
bidding	
  process.43	
  But	
  after	
  a	
  New	
  York	
  Times	
  article	
  drew	
  attention	
  to	
  the	
  political	
  
connections	
  that	
  may	
  have	
  greased	
  the	
  way	
  for	
  Community	
  Education	
  Centers,	
  county	
  
officials	
  abruptly	
  changed	
  course	
  and	
  re-­‐opened	
  the	
  bidding	
  process	
  in	
  August.44	
  
	
  
Community	
  Education	
  has	
  ties	
  to	
  Governor	
  Chris	
  Christie	
  and	
  Essex	
  county	
  executive	
  
Joseph	
  DiVincenzo,	
  a	
  prominent	
  Christie	
  ally.	
  The	
  senior	
  vice	
  president	
  of	
  Community	
  
Education,	
  William	
  Palatucci,	
  is	
  Christie’s	
  political	
  mentor	
  and	
  former	
  law	
  partner.45	
  
Community	
  Education	
  has	
  donated	
  a	
  total	
  of	
  $30,600	
  to	
  DiVincenzo’s	
  campaigns	
  since	
  
2006	
  through	
  donations	
  by	
  company	
  executives,	
  including	
  from	
  CEO	
  John	
  Clancy	
  and	
  
several	
  members	
  of	
  his	
  family.	
  46	
  
	
  
Pennsylvania	
  
The	
  “Kids	
  for	
  Cash”	
  scandal	
  in	
  Pennsylvania	
  is	
  one	
  of	
  the	
  worst	
  cases	
  of	
  corruption	
  by	
  
private	
  prison	
  money.	
  In	
  2009,	
  two	
  judges	
  pled	
  guilty	
  to	
  being	
  paid	
  $2.6	
  million47	
  in	
  
kickbacks	
  by	
  private	
  prison	
  companies	
  in	
  exchange	
  for	
  sending	
  as	
  many	
  as	
  4,000	
  
children48	
  to	
  youth	
  detention	
  centers	
  run	
  by	
  subsidiaries	
  of	
  Mid-­‐Atlantic	
  Youth	
  Services	
  
Corp,	
  based	
  in	
  Pennsylvania.	
  
	
  
In	
  a	
  scheme	
  that	
  began	
  in	
  2002,	
  Judges	
  Mark	
  Ciavarella	
  and	
  Michael	
  Conahan	
  set	
  up	
  
“placement	
  guarantee	
  agreements”	
  with	
  PA	
  Child	
  Care	
  and	
  Western	
  PA	
  Child	
  Care,	
  
worth	
  tens	
  of	
  millions	
  in	
  business,	
  to	
  house	
  kids	
  in	
  newly	
  built	
  juvenile	
  detention	
  
centers.49	
  Judge	
  Ciavarella’s	
  record	
  of	
  sending	
  youth	
  to	
  these	
  detention	
  centers	
  was	
  
conspicuous,50	
  and	
  for	
  years,	
  youth	
  advocacy	
  groups	
  complained	
  that	
  he	
  was	
  unusually	
  
harsh.	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
43

	
  http://www.nytimes.com/2011/07/28/nyregion/political-­‐links-­‐seen-­‐behind-­‐essex-­‐county-­‐detention-­‐center-­‐
bid.html?_r=3&ref=nyregion	
  
44
	
  http://www.nytimes.com/2011/08/16/nyregion/essex-­‐county-­‐reverses-­‐decision-­‐on-­‐detention-­‐center-­‐bid.html	
  
45
	
  Palatucci	
  is	
  a	
  well-­‐known	
  Republican	
  strategist	
  and	
  fundraiser.	
  He	
  nominated	
  Christie	
  to	
  be	
  the	
  U.S.	
  attorney	
  for	
  
New	
  Jersey	
  under	
  the	
  Bush	
  administration,	
  a	
  post	
  Christie	
  held	
  from	
  2002	
  to	
  2009.	
  
http://www.nytimes.com/2011/07/28/nyregion/political-­‐links-­‐seen-­‐behind-­‐essex-­‐county-­‐detention-­‐center-­‐
bid.html?_r=3&ref=nyregion	
  
46
	
  http://www.nytimes.com/2011/07/28/nyregion/political-­‐links-­‐seen-­‐behind-­‐essex-­‐county-­‐detention-­‐center-­‐
bid.html?_r=3&ref=nyregion	
  
47
	
  In	
  the	
  Public	
  Interest,	
  Pennsylvania	
  “Kids	
  for	
  Cash”	
  Conspiracy,	
  
http://www.inthepublicinterest.org/case/pennsylvania-­‐kids-­‐cash-­‐conspiracy	
  
48
	
  http://www.jlc.org/luzerne/	
  
49
	
  They	
  also	
  closed	
  down	
  a	
  public	
  detention	
  center,	
  claiming	
  it	
  was	
  in	
  poor	
  condition,	
  contrary	
  to	
  the	
  findings	
  of	
  state	
  
and	
  local	
  health	
  and	
  welfare	
  departments.	
  
50
	
  Ciavarella	
  sent	
  a	
  quarter	
  of	
  his	
  juvenile	
  defendants,	
  many	
  of	
  them	
  first-­‐time	
  offenders,	
  to	
  detention	
  centers	
  from	
  
2002	
  to	
  2006;	
  the	
  statewide	
  statistic	
  is	
  1	
  in	
  10.	
  

Page	
  12	
  of	
  16	
  

Executives	
  of	
  the	
  private	
  detention	
  
centers	
  and	
  seven	
  companies,	
  along	
  
FINANCING	
  PRIVATE	
  PRISONS	
  
with	
  the	
  judges,	
  are	
  defendants	
  in	
  a	
  
Some	
  of	
  the	
  most	
  recent	
  financiers	
  of	
  private	
  prison	
  
class-­‐action	
  lawsuit	
  filed	
  by	
  the	
  
companies	
  are	
  also	
  the	
  most	
  powerful	
  banks	
  in	
  
Juvenile	
  Law	
  Center	
  in	
  2009	
  on	
  behalf	
  
America.	
  At	
  end	
  of	
  2007,	
  CCA	
  entered	
  into	
  a	
  $450	
  
million	
  senior	
  secured	
  revolving	
  credit	
  facility	
  
of	
  140	
  plaintiffs.	
  In	
  August	
  2011,	
  
arranged	
  by	
  Banc	
  of	
  America	
  Securities,	
  an	
  
Ciavarella	
  was	
  sentenced	
  to	
  28	
  years	
  
investment	
  bank	
  subsidiary	
  of	
  Bank	
  of	
  America.	
  This	
  
in	
  prison	
  after	
  being	
  found	
  guilty	
  of	
  
facility	
  is	
  used	
  to	
  fund	
  expansion	
  and	
  development	
  
racketeering,	
  money	
  laundering,	
  and	
  
projects,	
  as	
  well	
  as	
  provide	
  working	
  capital.	
  	
  	
  
conspiracy.	
  The	
  Supreme	
  Court	
  of	
  
	
  
Wells	
  Fargo	
  is	
  also	
  a	
  major	
  investor	
  in	
  private	
  prison	
  
Pennsylvania	
  also	
  dismissed	
  4,000	
  
51
juvenile	
  cases	
  handled	
  by	
  Ciavarella. 	
   companies,	
  having	
  invested	
  $88.7	
  million	
  in	
  GEO	
  
Group	
  and	
  $5.9	
  million	
  in	
  CCA,	
  as	
  of	
  December	
  31,	
  
	
  
2010.	
  
Ohio	
  
	
  
On	
  December	
  31,	
  2011,	
  Ohio	
  will	
  sell	
  a	
   It	
  also	
  should	
  be	
  noted	
  that	
  these	
  banks	
  and	
  their	
  
executives	
  have	
  poured	
  tens	
  of	
  millions	
  of	
  dollars	
  
publicly	
  operated	
  prison	
  to	
  a	
  private	
  
52
into	
  the	
  election	
  campaigns	
  of	
  state	
  and	
  federal	
  
company,	
  CCA. 	
  The	
  sale	
  of	
  the	
  Lake	
  
lawmakers	
  over	
  the	
  past	
  few	
  election	
  cycles.	
  
Erie	
  Correctional	
  Facility	
  to	
  CCA	
  for	
  
	
  
$73	
  million53	
  is	
  part	
  of	
  a	
  scaled	
  back	
  
Sources:	
  SEC	
  Form	
  10-­‐Q	
  filed	
  by	
  Corrections	
  Corp	
  of	
  
America	
  for	
  quarter	
  ending	
  June	
  30,	
  2011,	
  
version	
  of	
  Governor	
  John	
  Kasich’s	
  
original	
  plan	
  to	
  sell	
  five	
  prisons,	
  which	
   http://www.sec.gov/Archives/edgar/data/1070985/00011
9312511212087/d10q.htm#toc.	
  
would	
  have	
  tripled	
  Ohio’s	
  private	
  
Joel	
  Handley,	
  “Divesting	
  From	
  Private	
  Prisons,”	
  In	
  These	
  
prison	
  population	
  in	
  one	
  fell	
  swoop.54	
  	
   Times,	
  July	
  15,	
  2011,	
  
http://www.inthesetimes.com/article/11623/divesting_fro
	
  
m_private_prisons.	
  Enlace,	
  Private	
  Prison	
  Divestment	
  
Kasich	
  has	
  multiple	
  ties	
  to	
  CCA.	
  After	
  
Campaign,	
  http://enlaceintl.org/programs/immigration/.	
  
Center	
  for	
  Responsive	
  Politics.	
  National	
  Institute	
  for	
  Money	
  
serving	
  in	
  Congress	
  for	
  18	
  years,	
  
In	
  State	
  Politics.	
  
Kasich	
  went	
  to	
  work	
  for	
  Lehman	
  
Brothers,	
  which	
  had	
  a	
  long	
  history	
  of	
  underwriting	
  bonds	
  and	
  managing	
  credit	
  for	
  CCA	
  
and	
  Cornell	
  Companies.55	
  When	
  Kasich	
  became	
  governor	
  of	
  Ohio	
  in	
  2010,	
  he	
  appointed	
  
former	
  CCA	
  employee	
  Gary	
  Mohr	
  to	
  direct	
  the	
  Department	
  of	
  Rehabilitation	
  and	
  
Correction,	
  the	
  department	
  handling	
  the	
  partial	
  privatization	
  of	
  Ohio’s	
  prisons.	
  The	
  
lobbying	
  firm	
  of	
  Kasich’s	
  close	
  friend	
  and	
  former	
  Congressional	
  chief	
  of	
  staff,	
  Donald	
  
Thibaut,	
  was	
  hired	
  by	
  CCA	
  in	
  mid-­‐December	
  2010,	
  just	
  before	
  Kasich	
  began	
  his	
  tenure.56	
  
Mohr	
  also	
  previously	
  worked	
  as	
  a	
  consultant	
  to	
  Thibaut’s	
  firm	
  for	
  five	
  years.57	
  
	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
51

	
  David	
  Shapiro,	
  Banking	
  on	
  Bondage,	
  ACLU,	
  November	
  2011.	
  
	
  David	
  Shapiro,	
  Banking	
  on	
  Bondage,	
  ACLU,	
  November	
  2011.	
  
53
	
  Laura	
  A.	
  Bischoff,	
  “Kasich	
  scales	
  back	
  prison	
  privatization	
  plan,”	
  September	
  1,	
  2011,	
  
http://www.daytondailynews.com/news/kasich-­‐scales-­‐back-­‐prison-­‐privatization-­‐plan-­‐1244314.html	
  
54
	
  Policy	
  Matters	
  Ohio,	
  Cells	
  for	
  Sale:	
  Understanding	
  Prison	
  Costs	
  &	
  Savings,	
  April	
  2011.	
  
55
	
  Paul	
  Ashton,	
  Gaming	
  the	
  System,	
  Justice	
  Policy	
  Institute,	
  June	
  2011.	
  
56
	
  “Ohio	
  1st	
  in	
  US	
  to	
  sell	
  prison	
  to	
  private	
  company,”	
  Associated	
  Press,	
  September	
  2,	
  2011,	
  http://www.tribune-­‐
chronicle.com/page/content.detail/id/145808/Ohio-­‐1st-­‐in-­‐US-­‐to-­‐sell-­‐prison-­‐to-­‐private-­‐company-­‐
.html?isap=1&nav=5031	
  
57
	
  http://thinkprogress.org/justice/2011/09/22/325218/ohio-­‐privatize-­‐prison/	
  
52

Page	
  13	
  of	
  16	
  

Louisiana	
  
Another	
  attempt	
  to	
  privatize	
  prisons	
  failed	
  earlier	
  this	
  year	
  in	
  Louisiana,	
  58	
  which	
  had	
  the	
  
highest	
  incarceration	
  rate	
  in	
  the	
  country	
  in	
  2009.59	
  Governor	
  Bobby	
  Jindal’s	
  plan	
  to	
  sell	
  
three	
  state	
  prisons	
  was	
  narrowly	
  defeated	
  by	
  a	
  13	
  to	
  12	
  vote	
  in	
  the	
  House	
  
Appropriations	
  Committee	
  in	
  June.	
  	
  
	
  
Not	
  surprisingly,	
  the	
  12	
  members	
  of	
  the	
  House	
  Appropriations	
  Committee	
  who	
  voted	
  to	
  
approve	
  the	
  prison	
  privatization	
  plan	
  have	
  received	
  more	
  than	
  three	
  times	
  more	
  money	
  
from	
  private	
  prison	
  companies	
  than	
  the	
  13	
  members	
  who	
  voted	
  against	
  the	
  plan.60	
  
	
  
Jindal	
  has	
  taken	
  at	
  least	
  $28,500	
  from	
  private	
  prison	
  companies	
  over	
  his	
  career,	
  
including	
  $15,000	
  from	
  GEO	
  Group,	
  $11,000	
  from	
  CCA,	
  and	
  $2,500	
  from	
  LCS	
  Corrections	
  
Services,	
  based	
  on	
  Baton	
  Rouge.	
  With	
  $28,500,	
  these	
  private	
  prison	
  companies	
  became	
  
Jindal’s	
  second	
  largest	
  contributor	
  to	
  his	
  state	
  campaigns	
  over	
  his	
  career,61	
  second	
  only	
  
to	
  the	
  Louisiana	
  Republican	
  Party,	
  which	
  has	
  given	
  $132,052	
  to	
  Jindal.	
  	
  
	
  

CONCLUSION	
  &	
  RECOMMENDATIONS	
  
	
  
The	
  growing	
  political	
  influence	
  of	
  private	
  prison	
  companies	
  over	
  criminal	
  justice	
  and	
  
immigration	
  policies	
  is	
  the	
  most	
  chilling	
  example	
  of	
  what	
  happens	
  when	
  large	
  
corporations	
  are	
  able	
  to	
  spend	
  large	
  amounts	
  of	
  money	
  to	
  buy	
  favor	
  with	
  elected	
  
officials.	
  As	
  the	
  size	
  of	
  the	
  private	
  prison	
  industry	
  grows,	
  so	
  too	
  does	
  its	
  ability	
  to	
  
corrupt	
  the	
  political	
  process.	
  The	
  result	
  is	
  a	
  vicious	
  cycle	
  in	
  which	
  more	
  and	
  more	
  people	
  
end	
  up	
  behind	
  bars.	
  We	
  all	
  lose	
  as	
  a	
  result.	
  Families	
  are	
  torn	
  apart;	
  children	
  end	
  up	
  in	
  
foster	
  care	
  when	
  their	
  parents	
  are	
  detained.	
  African-­‐American	
  and	
  Latino	
  urban	
  
communities	
  are	
  losing	
  a	
  generation	
  of	
  youth	
  behind	
  bars.	
  And	
  taxpayers	
  are	
  seeing	
  
their	
  hard-­‐earned	
  dollars	
  go	
  towards	
  subsidizing	
  private	
  prisons’	
  profit	
  margins.	
  	
  
	
  
Breaking	
  the	
  unholy	
  alliance	
  between	
  private	
  prison	
  companies	
  and	
  politicians	
  will	
  not	
  
be	
  easy,	
  but	
  we	
  must	
  stop	
  the	
  flow	
  of	
  prison	
  industry	
  dollars	
  into	
  the	
  political	
  system	
  if	
  
we	
  want	
  to	
  achieve	
  sensible	
  criminal	
  justice	
  and	
  immigration	
  policies	
  that	
  meet	
  the	
  
needs	
  of	
  our	
  communities.	
  Our	
  state	
  and	
  federal	
  governments	
  must	
  ultimately	
  stop	
  
spending	
  taxpayer	
  money	
  to	
  help	
  an	
  industry	
  that	
  is	
  making	
  billions	
  of	
  dollars	
  off	
  the	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
58

	
  Jan	
  Moller,	
  “Gov.	
  Jindal's	
  plan	
  to	
  sell	
  state	
  prisons	
  is	
  killed	
  by	
  House	
  committee,”	
  The	
  Times-­‐Picayune,	
  June	
  6,	
  2011,	
  
http://www.nola.com/politics/index.ssf/2011/06/house_committee_kills_bobby_ji.html	
  
59
	
  In	
  2009,	
  Louisiana’s	
  incarceration	
  rate	
  was	
  881	
  prisoners	
  per	
  100,000	
  residents.	
  Pew	
  Center	
  on	
  the	
  States,	
  
“Governor	
  Jindal	
  Announces	
  LA	
  Selected	
  for	
  Pew	
  Partnership	
  to	
  Reform	
  LA	
  Criminal	
  Justice	
  System,”	
  Press	
  Release	
  on	
  
January	
  21,	
  2011.	
  http://www.pewcenteronthestates.org/news_room_detail.aspx?id=327578	
  
60
	
  The	
  12	
  members	
  who	
  voted	
  to	
  approve	
  the	
  prison	
  privatization	
  plan	
  received	
  at	
  least	
  $14,500	
  from	
  CCA	
  and	
  GEO	
  
Group,	
  compared	
  to	
  the	
  $4,250	
  received	
  by	
  the	
  13	
  members	
  who	
  voted	
  against	
  the	
  plan.	
  While	
  the	
  earliest	
  
contribution	
  dates	
  back	
  to	
  2000,	
  the	
  bulk	
  of	
  the	
  donations	
  occurred	
  in	
  2010.	
  Data	
  were	
  obtained	
  from	
  Transparency	
  
Data	
  and	
  the	
  Louisiana	
  Ethics	
  Administration	
  
(http://www.ethics.state.la.us/CampaignFinanceSearch/SearchResultsByContributions.aspx),	
  both	
  accessed	
  on	
  
November	
  9,	
  2011.	
  	
  
61
	
  The	
  first	
  donation	
  of	
  $5000	
  from	
  GEO	
  Group’s	
  PAC	
  came	
  in	
  2003.	
  

Page	
  14	
  of	
  16	
  

public	
  dole,	
  especially	
  at	
  a	
  time	
  when	
  cities,	
  states	
  and	
  nation	
  face	
  significant	
  revenue	
  
shortfalls.	
  
	
  
An	
  essential	
  first	
  step	
  towards	
  ending	
  mass	
  incarceration	
  is	
  to	
  reduce	
  the	
  influence	
  of	
  
these	
  private	
  prison	
  companies	
  and	
  their	
  money	
  in	
  our	
  democracy.	
  As	
  a	
  start	
  we	
  must:62	
  
	
  
1) Demand	
  that	
  elected	
  officials	
  at	
  all	
  levels	
  pledge	
  to	
  reject	
  campaign	
  
contributions	
  from	
  the	
  private	
  prison	
  industry	
  or	
  their	
  surrogates.	
  It’s	
  time	
  for	
  
elected	
  officials	
  to	
  make	
  it	
  clear	
  that	
  they	
  will	
  not	
  be	
  influenced	
  by	
  this	
  
predatory	
  industry.	
  
2) Pass	
  fair	
  election	
  laws	
  that	
  limit	
  the	
  influence	
  of	
  corporate	
  money	
  on	
  politicians.	
  
Similar	
  to	
  working	
  laws	
  in	
  a	
  number	
  of	
  states,	
  fair	
  elections-­‐style	
  reform	
  relies	
  on	
  
small	
  donations	
  from	
  regular	
  people	
  closer	
  to	
  home	
  rather	
  than	
  contributions	
  
from	
  CEOs,	
  PACs,	
  or	
  lobbyists.	
  Candidates	
  would	
  qualify	
  for	
  a	
  set	
  amount	
  of	
  
public	
  money	
  if	
  they	
  agreed	
  to	
  take	
  no	
  large	
  contributions	
  and	
  demonstrated	
  
public	
  support.	
  The	
  money	
  from	
  industries	
  like	
  the	
  private	
  prison	
  industry	
  would	
  
be	
  replaced	
  by	
  support	
  from	
  back	
  home.	
  
3) Reform	
  sentencing	
  laws	
  so	
  that	
  we	
  stop	
  spending	
  billions	
  of	
  dollars	
  every	
  year	
  
locking	
  up	
  non-­‐violent	
  offenders	
  who	
  pose	
  no	
  public	
  safety	
  threat.	
  Instead,	
  we	
  
should	
  implement	
  well-­‐tested,	
  less-­‐costly	
  means	
  of	
  alternative	
  sentencing,	
  
reentry	
  policies,	
  and	
  crime	
  prevention	
  for	
  this	
  population.	
  
4) Choke	
  off	
  the	
  flow	
  of	
  youth	
  into	
  the	
  criminal	
  justice	
  system	
  by	
  shifting	
  more	
  
resources	
  towards	
  proven	
  measures	
  to	
  prevent	
  youth	
  violence	
  such	
  as	
  ceasefire,	
  
job	
  training	
  &	
  development,	
  and	
  education	
  programs.	
  	
  
5) Close	
  off	
  the	
  latest	
  profit	
  center	
  for	
  private	
  prison	
  companies—the	
  mass	
  
detention	
  of	
  immigrants—by	
  ending	
  or	
  significantly	
  narrowing	
  the	
  federal	
  Secure	
  
Communities	
  program;	
  fully	
  implementing	
  the	
  Administration’s	
  prosecutorial	
  
discretion	
  policy	
  announced	
  in	
  August	
  2011;	
  and	
  continuing	
  to	
  press	
  for	
  
comprehensive	
  immigration	
  reform	
  at	
  the	
  federal	
  level.	
  The	
  bottom	
  line	
  is	
  that	
  
we	
  must	
  stop	
  locking	
  up	
  immigrants	
  who	
  pose	
  no	
  public	
  safety	
  threat.	
  
6) Press	
  big	
  banks	
  like	
  Bank	
  of	
  America	
  and	
  Wells	
  Fargo	
  to	
  stop	
  financing	
  or	
  
investing	
  in	
  the	
  private	
  prison	
  industry.	
  If	
  the	
  banks	
  refuse	
  to	
  do	
  so,	
  then	
  we	
  
should	
  refuse	
  to	
  continue	
  doing	
  business	
  with	
  them.	
  
7) Develop	
  real	
  solutions	
  to	
  the	
  state	
  fiscal	
  crises.	
  Privatizing	
  state-­‐run	
  prisons	
  are	
  
not	
  bringing	
  the	
  savings	
  politicians	
  promise.	
  The	
  best	
  way	
  to	
  reduce	
  prison	
  costs	
  
is	
  to	
  stop	
  mass	
  incarceration.	
  	
  
	
  
	
  
	
  
	
  
	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
   	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  
62

	
  Public	
  Campaign	
  does	
  not	
  take	
  policy	
  positions	
  on	
  matters	
  outside	
  the	
  role	
  of	
  money	
  in	
  politics.	
  We	
  do,	
  however,	
  
believe	
  that	
  issues	
  like	
  the	
  growth	
  of	
  incarceration,	
  particularly	
  for	
  youth	
  and	
  immigrants,	
  is	
  a	
  phenomenon	
  
impossible	
  to	
  explain	
  without	
  exploring	
  the	
  role	
  of	
  private	
  money	
  in	
  our	
  public	
  elections.	
  Items	
  3-­‐7	
  on	
  this	
  list	
  are	
  
ones	
  attributable	
  to	
  PICO	
  National	
  Network.	
  

Page	
  15	
  of	
  16	
  

	
  
	
  
	
  
PICO	
  National	
  Network	
  is	
  a	
  network	
  of	
  45	
  faith-­‐based	
  community	
  organizations	
  in	
  17	
  states	
  
working	
  to	
  create	
  innovative	
  solutions	
  to	
  problems	
  facing	
  urban,	
  suburban	
  and	
  rural	
  
communities.	
  Nonpartisan	
  and	
  multicultural,	
  PICO	
  helps	
  people	
  and	
  congregations	
  translate	
  
their	
  faith	
  into	
  action.	
  With	
  more	
  than	
  1,000	
  member	
  institutions	
  representing	
  one	
  million	
  
families,	
  PICO	
  is	
  one	
  of	
  the	
  largest	
  community-­‐based	
  efforts	
  in	
  the	
  United	
  States.	
  Learn	
  more	
  at	
  
www.piconetwork.org.	
  
	
  
For	
  more	
  information,	
  contact	
  Heidi	
  Thompson	
  (hthompson@piconetwork.org).	
  
	
  
	
  
Public	
  Campaign	
  is	
  a	
  non-­‐profit,	
  non-­‐partisan	
  organization	
  dedicated	
  to	
  sweeping	
  campaign	
  
reform	
  that	
  aims	
  to	
  dramatically	
  reduce	
  the	
  role	
  of	
  big	
  special	
  interest	
  money	
  in	
  American	
  
politics.	
  Public	
  Campaign	
  is	
  laying	
  the	
  foundation	
  for	
  reform	
  by	
  working	
  with	
  a	
  broad	
  range	
  of	
  
organizations,	
  including	
  local	
  community	
  groups,	
  around	
  the	
  country	
  that	
  are	
  fighting	
  for	
  change	
  
and	
  national	
  organizations	
  whose	
  members	
  are	
  not	
  fairly	
  represented	
  under	
  the	
  current	
  
campaign	
  finance	
  system.	
  Learn	
  more	
  at	
  www.publicampaign.org.	
  	
  
	
  
For	
  more	
  information,	
  contact	
  Adam	
  Smith	
  (asmith@publicampaign.org).	
  

Page	
  16	
  of	
  16