The Real Cost of Prisons Weblog

"We are elated ... finally someone will investigate them," he said. "The board is not calling off anything, but to me, like the DOC, why hasn't Ault pulled out on our contract with them? They're not truthful, not honest from the beginning ... Now, we don't feel alone. We will continue our own fight, it just feels like we're being assisted by the DOC."

The contract was canceled for the Pueblo prison after concern about Geo's lack of progress on the project.

The corrections department said that after four years, the company failed to respond to inquiries from them and failed to break ground on the Pueblo facility.

In Ault, the state awarded the GEO Group the right to build a 1,500-bed medium security men's prison on 40 acres in the southeast part of town. Despite the initial discussions, there still are no final decisions on the Ault proposal.

Ault Mayor Brad Bayne said the department's decision about the Pueblo facility won't change what's happening in Ault.

"The town hasn't changed its views on this," he said.

He said for the prison to be built in the town, there has to be a guarantee from the state, a negotiation between the town and the GEO Group that makes sense and a vote of residents to approve the plans.

Town officials haven't heard from a GEO Group representative since September when GEO hosted a public forum answering questions from residents, he said. "... We're in a holding pattern until the state guarantees the matter," he added.

The plan first came to light at the end of May when the GEO Group gave a proposal to the Ault Town Board. According to meeting minutes, representatives from GEO said the project would be funded through a local government bond, where the state pays the local government, which then pays GEO. They said the facility would house 1,500 beds, but the request for proposal on the project would allow up to 2,250 beds.

To fight the project, Citizens Against Ault Prison demanded an injunction on the town's code which will require a vote of residents to decide the fate of the prison. The injunction, which was signed by 297 voters, was approved by board members in November.

Although Ault's prison proposal hasn't had discussion on the construction phase, one issue remains the same: The lack of a guaranteed head count the GEO has requested from the corrections department. The state normally pays private facilities on a per-person basis.

"GEO asked for a bed guarantee," said Alison Morgan, director of private prisons for the Colorado Department of Corrections. "... Historically, the state has not provided a guarantee."

Ault residents have been divided on having the prison come to town. One group says the prison will help the town survive with increased tax revenues, jobs and housing developments. Others do not trust GEO or town board members and worry their voices are not being heard.

They are not the only ones who don't trust the GEO Group. Rep. Buffie McFayden, D-Pueblo, questioned why GEO Group was awarded a contract to build a facility in Ault when the same company had failed to perform under the Pueblo contract since 2003.

An audit performed by the Legislative Audit Committee questioned Nolin Renfrow, a former top official for the state corrections department, when he helped GEO Group win a state contract earlier in the year.

Renfrow is handling the discussions and deals with the town of Ault. The audit states Renfrow was helping GEO Group get a contract for a private prison in Ault while he was still employed by the state. The Ault project is expected to cost up to $100 million, and Renfrow would get a 1 percent fee or up to $1 million from the deal.

McFadyen questioned why the department was even considering a GEO request of giving them a written guarantee that the new beds would be filled, something the state has never provided to any of the five other existing private prisons in the state. While the talks of the prison facility are still ongoing, the recent news stories have taken a toll on the issue in Ault. GEO representatives did not return calls.

"In my own personal opinion, it doesn't look good for GEO," said Mayor Bayne. "... But I don't get too wrapped up when reading on the Pueblo issue or about Nolin. All that needs to play out. We only know as much as it is in the paper."

MORE ONLINE
To see the Department of Corrections letter to GEO Group log online at www.greeleytribune.com.

http://www.greeleytrib.com/article/20061226/NEWS/112250091