Loss of federal contract won't completely close privately operated Ohio prison

MarketsAssociated Press

A privately run prison in northeast Ohio won't close completely after the U.S. Bureau of Prisons pulls 1,400 offenders from the facility next year.

Tennessee-based Corrections Corporation of America learned Dec. 29 that it had lost its contract with the Bureau of Prisons to another private prison company. But CCA still has a contract with the U.S. Marshals Service to house prisoners awaiting trial in Youngstown that won't expire until at least 2018. A Marshals Service spokeswoman says there are more than 550 detainees at the Youngstown prison.

Continue Reading Below

About 400 people work at the prison. The mayor of Youngstown says the loss of any jobs will further strain the economically distressed city and region. He hopes CCA will save jobs by bringing in other prisoners.