CoreCivic Signs New Contract with Mahoning County, Ohio, Northeast Ohio Correctional Center | 2021-05-28 | Press Releases
BRENTWOOD, Tennessee, May 28, 2021 (GLOBE NEWSWIRE) – CoreCivic, Inc. (NYSE: CXW) (the company) announced today that it has entered into a new three-year contract with Mahoning County, Ohio, to use up to 990 beds at the Northeast Ohio Correctional Center, which has 2,016 beds. Mahoning County is responsible for county inmates and federal inmates, and the county plans to use facilities in northeast Ohio to meet the needs of its people.
The new contract is scheduled to begin on May 31, 2021. In addition to providing the necessary capacity to Mahoning County, the company currently cares for approximately 800 inmates under a management contract with the State of Ohio. at the Northeast Ohio Correctional Center. The company will continue to operate the facility in accordance with the two contracts.
CoreCivic is a diverse government solutions company with the scale and experience to solve difficult government challenges in a flexible and cost-effective manner. CoreCivic provides a wide range of solutions to government partners who serve the public good through correction and detention management, a network of residential re-entry centers to help resolve America’s recidivism crisis and CloseCurlyQuote; and government real estate solutions. CoreCivic is the largest owner of residential penal, detention and re-entry facilities in the nation, and is believed to be the largest private owner of real estate used by government agencies in the United States. CoreCivic has been a flexible and reliable government partner for over 35 years. years. CoreCivic & CloseCurlyQuote; are driven by a deep sense of service, high standards of professionalism, and a responsibility to help government improve the public good.
This press release contains statements about our beliefs and expectations regarding the outcome of future events that are “forward-looking” statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties which could cause actual results to differ materially from the statements made. These include, but are not limited to, the risks and uncertainties associated with: (i) changes in government policy (including the United States Department of Justice, or DOJ, not renewing contracts as a result President Biden’s executive order on reforming our incarceration. System to Eliminate the Use of Private Criminal Detention Facilities) (two DOJ agencies, the United States Federal Bureau of Prisons and the United States Marshals Service, use our services), laws and regulations that affect the use of the private sector for corrections, detention and residential reintegration services, in general, or our business in particular, including, but not limited to, continued use of our correctional and detention facilities by the federal government, and the impact of any changes on immigration reform and sentencing laws (we do not, under a long-standing politics, lobbying for or against policies or laws that would determine the basis of, or ration of, an individual’s incarceration or detention & CloseCurlyQuote; (ii) our ability to obtain and maintain contracts for the management of correctional facilities, detention and residential reintegration for reasons such as, but not limited to, sufficient government funds, compliance with contracts, negative publicity and the effects of inmate disturbances; (iii) changes in the privatization of the prison and detention sector, the acceptance of our services, the timing of the opening of new facilities and the start of new management contracts (including the extent and pace at which new contracts are used), as well as our ability to use available beds; (iv) general economic and market conditions including, but not limited to, the impact government budgets may have on our contract renewals and renegotiations, per diem rates and occupancy; (v) fluctuations in our operating results due to, among other things, changes in occupancy rates, competition, renegotiations or terminations of contracts, increased operating costs, fluctuations in rates interest and operational risks; (vi) the duration of the federal government’s refusal to enter the southern border of the United States to asylum seekers and anyone crossing the southern border without proper documentation or authorization in an effort to contain the spread of COVID-19 ; (vii) government and staff responses to staff or residents who test positive for COVID-19 in public and private penal, detention and re-entry facilities, including facilities we operate; (viii) restrictions associated with COVID-19 that disrupt the criminal justice system, as well as government policies on prosecutions and newly ordered legal restrictions that affect the number of people placed in penal, detention and re-entry facilities; (ix) whether the revocation of our choice of REIT, effective January 1, 2021, and our revised capital allocation strategy can be implemented in a cost effective manner that delivers the expected benefits, including by facilitating our planned initiative debt reduction and expected return of capital to shareholders; (x) our ability to identify and complete the sale of additional non-core assets at attractive prices; (xi) our ability to identify and successfully exploit future development and acquisition opportunities and our ability to successfully integrate the operations of our completed acquisitions and achieve the resulting projected returns; (xii) increased costs of developing or expanding real estate properties that exceed initial estimates, or the inability to complete such projects on time due to various factors, many of which are beyond our control, such as effects and delays caused by, COVID-19, weather conditions, availability of labor and materials, working conditions, delays in obtaining legal approvals, unforeseen engineering issues , archaeological or environmental and cost inflation, resulting in increased construction costs; (xiii) our ability to identify and initiate service opportunities that were not available under our old REIT structure; (xiv) our ability to have satisfied and maintained our eligibility for REIT taxation during the years in which we have elected REIT status; and (xv) the availability of debt and equity financing on terms favorable to us, or not at all, including financing that we seek on behalf of the State of Alabama for the construction of two correctional facilities. Other factors that could cause operating results to differ from financial results are described in documents that we file from time to time with the Securities and Exchange Commission.
CoreCivic assumes no responsibility for updating any information in this press release after the date hereof to reflect events or circumstances occurring after the date hereof or the occurrence of unforeseen events or for any changes or modifications. made to this press release or to the information in this document by any third party, including, but not limited to, any wire or Internet services.
|Contact:|| Investors: Cameron Hopewell – Managing Director, Investor Relations – (615) 263-3024
Media: Steve Owen – Vice President, Communications – (615) 263-3107