LANSING (WKZO) -- The State of Michigan will not have private firms run a prison in the state due to cost issues.
The Michigan Department of Technology, Management, and Budget was ordered by the Legislature to request a cost breakdown to house nearly one-thousand male inmates. The inmates would come from three current facilities and go into one privately run facility or the closed state prison in Standish.
The state received two bids and both were significantly higher than what it would cost to have the Michigan Department of Corrections run the prison. However, some lawmakers say the state included long term legacy costs of state employees who would lose their jobs under a privatization plan. They contend those numbers skewed the actual cost projections.