GEO
#We only talk about the ones that are in the public domain, obviously.
The one I can talk about is the Ohio opportunity, and that procurement process has yet started for a single facility.
But we believe there will be other opportunities around the country similar to that.
I think so.
I think the trend line for us and our industry is more ownership opportunities.
That's what <UNK> just expressed moments ago about what our growth was last year.
And I think the ownership business model will continue to grow and we'll probably see less of the managed-only facilities.
And, in part, I think that's going to be attributable to the aging of the governmental sector facilities, which are 50, 60, 70, 80 years old and will need to be replaced.
And the private sector has the ability to provide the financing for those facilities and obviously provide the operation, as well as the financing and development of those facilities.
So, I think the turnkey package will play very favorably as states consider how to use their scarce resources.
The decision is too often one in which they have to decide between corrections and the educational system as to where to put their capital resources.
And I think the private sector provides them with an opportunity to place most of their capital resources in the educational sector and deferring to the private sector to provide the development, financing and operation of correctional facilities in the future.
Yes, it is.
As I think <UNK> said, last year we were at approximately 24,000 people under that monitoring program and today we're at 44,000 and project it to go possibly to the upper limit of 57,000.
In 2017 it's probably about the same as 2016, so another $275 million to $300 million.
And it should complete, for the most part, in 2017 because the facility opens, I think, in the fall of 2017.
So it might be a little less but I would say $240 million to $275 million.
I think at the state level, California probably is in the headlines more so than any other state with regard to possible sentencing reform.
I think they're still trying to formulate what it is that they want to do because they've already sent about 30,000 Level 1 offenders to the counties, and the counties are fairly full at this time.
At the federal level, the BOP recently released, I think, several thousands inmates, approximately 6,000 and may release approximately the same number over a two- or three-year period.
So, these reforms are going on but they are fairly modest and they don't seem to have impacted us in any meaningful way.
The BOP in particular, we received our pro rata reduction, but increasingly the BOP contracts are fixed price and they are not subject to census sensitivity because of that.
<UNK>, we don't disclose the revenue related to that facility.
We don't typically disclose what the occupancy or what the EBITDA level is of our individual contracts.
We've provided the revenue, I think is about $50 million on an annualized basis.
We believe this program has been very critical to the current Democratic Administration, and will be supported by a Republican Administration.
So, there is bipartisan support of this program because it kind of means if you eliminated that program, anybody who comes across the border as a family is okay to stay.
And I think there's very little support for that concept.
No.
We're comfortable, as we said, historically running between 4.5, 5 times leverage.
And I think for the quarter we'll end up with about 4.8 or 4.9.
We'll continue to monitor the markets.
There is still good demand for our notes and our debt so, as the time is appropriate, if we need to, we will go and consider taking out the existing notes that are called this February, the ones that are at 6-5/8% coupon.
So, it would just be a matter of monitoring the market and our capital needs and moving accordingly based on that.
Thank you for your questions and we look forward to addressing you on our next conference call.
