Two examples of vendors who wrongly bet that incarceration rates would remain high and now are abandoning ship in the face of actual or perceived de-incarceration trends:
The latter item includes this happy explanation why the misnamed private-prison company Community Education Centers is pulling of the Bowie County Jail when its contract ends next year:
In a letter to Bowie County Judge Sterling Lacy, Michael Peletier, Senior Vice President of CEC, said, “Our obligation to manage this agreement will therefore conclude February 13, 2013.”
Lacy said he received a phone call after receiving the letter and the caller informed Lacy that CEC “just could not turn a profit there anymore which kind of makes sense because we don’t have many contract beds to start with and we have been working for two years to reduce our own jail population. The income is so thin and they don’t see that changing in the next two years. They don’t see Harris County or the state of Texas or anybody putting prisoners out contracts in the future and I think that all contributed to it.”
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