Full Description

Cornell Companies, Inc. (Cornell), incorporated in 1996, provides correction, detention, education, rehabilitation and treatment services for adults and juveniles. The Company’s customers include the Federal Bureau of Prisons (BOP), United States Marshals Service (USMS), various state Departments of Corrections, and city, county and state departments of human services and similar agencies. Cornell offers services in structured and secure environments throughout three operating divisions: Adult Secure Services, Abraxas Youth and Family Services, and Adult Community-Based Services. As of December 31, 2008, it operated 68 facilities among the three divisions, representing a total operating service capacity of 19,875. The Company also had one facility that was vacant, representing additional service capacity of 70. Its facilities are located in 15 states and the District of Columbia.

Adult Secure Services

The Company provides low- to maximum-security incarceration and detention services. In doing so, Cornell ensures public safety through the operation of a physically secure environment, which entails, among other security and safety measures, a routine patrol of the premises by trained correctional officers, alarmed fencing and razor wire and centralized monitoring of activity via closed circuit camera systems. While incarcerated, offenders are offered a range of educational, counseling and vocational programs aimed at providing a successful return to the community and a subsequent reduction in recidivism.

As of December 31, 2008, the Company operated 10 adult secure facilities with an aggregate service capacity of 12,841. Within the division, Cornell offers low- to maximum-security incarceration and detention; confinement of juveniles adjudicated as adults; facility design, construction and operation; use of modern security technology, including electronic controls and surveillance equipment; education courses, including preparation and testing for the general educational development (GED), English as a Second Language classes, and adult basic education (ABE); holistic healthcare services, including medical, dental, vision, psychiatric, and individual and group counseling services; substance abuse counseling; life skills training, including anger management, hygiene, personal finance, employment and housing issues, and parenting skills; religious opportunities and culturally sensitive programs; food and laundry service, and recreational activities, including exercise programs.

Abraxas Youth and Family Services

Cornell provides an array of services to youth between the ages of 10 and 18 in residential and community-based settings. The programs and services provided at its facilities are designed to rehabilitate juveniles, hold them accountable for their actions and behaviors, and help them reintegrate back into the community. An underlying principle of the Company’s juvenile programming is the balanced and restorative justice (BARJ) model, which provides a restorative component to the victim, be it an individual, family, or community. The use of the BARJ model, in connection with its Seven Key Principles of Care, emphasizes accountability, competency development and community protection.

As of December 31, 2008, the Company operated 17 residential facilities and 10 non-residential community-based programs within its Abraxas division, representing operating service capacity of 3,237. Cornell also had one vacant facility with a service capacity of 70. Within the division, it offers diverse treatment settings, including physically secure, staff-secure, and community-based; specialized treatment for populations, including females, drug addicts, sex offenders, fire starters and families; accredited alternative and special education services; wilderness training programs and nationally accredited ropes course challenges; individualized treatment planning and case management; individual, group and family counseling and therapy, cognitive behavior therapy and stress and anger management instruction; substance abuse counseling and treatment, relapse prevention and education; life skills training, including hygiene, personal finance, employment and housing issues, and parenting skills; holistic healthcare services, including medical, dental, behavioral health and psychiatric services, and recreational activities, including exercise programs.

Adult Community-Based Services

Community-based corrections services involve the supervision of adult parolees and probationers. Parolees are persons who have served time in a correctional facility and have been released due to either mandatory conditional release or a parole board decision. Probationers have been charged with a crime but sentenced to probation in lieu of incarceration. Services provided to parolees and probationers include temporary housing, employment assistance, anger management instruction, personal finance management training, academic opportunities, vocational training and substance abuse or addiction counseling. Community-based treatment services include both residential and outpatient substance abuse programs. Services include short-term and long-term residential care, counseling, human immunodeficiency virus (HIV) testing, counseling and prevention education, substance abuse and addiction testing, detoxification and methadone maintenance.

As of December 31, 2008, Cornell operated 28 residential community-based facilities and three non-residential, community-based programs with a combined total service capacity of 3,797. Within the division, the Company offers minimum-security and staff-secure residential services; home confinement and electronic monitoring; substance-abuse counseling and treatment, including detoxification, testing, 12-step programs and relapse prevention services; employment training and assistance; education, including preparation and testing for the GED, ABE, computer courses, college-level courses and access to libraries, vocational training; individual, group and family counseling and therapy, cognitive behavior therapy and stress and anger management instruction; life skills training, including hygiene, personal finance, housing issues, and parenting skills, and municipal jail management.

The Company competes with Corrections Corporation of America, Inc., The Geo Group, Inc., Management and Training Corporation, ViaQuest, Youth and Family Centered Services, Securicor New Century, Ramsay Youth Services, Dismas House, Bannum, Gateway, Salvation Army and Volunteers of America.