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November 21, 2005
MS: Prison's Economic Impact Difficult to Track
Prison's economic impact difficult to track
By Stewart Smith / staff writer
Saturday, November 19, 2005 10:44 PM CST
It's the mid-1990s. The number of inmates in Mississippi's penal system is increasing, and state officials need to build more prisons - or contract with private companies to build more prisons. Meanwhile, Lauderdale County and Meridian officials are looking for ways to improve the local economy and create jobs.
It seemed like a good match. The state needed a place to build a prison and Lauderdale had a readily available workforce and land that needed no rezoning.
When city and county officials began putting together a proposal, they hoped the new prison would provide an influx of jobs that would only increase over time.
They also hoped it would help Naval Air Station Meridian. New U.S. Navy regulations prohibited student pilots from performing maintenance tasks at the base. It was hoped that non-violent prisoners could do some of the work - saving the base $300,000 to $500,000.
The Wackenhut Corp., now The Geo Group Inc., won the contract to build and operate East Mississippi Correctional Facility in southwest Lauderdale County's Lost Gap community. The facility accepted its first prisoners in April 1999.
Measuring outcomes
District 2 Supervisor Jimmie Smith said the initial estimate was that the facility would create up to 350 jobs. It currently employs 220 people in positions ranging from security officers to medical staff to administrators.
The partnership between the Navy base and the prison never happened, according to Susan Junkins, public affairs officer at NAS Meridian.
But Hank Florey, former District 1 supervisor who supported the facility during the initial votes, said the prison has delivered the boost local officials envisioned.
“The initial economic impact was around $5.5 million..., and that's back when it was only a 500-bed facility,” Florey said.
“It provides a lot of jobs, and it also has a lot of visitors, who in turn sleep in our hotels, eat in our restaurants and shop in our stores. It brings a lot of money into our community.”
Florey's optimism isn't completely shared by others. Some local hoteliers said they haven't noticed any significant increase in their business.
“To the best of my knowledge I have seen no impact that it has made to my business,” said David Hamilton, owner of the Best Western in Meridian.
Ray Joyner, manager of the Howard Johnson motel in Meridian, concurred: “I can't tell any difference in business. It certainly doesn't seem any different, but I wouldn't call it a major tourist attraction or industry, either.”
This could be due to the fact that, according to Darryl Anderson, interim warden at East Mississippi Correction Facility, the prison averages only four visitors a month.However, Hamilton said keeping tabs on where his guests come from isn't easy.
“There is really no way to track where people are coming from. If someone does check in to my hotel, they aren't going to tell me they are off to visit an inmate,” Hamilton said. “So it could have had an Hamilton also spoke of his personal experience in visiting prison inmates - an overnight stay or a shopping trip isn't usually on the agenda.
“When I went to go visit someone up at Parchman, we weren't going there to spend the night, it was going to be a day trip,” Hamilton said.
“We got up early in the morning, went there and then came back. We might have gone to a fast food restaurant or something, but we certainly weren't going to be spending any time hanging around there.”
State perspective
Wayne Gasson, chief of labor market information with the Mississippi Department of Employment Security, said given the relatively small number of jobs available, it is hard to gauge the prison's economic impact.
“If a facility like this one opened or closed, it would be significant to the people that worked there - but as far as it impacting an entire area, it probably isn't going to have much of an impact,” Gasson said.
“Plus, when you have an employer come in, that rate of employment is based on the county and its residents. But in the case of that facility, you might have people from Alabama or other areas that work there and it would not be reflected in Lauderdale.
“But it really is hard to pin down. The only exception is when a really big employer comes around, like a casino on the Gulf Coast, and you can actually see a big change.”
Bright spots
Ambiguity may cloud the exact economic impact, but at least one local business has no trouble measuring success.
Spaceway Truck Plaza - on Highway 80 just off Interstate 20 and fewer than 150 yards from East Mississippi Correctional Facility - opened in March 2001. Clerks there see a daily stream of customers in beige uniforms bearing The Geo Group Inc.'s logo, grabbing a cup of coffee or a plate lunch.
“There are no downsides to having it near us,” said Richard Lewis, general manager of Spaceway Truck Plaza.
“We get business out of them on a regular basis. We certainly appreciate their trade and we certainly haven't had any problems with any of the employees. It has been very good for the location.”
Supervisor Jimmie Smith added that, while the prison has admittedly not flooded the market with jobs, what it does offer should not be sneered at.
“What we have to remember is that we cannot discount any work that comes here. Jobs are jobs,” Smith said.
“Yes, jobs that produce tangible products are going to immediately bring more money that will stay in the community. But regardless, even with a service industry like the prison, it is important on any level.
“Even if the money is not going right back into the county, it is still providing an opportunity to feed a family and take care of them when they are sick and that is important on any level. Diversity is a very good quality in economic development and that is what we have here.”
LOST GAP JOBS
The East Mississippi Correctional Facility at Lost Gap employs 220 people. Interim Warden Darryl Anderson reports that the annual turnover rate at the facility is 65 percent. Here's a look at positions available and their hourly pay range.
Security posts $7-$10.95
Clerical staff $7-$10
Food service $7-$15.35
Program staff $11.06-$18.45
Maintenance staff $9-$17
Medical staff $7.35-$20.95
http://www.meridianstar.com/articles/2005/11/20/local_news/news_stories/a1-prison.txt
Posted by lois at November 21, 2005 12:02 PM