(AP) – An Arkansas legislative panel has rejected a disputed
$160 million contract with an Indiana company to take over the operation of
seven youth lockup facilities in Arkansas.
The Arkansas Democrat-Gazette reports the panel voted Tuesday to not review
the Department of Human Services' contract with Youth Opportunity Investments
LLC, which is set to take over the facilities Jan. 1.
Lawmakers questioned the 58 percent increase in per-bed cost to run the
facilities.
The two companies that have run the facilities for years and lost the contract
bid have also challenged the state's intention to work with Youth Opportunity.
The panel could take up the contract for final review Friday. If the contract
isn't on Friday's agenda or is rejected again, the services could be provided
through a short-term sole source contract to ensure the youth facilities remain
open.
$160 million contract with an Indiana company to take over the operation of
seven youth lockup facilities in Arkansas.
The Arkansas Democrat-Gazette reports the panel voted Tuesday to not review
the Department of Human Services' contract with Youth Opportunity Investments
LLC, which is set to take over the facilities Jan. 1.
Lawmakers questioned the 58 percent increase in per-bed cost to run the
facilities.
The two companies that have run the facilities for years and lost the contract
bid have also challenged the state's intention to work with Youth Opportunity.
The panel could take up the contract for final review Friday. If the contract
isn't on Friday's agenda or is rejected again, the services could be provided
through a short-term sole source contract to ensure the youth facilities remain
open.
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