I just put together a lengthy response, and somehow it didn't post. The bottom line is this...privatization companies like WHC can do it all from choosing the site, to financing the purchase and construction, to building the facility and running it in its entirety including food service and medical. In addition, they take responsibility for the facilities maintenance and assume whatever liabilities the government would have had otherwise.
With a quality operator like WHC, there's no question that there is a real savings vs government run. In addition, you have better quality facilities and, because of excellent training programs, better run facilities.
For example, look at Puerto Rico. The government run facilities are in turmoil because the gang members housed there are running the facilities. Puerto Rico's only hope if privatization, and they are slowly and, generally, successfully integrating that structure.
Privatization is here for good. Nearly all states are now involved in some form of transition. All we need to do is figure out how to get this sector back in favor with Wall Street. We're very close to a 52-week low. Good luck if you join us.