State of Arizona Changes Methodology to Evaluate Cost Effectiveness of Privately-Run Prisons

December 25, 2006 State of Arizona Changes Methodology to Evaluate Cost Effectiveness of Privately-Run Prisons In February 2006, the Arizona Department of Corrections (ADC) changed its methodology used to compare the cost effectiveness of state and privately-run prisons. The new methodology has since revealed that the cost to run private prisons in the State is 8.5% to 13.5% higher than the cost of operating state-run prisons. The key change assigns costs historically associated with ADC to the private facility operators. The ADC commissioned MAXIMUS, Inc., a consulting firm, to serve as an independent evaluator and . . .