Compassion: Private For-Profit Prisons | Mesa City Council Seeking Approval on $3.6M Contract with Core Civic

The issue is back on-the-table this month and back in the news > RELATED CONTENT ON THIS BLOG FROM. 2017

19 May 2017

WATCH THIS Mesa Council Study Session Thu 18 May 2017

Mayor John Giles starts off with a stuttering and hesitant opening about current circumstances in reference to Councilmember Ryan Winkle's behavior with a presentation by the city attorney on the procedural options in the city's code, using the emotionally-tinged term 'impeachment' to help the public understand the process involved - he could have chosen another word to stay in keeping with the straight-forward language he recited afterwards.
 One item that's captured in the screen-shot with this post is for a review of what is on the City Council's agenda for Monday's meeting to approve or not approve tentative arrangements for making a deal with a corporation - Core Civic - for a private prison that [1] is highly questionable and [2] appears to be heavily promoted and encouraged by Interim Police Chief Mike Dvorak. The City of Mesa received a FOIA request from the American Civil Liberties Union asking for documents and records . . . More information about that can be found here .
Readers and viewers will note that District 2 Councilmember was the only one who spoke out against privatization.
See an article about the private prison contract  presentation and discussion here.
[Readers will note that the Core Civic representative who appears cannot answer questions or wants to dodge them completely. After the police department's presentation, opposition is expressed by three individuals from organizations with an interest in this pending item]

This study session's Agenda is in a previous post in this blog site earlier today with some notes and details for reference.

------------------------------------------------------------------------------------------------------------------------------

Mesa Police Department Hired 6 Additional Employees To Facilitate Private Jail Contract
By  Jimmy Jenkins, Mariana Dale

Published: Monday, April 2, 2018 - 9:54pm

Updated: Tuesday, April 3, 2018 - 8:04am

In a presentation to the Mesa City Council on Monday evening, Mesa Budget Director Candace Cannistraro said the Mesa Police Department added six new positions in the 2017-18 fiscal year to facilitate its private jail contract with Core Civic.
“With the contract for the jail services, there was an increased workload in our holding facility that we found during the year,” Cannistraro said. “There were needs there and so we re-allocated some of the savings from the jail costs over into the detention area.”. . .
The budget request submitted to the council Monday shows that the Police Department has hired five full-time detention officers and one full-time administrative support assistant to “support the holding facility and to provide safe and effective process for intake, housing, and transport of arrestees

 

------------------------------------------------------------------------------------------------------------------------------

The controversial topic of human rights, combined with evolving public sentiment and policy views on criminal justice reform, expose privately operated criminal detention facilities operators to ongoing social and governance risks, . .

Biden Order Hits Private U.S. Prisons’ Credit Ratings

By Davide Scigliuzzo

Bloomberg.com |

‎March‎ ‎24‎, ‎2021‎ ‎9‎:‎27 Updated on ‎March‎ ‎24‎, ‎2021‎ ‎16‎:‎15

For years, private U.S. prison companies have faced scrutiny from social justice advocates, politicians and investors. Now that the Biden administration is severing the federal government’s ties, the industry’s creditworthiness is taking a hit.

Geo Group Inc. and CoreCivic Inc. -- the nation’s largest operators of private detention facilities -- citing growing questions about the outlook for the companies’ profits and concerns over their ability to refinance debt. A few hours later, Moody’s Investors Service took similar actions on both companies.

The review was prompted by President Joe Biden’s executive order in January that instructed the Department of Justice not to renew contracts with private prisons. These deals accounted for about 27% of Geo’s revenue and 24% of CoreCivic’

Both companies have seen their financing options dwindle in recent years, after major investment banks pledged to cut ties with private prison operators and as money managers face increased pressure to incorporate environmental, social and governance criteria into their investment selection.

-------------------------------------------------------------------------------------------------------------------------------

CoreCivic clobbered on debt sale, rival’s news

Prison operator raises $450M to pay down other notes

authors Geert De Lombardi

Shares of private prison operator CoreCivic lost 17 percent of their value Wednesday after the company said it was raising debt and the leaders of its largest peer said they are suspending their dividend payments

.

Brentwood-based CoreCivic said early in the day it planned to raise $400 million in debt. Around the same time, executives of rival GEO Group said they are halting quarterly dividend payments and evaluating the company’s status as a real estate investment trust. (CoreCivic moved on from its tax-friendly REIT structure several months ago.) Both companies are facing the loss of several federal contracts in coming years after the Biden administration’s Department of Justice said it would not renew deals.

CoreCivic shares (Ticker: CXW) fell 5 percent out of the gate Wednesday after closing the previous afternoon at $9.05. But they slid steadily for another 90 minutes on heavy volume, and while investors bid them up slightly in the ensuing hours, they ended the day at $7.51, only slightly above session lows.

The drop erased a month’s worth of gains for the stock, which has a 52-week low of $5.76 and is down more than 30 percent year over year.

In addition to pressure from D.C., CoreCivic and GEO also are having to deal with a financial sector no longer as interested in funding their work. (Although pledges to stop financing the private prison sector have their limits, Bloomberg reported last week.)

Investors also are asking for a juicier return to commit their money:  Late on Wednesday, CoreCivic execs said their $400 million debt plan had grown to $450 million — but that the company is pricing its five-year notes at 99 percent of their face value and setting their interest rate at 8.25 percent

 

-------------------------------------------------------------------------------------------------------------------------------

More

More OIG Finds Health, Safety, and Rights Violations at Arizona Detention Center Used by ICE

April 8, 2021 Bridget Johnson

Office of Inspector General investigators who reviewed a private facility housing Immigration and Customs Enforcement detainees said they found health and safety violations including inadequate pandemic control measures, slow medical care, and complaints of an abusive environment. . .LPCC, which is owned by Tennessee-based private-prison operator CoreCivic, began housing detainees at the site in 2018.

The facility, with a maximum pre-COVID capacity of 3,240, had an average daily population of 978 male detainees in fiscal year 2020.

------------------------------------------------------------------------------------------------------------------------------

TOP STORY

 

Bloomberg.com

Biden Order Hits Private U.S. Prisons' Credit Ratings

S&P, Moody's both downgraded Geo, CoreCivic on Wednesday · President told DOJ to sever ties with private prison operators ...

3 weeks ago

 

------------------------------------------------------------------------------------------------------------------------------

More

Barclays had joined banks vowing to halt financing to industry            

Bank underwriting bonds to build two CoreCivic-owned prisons

Barclays Bond Deal Shows Limits to Vow on Financing Prison Firms

By Amanda Albright  and Danielle Moran    

‎April‎ ‎2‎, ‎2021‎ ‎16‎:‎24 

 

Bloomberg.com |

‎April‎ ‎2‎, ‎2021‎ ‎16‎:‎24                                        

Two years ago, Barclays Plc joined a chorus of major banks announcing that they would no longer provide new financing to private prison companies, whose model of profiting from incarceration has drawn controversy for years.

But the bank is now poised to raise $634 million for Alabama lockups to be built and owned by carceral giant CoreCivic Inc.

Barclays is the lead underwriter for a bond issue scheduled to be sold through the Public Finance Authority, an agency in Wisconsin set up to rent its access to the municipal-debt market. In this case, the debt is being sold on behalf of an entity fully owned by Tennessee-based CoreCivic. The proceeds will be used to build two new prisons to be leased and staffed by the Alabama Department of Corrections.

While Barclays isn’t directly lending to CoreCivic, the bond deal illustrates just how entangled private prison companies remain in the financial system and the limits to banks’ pledges to avoid them. . .

Alabama Department of Corrections Commissioner Jeff Dunn said in a statement in February that the facilities would provide a safer environment to deliver “effective, evidence-based rehabilitative programming” to people who are incarcerated.

“Leasing, staffing, and operating modernized prison infrastructure that is owned and strictly maintained by the private sector minimizes our short- and long-term risk for an initiative of this necessary magnitude,” he said.

— With assistance by Davide Scigliuzzo

----------------------------------------------------------------------------------------------------------------------------

More

 

                                        

    

Scientists find “strong evidence” for new mystery sub-atomic force of na...

ZOOM REMOTE: Tentative Agenda Mesa City Council Mon 04.19.2021

One week ahead of time:

City Council Meeting Agenda - Tentative Monday, April 19, 2021 5:45 PM 

It was printed on 04.08.2021

CITIZEN PARTICIPATION 

All citizens are permitted and encouraged to speak on agenda items including and preceding “Items from citizens present." Public participation is available electronically. 

If you want to provide a written comment or speak telephonically at the meeting, please submit an online comment card by going to Mesaaz.gov/bluecard at least 1 hour prior to the start of the meeting. 

-----------------------------------------------------------------------------------------------------------------------

BLUE CARD > Online Meeting Comment Card

https://www.mesaaz.gov/government/city-council-meetings/online-meeting-comment-card 

-----------------------------------------------------------------------------------------------------------------------

--------------------------------------------------------------------------------------------------------------------------------------------------------

Council Meeting Notice: 

To decrease COVID-19 exposure, the City Council Chambers is closed, but public participation and viewing will be available electronically. 

Members of the City Council will appear electronically for this meeting, via a video conferencing platform. 

Because of the current public health emergency, the City Council Chambers is closed for Council Meetings. 

> For help with the online comment card, or for any other technical difficulties, please call 480- 644-2099.

----------------------------------------------------------------------------------------------------------------------------------------------------------

https://mesa.legistar.com/Calendar.aspx

Mayor's Welcome 

Roll Call (City Council members participate in person or via electronic means.) 

Invocation by Umbreen Kazmi with Islamic with Education Foundation of Arizona. 

Pledge of Allegiance 

Awards, Recognitions and Announcements 

1 Take action on all consent agenda items 

Items on the Consent Agenda *2 

21-0424 Approval of minutes of previous meetings as written

3 Take action on the following liquor license applications:

4 Take action on the following contracts: selected contracts

21-0342 Two-Year Term Contract with a One Year Renewal Option for Four Remote Observation Platforms (Additions) for the Mesa Police Department (Citywide) 

This contract will provide remote observation platforms with cameras that are entirely solar and can be positioned in any part of the City with short notice. They provide the ability for one officer to have a visual on many areas at one time. 

This equipment will be used to increase police presence in multiple places, monitor high crime areas, and help identify a significant event versus an innocuous gathering. The recorded video will assist in researching crimes and providing evidentiary information. 

The Police Department has requested the initial purchase of four systems. The Department has requested the annual contract amount for additional systems should funding be identified. 

An evaluation committee recommends awarding the highest scored proposal response from Air Comm Corporation, dba Air Comm, at $300,000 annually, with an annual increase allowance of up to 5%, or the adjusted Producer Price Index. *4-c 

21-0396 One-Year Renewal to the Term Contract for Private Jail Services for the Mesa Police Department (Citywide) 

This contract provides jailing services of misdemeanor offenders including booking, transportation, and maintenance and operations of temporary housing. 

CoreCivic provides feeding, care and treatment, necessary medical care, and applicable social service programs. Subjects who have been arrested and waiting for an initial court appearance before a Mesa City Magistrate, are held in the Mesa Police Department's holding facility for no longer than twenty-four hours. Subjects who have been arrested on misdemeanor charges, or have been ordered to remain in-custody by a judge, are transported by CoreCivic to their facility in Florence. 

City staff and Purchasing recommend authorizing the one-year renewal with CoreCivic, Inc., at $3,600,000.

_____________________________________________________________________________________

5 Take action on the following resolutions: LET'S LOOK AT THESE FIRST 

21-0292	5-i	Resolution	Approving and authorizing the City Manager to enter into an Overhead Overlash Facilities Maintenance Agreement with Qwest Corporation, dba CenturyLink QC, for a term of twenty years. (Citywide)			Not available
21-0344	5-j	Resolution	Setting May 17, 2021 as the public hearing date to review the proposed FY2021/2022 annual assessments for the Mesa Town Center Improvement District No. 228. The proposed final assessments do not include any rate increases. (District 4)			Not available
21-0402	5-k	Resolution	Approving the purchase of, and authorizing the City Manager to enter into Purchase Power Agreements for a year-round supply of 15 megawatts of firm electric power and associated energy for the City's electric distribution utility for a period up to 5 years. (Districts 1 and 4)			Not available
21-0312	5-l	Resolution	Approving and authorizing the City Manager to enter into an Intergovernmental Agreement with the Arizona Department of Transportation, the Maricopa Association of Governments for Advance Construction Authorization and reimbursement for the Signal Butte Road: Williams Field Road to Germann Road; Arterial Life Cycle Program (ALCP) project. (District 6)			Not available
21-0323	5-m	Resolution	Approving and authorizing the City Manager enter into a 2021 Contract 207 Fund with the Arizona Governor’s Office of Highway Safety to accept $258,540 in grant funds. The funds will be used by the Police Department’s Forensic Services Division to purchase a Triple Quadrupole Mass Spectrometer. (Citywide)			Not available
21-0226	5-n	Resolution	Authorizing the issuance and sale of General Obligation Refunding Bonds, Series 2021, not to exceed $17,675,000. (Citywide)			Not available
21-0227	5-o	Resolution	Authorizing the issuance and sale of General Obligation Bonds, Series 2021, not to exceed $20,070,000. (Citywide)			Not available
21-0228	5-p	Resolution	Authorizing the issuance and sale of Utility Systems Revenue Refunding Bonds, Series 2021, not to exceed $53,950,000. (Citywide)			Not available
21-0229	5-q	Resolution	Authorizing the issuance and sale of Utility Systems Revenue Bonds, Series 2021, not to exceed $43,235,000. (Citywide)			Not available
21-0230	5-r	Resolution	Authorizing the sale, execution and delivery of Utility Systems Revenue Obligations, Series 2021, not to exceed $16,765,000. (Citywide)

and skip ahead

6 Introduction of the following ordinances and setting May 3, 2021 as the date of the public hearing on these ordinances: 

21-0368 ZON20-00877 (District 1) 

Within the 2400 block of North Old Gilbert Road (east side) and within the 2000 block of East Hermosa Vista Drive (north side). Located south of the 202 Red Mountain Freeway and east of Gilbert Road (4.55± acres). 

Rezoning from RS-35 to RS-15-BIZ. 

This request will allow for the development of a single residence subdivision. Jared Cox, Vist Design Group, LLC, applicant; Brent /Deborah Berge, owner. Staff Recommendation: Approval with conditions P&Z Board Recommendation: Approval with conditions (Vote: 7-0) 

*6-a 

File #:

21-0368

Type:

Ordinance

Status:

Agenda Ready

In control:

City Council

On agenda:

4/19/2021

Title:

ZON20-00877 (District 1)  Within the 2400 block of North Old Gilbert Road (east side) and within the 2000 block of East Hermosa Vista Drive (north side).  Located south of the 202 Red Mountain Freeway and east of Gilbert Road (4.55± acres).  Rezoning from RS-35 to RS-15-BIZ.  This request will allow for the development of a single residence subdivision.  Jared Cox, Vist Design Group, LLC, applicant;  Brent /Deborah Berge, owner.  Staff Recommendation:  Approval with conditions P&Z Board Recommendation:  Approval with conditions (Vote: 7-0)

Attachments:

1. Staff Report, 2. Ordinance, 3. Ordinance Map, 4. Vicinity Map, 5. Site Plan, 6. P&Z Minutes, 7. Submittal Documents

(City of Mesa Page 6 Printed on 4/8/2021 City Council Meeting Agenda - Tentative April 19, 2021 )

21-0379 Amending Mesa City Code Title 10, Chapter 8, Section 1 entitled “Refusal to Furnish Information or Sign Citation” to clarify that civil traffic violators are required to provide full name and date of birth to a citing officer. (Citywide)

*6-b

File #:

21-0379

Type:

Ordinance

Status:

Agenda Ready

In control:

City Council

On agenda:

4/19/2021

Title:

Amending Mesa City Code Title 10, Chapter 8, Section 1 entitled “Refusal to Furnish Information or Sign Citation” to clarify that civil traffic violators are required to provide full name and date of birth to a citing officer. (Citywide)

Strategic initiatives:

Quality of Life

Attachments:

1. Council Report, 2. Ordinance

_____________________________________________________________________________________________

7 Discuss, receive public comment, and take action on the following ordinances: 21-0310 Amending Title 6 of the Mesa City Code (Police Regulations) by repealing Chapter 10, entitled “Public Park Regulations,” in its entirety, and replacing it with a new Chapter 10, entitled “Public Park Regulations,” establishing permitting requirements and regulations for events that take place in parks and clarifying provisions which regulate certain activities in parks, including those provisions regarding business activities, camping, fishing, animals, vehicles, spirituous liquor, and dumping or leaving items in parks. (Citywide) *7-a 21-0294 ANX20-00463 (District 6) Annexing a portion of South 222nd Street and East Williams Field Road right-of-way. Located within the 6000 block of South 222nd Street and within the 10500 to 11000 blocks of East Williams Field Road (6.74± acres). *7-b 21-0295 ANX20-00464 (District 6) Annexing a portion of South Meridian Road right-of-way. Located within the 6000 to 6400 blocks of South Meridian Road (2.5± acres). *7-c 21-0282 ZON20-00628 (District 5) Within the 3600 to 3800 blocks of East McLellan Road (south side). Located north of Brown Road and east of Val Vista Drive (9.4± acres). Rezoning from Agriculture (AG) to RS-35-PAD. This request will allow for the development of 2 single-residence subdivisions. Jared Cox, Vista Design Group, LLC, applicant; Heritage Group LP, owner. Staff Recommendation: Approval with conditions P&Z Board Recommendation: Approval with conditions (Vote: 7-0) *7-d 21-0283 ZON20-00841 (District 1) Within the 2100 block of East Menlo Circle (both sides) and within the 2100 block of East Hermosa Vista Drive (north side). Located south of the 202 Red Mountain Freeway and east of Gilbert Road (2.08± acres). Rezoning from RS-35 to RS-15. This request will allow for the development of a single residence subdivision. Michael Stephan, applicant; Brent/Deborah Berge, owner. Staff Recommendation: Approval with conditions P&Z Board Recommendation: Approval with conditions (Vote: 6-0) *7-e City of Mesa Page 7 Printed on 4/8/2021 City Council Meeting Agenda - Tentative April 19, 2021 21-0284 ZON20-00842 (District 6) Within the 11100 to 11600 blocks of East Pecos Road (south side), within the 11100 to 11600 blocks of East Germann Road (north side), and within the 6800 to 7600 blocks of the South Meridian Road alignment (west side). Located west of the Meridian Road alignment, south of Pecos Road and north of Germann Road (229± acres). Modification to the existing Bonus Intensity Zone (BIZ) Overlay; and Site Plan Review. This request will allow development of new industrial buildings within the existing industrial development on the site. Andy Sarat, CMC, applicant; Commercial Metal Company, owner. Staff Recommendation: Approval with conditions P&Z Board Recommendation: Approval with conditions (Vote: 7-0) *7-f 

Items not on the Consent Agenda 8 

Discuss, receive public comment, and take action on the following ordinance: 

21-0158 ZON20-00538 (District 1) 

Within the 1200 to 1400 blocks of West Bass Pro Drive (south side) and the 1100 block of North Alma School Road (west side). Located south of the 202 Red Mountain Freeway on the west side of Alma School Road 

(30.9± acres). 

Modification to the Planned Area Development (PAD) Overlay on the property to amend condition #1 of Ordinance No. 4847 to allow development of a new office building and parking garage within an existing office development. Michael Edwards, The Davis Experience, applicant

Salt River Point, LL LLC, owner. 

Staff Recommendation: Approval with conditions 

P&Z Board Recommendation: Approval with conditions (Vote:6-0) 8-a 

9 Items from citizens present. (Maximum of three speakers for three minutes per speaker). 

10 Adjournment.¹

_____________________________________________________________________________________________

5 Take action on the following resolutions: PASS-THROUGH GRANTS Items *5-a > *5-h

21-0369	5-a	Resolution	Authorizing and supporting the submittal of a grant application by Arizona Burn Foundation to the Fort McDowell Yavapai Nation in the amount of $25,000, and authorizing the City Manager to accept and administer subsequent awarded funds as a pass-through grant.			Not available
21-0370	5-b	Resolution	Authorizing and supporting the submittal of a grant application by Child Crisis Arizona to the Fort McDowell Yavapai Nation in the amount of $15,000, and authorizing the City Manager to accept and administer subsequent awarded funds as a pass-through grant.			Not available
21-0371	5-c	Resolution	Authorizing and supporting the submittal of a grant application by Gene Lewis Boxing Club and Youth Center to the Fort McDowell Yavapai Nation in the amount of $7,500, and authorizing the City Manager to accept and administer subsequent awarded funds as a pass-through grant.			Not available
21-0372	5-d	Resolution	Authorizing and supporting the submittal of a grant application by Mesa United Way's Veteran's Resource Center to the Fort McDowell Yavapai Nation in the amount of $30,000, and authorizing the City Manager to accept and administer subsequent awarded funds as a pass-through grant.			Not available
21-0373	5-e	Resolution	Authorizing and supporting the submittal of a grant application by Save the Family Foundation of Arizona to the Fort McDowell Yavapai Nation in the amount of $10,000, and authorizing the City Manager to accept and administer subsequent awarded funds as a pass-through grant.			Not available
21-0374	5-f	Resolution	Authorizing and supporting the submittal of a grant application by Child Crisis Arizona to the Ak-Chin Indian Community in the amount of $15,000, and authorizing the City Manager to accept and administer subsequent awarded funds as a pass-through grant.			Not available
21-0375	5-g	Resolution	Authorizing and supporting the submittal of a grant application by Gene Lewis Boxing Club and Youth Center to the Ak-Chin Indian Community in the amount of $17,500, and authorizing the City Manager to accept and administer subsequent awarded funds as a pass-through grant.			Not available
21-0376	5-h	Resolution	Authorizing and supporting the submittal of a grant application by Save the Family Foundation of Arizona to the Ak-Chin Indian Community in the amount of $50,000, and authorizing the City Manager to accept and administer subsequent awarded funds as a pass-through grant.

 

Ray Dalio Explains Why America is Entering A Horrific Financial Crisis

What’s Wrong with This Picture 2021 - SNL