MTC disappointed at losing Texas correctional contract

CENTERVILLE — Management & Training Corp. is expressing disappointment that the Texas Department of Criminal Justice has opted to award four of its correctional facility contracts to the lowest bidder instead of retaining MTC.

The department said Friday that Centerville-based MTC's operational contracts will not be renewed at the facilities. MTC had received $60.8 million annually for managing the 5,214 total beds there.

MTC said the action will result in a short-term 12 percent loss in company revenues.

The department's awarding of the contacts to the lowest bidder does not give "proper consideration to the outstanding operational performance and critical rehabilitation success that all four facilities have demonstrated," MTC said, adding that the contracts saved Texas $30 million to $35 million in operational costs over the past five years.

MTC continues to operate 12 other correctional facilities in California, Arizona, New Mexico, Texas, Ohio, Canada and Australia. The company also operates 23 Job Corps centers for the U.S. Department of Labor.