Tuesday, January 4, 2011

Contract Issues

The auditor for the state of Hawaii just released a nearly 80-page report blasting the state's interactions and contract with Corrections Corporation of America to house Hawaiian prisoners in facilities in Arizona. Among the findings:

The contract all but eliminated competitive bidding for the procurement of future contracts, ensuring all the state's privatized corrections dollars would flow directly into CCA's coffers.

CCA was essentially treated as a governmental agency rather than a private company seeking to make a profit, which is both factually inaccurate and laughably ironic, considering CCA spends millions of dollars lobbying against legislation that would simply force it to adhere to the same levels of oversight as government agencies.

Cost analyses of the contract have been fatally flawed by artificial cost figures based on a flawed methodology

And that management (of CCA) is basically "indifferent to the needs of policymakers and the public for accurate and reliable cost information"

The audit was so damning in fact that the auditor called for the authority of the Department of Public Safety to award contracts to be suspended.

I hate you, CCA


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