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If you are still out there, DMILL, your
thoughtful comments from about 10 days ago from stuck in my
mind...anything you might care to contribute on the spec-built
sites in CA vis a vis the political opposition (State
Tmakder, I am still reading all the posts. In my
opinion, PZN's spec prisons are in trouble here in Calif.
You have to really understand the the power and
paranoia of the California Correctional Officers union.
They contributed bigs bucks to the govenor's and the
Attorney General's political campiagn. Both won and are in
debt to the union. The union is the most powerful
public employees union in the state. They are spreading
misinformation out to cities all over the state.
state budget was just passed with an appropreation of
325 millon bucks to build a new prison in Delano. A
lot of pressure to get that passed by the
The union is adamatly opposed to any private facility
over 500 beds. The spec prisons in Calif. are 1100
beds in Mendota and 2100 beds in California. They are
single and double cell living units. Very expensive to
build and operate. The California Dept of Corrections
are only issusing RFPs (Request for Proposals) to the
privatge sector for 500 bed facilities. Consequently, the
spec prisons do not meet the stringet RFP
stipulations. Thus, IMO, the spec prisons are out of the
running for any CDC contracts.
From what I heard
CCA came into California saying they might buy San
Quintin from the State and run it. This really paniced
the union and mobilized them into action against all
private companies. The size of the two spec prisons has
them worried that if CDC contracts with them it might
start the ball rolling to privatize all their prisons.
Kern County Sheriff, Carl
Sparks, is presently in discussions with CCA (PZN)
regarding the leasing of the California City facilty with
the prospect of trying to get contracts with other
county sheriffs to fill the facilty with county inmates
doing time or waiting for trial. Carl Sparks motivation
for doing this is the profit factor. He needs more
money to run his department. He feels that the profit
he could make on the above arrangement would solve
is money problems. He mentioned, in a newspaper
article a few days ago, that he understood the cost of
building the California City facility was 110 million. I
have heard the cost could be as high as 120 million.
Maybe someone ought to contant the Information Officer
at PZN and see if they can get the correct figures.
Knowing how the system works here in Calif. leads me to
believe that it will take many months for any type of
contract for the above arrangement to come to fruition, if
it does at all.
Mendota in is Frenso County.
A few months ago I attended a meeting which the
county sherrif and the county attorney conviened. They
were upset at CCA because they felt that CCA was
trying to jam the facilty down their throats. They felt
that CCA attitude was "we are here, get use to it".
Them folks didn't like that. Consequently, they are
the ones who brought up the issue to the State
CCA and WHC were the two major
players in bidding for the San Diego facility. I know
that WHC bids pretty close to the bone. CCA got the
contract. It might be a good project for some of you number
crouncers out there to see if you can find out how much, if
any profit CCA is making in that venture. I had heard
that CCA was determined to get into California at any
cost. I hope that determination didn't cause them to
"cut into the bone" on that paticular bid.
communicated in my earlier post, I think that there is money
to be made by buying this stock but my concern for
not doing so at present is because of the stones
hanging around CCA (PZN) neck here in Calif. I am waiting
to purchase some stock after I see what is the
outcome of the spec facilites here in
Tmaker, this is what I know at present. For all you spell
checkers out there, please excuse any mistakes. It is late
and I am tired.
For all you posters, realize
this, Cities, counties, and states are out of money to
build prisons and the prison population continues to
grow. They are going to have to come to the private
sector. Here in Calif. WHC has a good reputation with
CDC, however they are a little antsy about CCA at
present. I think it would be a good idea if PZN did a lot
of PR work in Calif.
Just read my two posts. Can't believe the
misspelled words. Oh well, the spell checkers will have a
field day <g>.
One final point I failed to
make regarding the RFPs that Calif. puts out to the
private sector. They are only for 500 bed DORMITORY style
living units. The PZN spec facilities are single and
double cell living units; thus they would be out of the
running. Also California does not want out of state
inmates unless they are feds and does not want the
private prison staff to have any access to guns. That is
why the RFP are for low custody level inmates. The
type of inmates you will generally find in fire camps
which are not under gun towers.
Thank you for your input. Your
clear and detailed description of the scenario in these
CA instances brings light where there was mostly
just noise, smoke, and mirrors. While it is not
particularly encouraging to see another example of PZN
management mishandling some of the 'human factors' by being
a bit heavy-handed in their dealings, it is no
Tailoring the product/service and the approach to regional
requirements should not be too much of a stretch. I agree with
your view about the semi-inevitability of private
facilities. Arrogance in presenting PZN capabilities
certainly seems to have alienated the folks we should be
cozying up to.
A 'service mentality' dictates a
better focus on meeting customers' needs. This is a
service business, in my mind, and the bricks and mortar
are not the same kind of product as Mrs. FIeld's
cookies, just to put on a shelf and wait for someone to
come and buy. Sometimes it seems they are selling the
service like insulin to a diabetic: "You need it, we have
it, come and get it!"
The good news is, there
is plenty of room for improvement, and Mike Q. has a
grand opportunity facing him. If CCA was doing the very
best it could, and maximizing every transaction to its
advantage, there would be little anyone could do to improve
operating results. This is certainly not the
Once again, thanks for your valuable insights. Lets
hope this can be turned into a vehicle you can safely
and confidently 'ride' to reap the benefits you seek,
and spoil those grand kids just one inch this side of