privatization of the coercive power of the state...
TRANSCRIPT
Privatization of the Coercive Power of the State,
Administrative Discretion, and Policy
Andy Williams
PAUP 814 Public-Private Partnerships
23rd June 2008
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 2 of 28
Privatization of the Coercive Power of the State, Administrative Discretion,
and Policy
Abstract
The privatization of coercive powers of state are examined using moral, legal and administrative
frameworks of analysis, focusing on the private ownership and management of prisons in the
U.S. An argument is made that complete private ownership and management of prisons is not
desirable as the administrative and managerial discretion exercised by private staff constitutes
public policy in a core function of state, and contractual statements of policy do not provide
sufficient accountability.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 3 of 28
Privatization of the Coercive Power of the State, Administrative Discretion, and Policy
Introduction
The involvement of private enterprise in provision of government services is not a new
phenomenon; however, Thatcher and Reagan policies in Great Britain and the United States in
the early 1980’s encouraged the diffusion of privatization throughout the world (Morris &
Travis, 2003; Prager, 2008). In the majority of industrialized nations and in a significant
proportion of developing nations, privatization at all levels of government has since been
increasing. Numerous local governments in the U.S. have transferred ownership or management
of many government services to the private sector including: maintenance services, I.T. services,
school buses, garbage disposal and wastewater treatment, and basic provision of utilities (Savas,
2000). At the national level, driven by Reagan’s reaffirmation and expansion of the Bureau of
the Budget’s A-76 Circular, almost every federal department has undergone some level of
privatization, the most significant occurring in the Department of Defense (Kettl, 1993).
The majority of literature on privatization1 follows two arguments to analyze a particular
privatization decision – an economic argument and a political argument. The economic argument
focuses on cost-effectiveness and efficiency considerations. Government bureaucracies are
compared with market mechanisms in terms of efficiency and competitiveness, in their ability to
provide certain goods and services (Savas, 2000). The political or ideological argument focuses
on the size and scale of government, and the notion of the ‘State’ and its social contract with the
people (Garland, 1996). The distribution of power and control in society, the level of state 1 Although there are many configurations possible in privatization arrangements (see Savas, 2000, ch 3), for the purposes of this paper, I define privatization as either the complete sale of government infrastructure or provision of goods to private entities, or the management and operation of government services by private entities.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 4 of 28
centralization and control, and the ideology of collectivism versus individualism are examined
(Feigenbaum, Henig & Hamnett, 1998; Wolfe, 1991, 1999). Numerous studies consider the
implications of these two arguments on normative qualities of government such as
accountability, democracy and responsiveness, providing a nexus for discussion on the intrinsic
value of privatization decisions.
From the economic perspective, distribution of goods and provision of services by the
free market may be considered a more efficient mechanism than the state sector (Savas, 2000).
However, it has been recognized that efficiency may compromise accountability, as a
consequence of the governmental requirement for monitoring mechanisms to prevent
opportunistic behaviors which transfer government pathologies to the market (Breaux, Duncan,
Keller, & Morris, 2002; Heilman & Johnson, 1992; Morris, 2007). Cost-effectiveness is
achieved in market systems by the presence of competition; many studies have highlighted the
improvement in effectiveness and reduction in costs that privatization of government services,
especially at the local level, has brought over unwieldy and inflexible state bureaucracies
(Feigenbaum et al., 1998; Savas, 2000). However, in some instances, government must directly
intervene in the market and artificially create or regulate competition, thus diminishing the
expected benefits of privatization (Kettl, 1993). Private enterprise can be more flexible and
responsive to public need, as a result of being free from government regulations and staffing
constraints. In some cases, however, as a result of the requirement for accountability or other
demographic and social considerations, private enterprise is subject to stringent governmentally-
imposed limitations, thus reducing the increase in responsiveness and the net cost benefits
originally expected (Hart, 1997; Sappington & Stiglitz, 1987).
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 5 of 28
From the political perspective, market-based economics is used as evidence on which to
base strategies that reduce government spending, create economic prosperity, enhance freedom,
and strengthen necessary state control by diminishing unnecessary state intervention (Wolfe,
1999). However, critics argue that the social contract – the notion that only state institutions
derived from popular sovereignty are legitimate – is at risk, having significant implications for
democracy, transparency and accountability (Barber, 2000; Kahn & Minnich, 2005). Many
politicians, often classed as ‘neo-liberal’, use privatization as a fundamental policy choice that
seeks to reduce the collectivist ideal of government to ensure more responsibility, freedom and
choice for the individual (Jing, 2005). Yet others see this as a reduction in public involvement in
government and a diminution of political sovereignty (Bruszt, 2002); or as market ideology
“imprisoning” government policy (Lindblom, 1982), whilst others go as far to view privatization
as a form of economic tyranny (Chomsky, 1999, 2006; Whyte, 2007)
The decision by a government at any level to privatize a government function is,
fundamentally, a policy choice. Economic and political arguments abound over the various
merits and pitfalls of a variety of privatization options; however, the ubiquitous fact remains that
privatization changes policy rather than solely implementing it more efficiently (Heilman &
Johnson, 1992). Furthermore, scholars on both sides of the privatization debate have recognized
that privatization fundamentally changes the nature of government and that regardless of one’s
perspective, pragmatically; new and different government capacity must be developed to manage
these new governance arrangements (Kettl, 2000, 2002; Sellers, 2000).
There is no such area where these arguments are more apparent than in the issues
surrounding privatization of core functions of state – the provision of ‘collective’ goods (Savas,
2000). One such collective good that has received attention in recent years is the coercive power
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 6 of 28
of the state. Policies that privatize the coercive apparatus of the state – institutions of security,
justice and punishment – raise several important moral and legal issues outside the usual
arguments occurring in privatization of other functions of government. A further, more complex
issue that is not covered in the literature is the implication on administrative discretion and its
relation to policy in these privatized arrangements.
In this article, I outline the concept of coercive authority and review the issues that arise
when coercive government functions are privatized, using moral and legal frameworks of
analysis. Using the specific case of privatization of correctional facilities and an administrative
framework of analysis, I discuss the implications for administrative discretion and its relation to
policy, and show their relation to the other frameworks of analysis. I argue that in the case of
government functions that impart the coercive power of the state such as prison institutions,
privatization has serious implications for the role of public administrators. Prison population has
reached now record numbers, with one out of every 100 Americans in some form of punitive
incarceration (Pew Center on the States, 2008). The costs of prisons are soaring, which in
addition to the problem of prison overcrowding, is placing governments under pressure.
However, it is public administrators that are ultimately responsible for executing solutions to
provide relief from this pressure, and need to be aware of the all the positive and negative
implications of prison privatization.
This research is important for two reasons. First, privatization of coercive government
functions is growing: private security guards now outnumber the number of state law
enforcement officers; the private prison industry has been booming in recent years with
corporations now operating many prisons in the U.S; private probation and parole services are
now in operation in many states (Reynolds, 2000); and private military contractors provide
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 7 of 28
significant support, in both combat and non-combat roles, to national armed forces, with U.S.-
paid contractors now outnumbering U.S. military personnel both Iraq and Afghanistan (Singer,
2003; Matthews, 2008). Public administrators now have the responsibility to manage contracts
and oversee regulation of these initiatives; a responsibility that is distinctly different from what
most public bureaucracies originally were designed to do, and against the general expectations of
aspiring administrators on M.P.A. programs, for example (Kettl, 2000). Secondly, it widely
accepted that there is often a wide gap between stated government policy, its interpretation by
bureaucrats, and the manner in which it is implemented by ‘street-level’ staff (Lipskey, 1980;
Lindblom & Woodhouse, 1993; Howlett & Ramesh, 2003). Administrators are increasingly
called upon to contribute to the process of formulating policy, as a result of their expertise and
experience in their field of specialty, and are given significant discretion in implementation. A
certain amount of ‘bureaucratic intelligence’ must be accepted in that effective implementation
necessarily involves some level of delegation of authority to administrative staff to allow them
freedom of action (Lindblom & Woodhouse, 1993). In those government functions that involve
coercive authority and the deprivation of citizens’ liberty, therefore, it is paramount to
understand the wider implications of devolution in the form of privatization, in the context of
policy-making, and managerial and street-level discretion (Vaughn & Otenyo, 2007).
The Coercive Power of the State
James Madison wrote in Federalist no. 51: “In framing a government which is to be
administered by men over men, the great difficultly lies in this: you must first enable the
government to control the governed; and in the next place oblige it to control itself” (Madison,
1788 / 2003, p. 319). Although this article was primarily about the self-regulating checks and
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 8 of 28
balances of the nascent American state, Madison articulated one of the core and necessary
principles of government – that through being the exclusive distributor of coercive force enacted
from authority derived by consent, government shall have the ability to legitimately control the
governed. The notions of ‘control’ and ‘legitimacy’ have been debated by political theorists for
many years, and this article is not the location for revisiting such deliberations; however, there is
little dissent from the perspective that coercive authority is integral to the nature of the modern
state (Arnold, 2006; Reisig & Pratt, 2000), distinguishing it from social order in early societies
that was derived from moral or practical reciprocal behaviors (Molinero, 2000). In fact, Weber
(1919, p. 1) defined the ‘state’ as: “…a human community that successfully claims the
monopoly of the legitimate use of physical force within a given territory.” Policy-makers,
administrators and citizens likewise espouse the Weberian (1947) view that criminal acts violate
laws that were created only by representatives of the state. Thus a necessary feature of legal
punishment is that it “must be imposed and administered by an authority constituted by a legal
system against which the offense is committed” (Hart, 1968, p. 5, as cited in Reisig & Pratt,
2000).
As Weber (1919, p. 1) noted: “…the right to use physical force is ascribed to other
institutions or to individuals only to the extent to which the state permits it”. Depending on one’s
interpretation, the point of whether or not ‘institution’ can mean ‘private institution’ is a critical
question. Accepting that the very notion of the state is defined by its ability to control with
coercive power, and that the only legitimate use of this power is through government authority
derived from consent, then any argument over the delegation of this authority must necessarily
examine the question of legitimacy. Using the case of correctional institutions in the U.S., I
examine this question using moral and legal frameworks, before turning to the practical issue of
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 9 of 28
public administration of private facilities and the impact on corrections policy-making.
Arguments concerning political and economic considerations will not be discussed, as much
coverage has been given elsewhere (Pratt & Mahs, 1999) and are not relevant to the primary
discussion in this paper – in fact, a Bureau of Justice Assistance report (Austin & Coventry,
2001, p. 59) which reviewed a range of economic studies in prison privatization concluded:
“(The) privatization model…essentially mimics the public model but achieves modest cost
savings…by making modest reductions in staffing patterns, fringe benefits, and other labor-related
costs. There is no evidence showing that private prisons will have a dramatic impact on how
prisons operate. The promises of 20-percent savings…have simply not materialized….If nothing
else, the private sector has shown that it is as equally capable of mismanaging prisons as the
public sector.”
The Moral Dimension
There is a subtle difference between the morality of an individual and the public morality
of the state. Dwight Waldo noted that: “Public morality concerns decisions made and action
taken directed toward the good of a collectivity…an entity or group larger than immediate social
groups such as family and clan” (Waldo, 1980, in Stillman, 2005, p. 505). Actions such as the
permanent deprivation of a person’s liberty, the execution of a convicted criminal, or the killing
of a citizen by a law-enforcement officer, are all considered morally justifiable in the eyes of the
state; however, these actions may be partially or wholly despicable in the eyes of a great number
of citizens, regardless of the circumstances of those actions. As previously discussed, the state
has certain coercive authorities conferred upon it by the consent of the people. With regard to the
state’s delegation of coercive force to private entities, several arguments have been raised.
Given that the ability to legitimately apply coercive force is intrinsic to the very notion
of the state, some consider it plainly immoral to confer this ability to a non-state entity such as a
correctional corporation, regardless of the specificity of any contract or the extent of monitoring
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 10 of 28
(DiIulio, 1997). This view is prevalent in much anti-privatization literature in the popular media,
however, it is applied and explained with little theoretical rigor. Others have used in-depth
analysis of libertarian moral philosophies to demonstrate that they have been inconsistently
applied with prison privatization. Reisig and Pratt (2007) note that the libertarian principle of a
minimal state is often used as justification for privatizing public prisons and reducing the state,
however this is contrary to the fundamental libertarian concept that redistributive protection
belongs to an authority not possessed by any individual. Although in the U.S., corporations are
recognized with the same rights as ‘person’, individuals only have the minimalist right to self-
defense, not to detain or punish.
Another moral argument commonly encountered is that of interests. Although this has an
economic basis in free-market capitalism and more formalized statements in principal-agent
theory (Breaux et al, 2002; Morris, 2007), the moral argument pertains to the notion that a
corporation profits from the incarceration and punishment of human beings. The ultimate goal of
any government is to eliminate crime totally by rehabilitating those in detention, and deterring
any would-be offenders – the consequence being to eliminate the requirement for prison
facilities. The ultimate goal of any corporation is to make at least enough money to be
economically viable, but generally, it is to profit. Obviously, these ultimate goals are in violent
conflict. In principal this argument is final; however, pragmatically, it is wholly unrealistic to
entertain such a scenario as the total elimination of crime and therefore prisons. In fact, there is
ample evidence to suggest that requirements for profit and competition have many positive
benefits on prison operation and that the problem of conflicting interests in the market is equally
as bad as conflicting interests in public agencies (Elvin, 1985; Lukemeyer, & McCorkle, 2006;
Logan, 1987). Furthermore, traditional arguments against bureaucracy can be applied: there is no
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 11 of 28
reason to suggest that public corrections bureaucrats would happily put themselves out of work
by eliminating prisons and do, in fact, seek to influence politicians to the contrary (Wilson,
1989). However, there are equal potential and documented influences in the corporate sector,
with private prison company executives having political influence in many states (Brancaccio,
2008).
In the literature review conducted for this research, little evidence was discovered to
argue the case against prison privatization on moral grounds, other than the widely held
emotional and symbolic belief that prisons should be institutions of the state. Conflict of interest
arguments against business are widespread, even with respect to bias in scholarship (Geis,
Mobely, & Schicor, 1999) and are probably without resolution. As DiIulio (1997) claims,
privatization of corrections is morally equivalent to privatization of law enforcement and of
justice, yet these receive far fewer advocates. This morally relativistic argument highlights the
fact that much government policy is driven by practical concern, rather than moral consequences.
The key moral issue may not be the symbolism of a prisoner seeing a corporate logo on prison
guards’ shirts rather than a badge of state, but more about the accountability structures in this
arrangement (Donahue, 1989). However, the perplexing question regarding the long term
implications of new societal norms that may eventually accept the use of coercive force by non-
government agencies in all areas, cannot yet be answered.
The Legal Dimension
The legal arguments surrounding the legitimacy of prison privatization focus on several
key areas. First, the constitutionality of delegation of coercive power is examined in the sense of
the normative role of state (Field, 1987; Sullivan, 1987; Zalar, 1999). Legal scholars have
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 12 of 28
recently concluded that doctrines examining the relationship between administrative agencies
and constitutional issues with respect to privatization, are poorly understood and need more
analysis (Metzger, 2003). The fact that private prison corporations can exercise significant
discretion over operation of government programs is seen as unconstitutional, however, the
responsibility of administrators to develop more innovative and unrestrictive mechanisms of
accountability is noted (Gentry, 1986). Another perspective is that privatization permits the
government to evade constitutional restraints (Gilmour & Jensen, 1998; Sullivan, 1987). In the
case of prison operations, this point may be mute: regardless of the fact that the long-term public
service prisons provide to society is critical, they do not provide a direct and tangible service to
individual citizens, access to which is not threatened by privatization. However, in the case of
private prisons, questions arise about the ability of a citizen to have access to information
regarding detailed operational procedures, financial information, and a voice in how prisoners
are treated, rehabilitated and punished.
Second, the question of liability is addressed. In the event of a violation of inmate’s civil
rights, or the death or injury of an inmate at the hands of a corporations’ prison guards, there are
difficulties in establishing liability (Dunham, 1986, Elvin, 1985). Moe (1987) notes that major
prison policy and administrative decisions regarding these issues have effectively been moved
from the legislature to the judiciary, in that it is left to lawyers and judges to unravel the
complexities and clear the ambiguities in the event of litigation. There is also evidence to suggest
that the scrutiny to which private corporations are subjected actually serves to reduce the number
of abuses in treatment of inmates, service provision and corruption.
These issues are certainly complex for the legal community and have a direct impact on
the roles and responsibilities of public administrators. As the boundaries between government
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 13 of 28
and non-government institutions become blurred, the rule of law is blurred, becoming guided by
a quasi-authority based on processes, i.e., mechanisms for action set in public-private
organizational configurations that are pragmatic and may function well, but do not have deep
legal foundations (Moe, 1988; Moe & Stanton, 1989). If private prisons are to become a norm,
then development of rigorous and unambiguous legal founding is necessary for the public
administrator to manage contracts with private entities or to engage in more integrated
partnerships. As Stillman (1987, p. 6) noted, the Constitution wisely instituted federalism to
restrain government powers, but “perhaps unwisely and incorrectly it ignored the consequences
of unchecked private power.”
The Administrative Dimension
It is a well accepted fact that state legislature cannot, and probably should not, specify
policies directing the operation of complex government institutions to great detail. Although
administrators are formally guided in their duties by written policies and legal guidelines, the
complexity of situations encountered necessarily requires discretion at all levels of an
organization. Vaughn and Otenyo (2007, p. xii) define discretion as:
“…embrac(ing) ideas about judgment, discernment, liberty, and license. It is about judging among
competing values, choosing a best possible solution, and being free to extend the rights and duties
of office...(It) is often part of the way decisions are made to conform to professional, community,
legal, and moral norms.”
Although the concept of discretion is commonly associated with administrative ethics (Haque,
2004; Johnson & Cox, 2005; Kelly, 1994), I will primarily examine the policy implications. The
point at which ‘street-level’ bureaucrats translate policy into implemented policy has been
extensively studied (Lipskey, 1980); similarly, the discretion of managerial staff is also
recognized (Vaugn & Otenyo, 2007). A key point is that there is a difference between stated
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 14 of 28
government policy and implemented policy, in that the sum of interpretations, judgments and
actions of staff throughout a bureaucracy constitute actual policy. In the case where
government functions are devolved from the institutions of government, such as prison
privatization, a question arises about the extent to which the interpretations, judgments and
actions of privately employed prison staff sum up to constitute public prison policy.
Using the Virginia Department of Corrections (2008a) as an example, once convicted and
sentenced to incarceration, an inmate will be processed and assessed by a number of prison staff.
The first stage is security assessment, where prisoners are screened and their security status is
determined to allow their placement in a facility. Although there are strict guidelines governing
this process depending on the nature of the offense, number of previous convictions and mental
health history, there is still a significant amount of discretion involved on behalf of the staff. The
outcome of the inmate’s treatment and future in general, depends in a great part on their initial
placing. Once assigned to a facility, the inmate will undergo health and mental screening by
prison staff and will be assigned a treatment program supervisor. Depending on the facility and
the status of the offender, the treatment program will involve classroom education, employment
training, actual work, substance abuse treatment, or anger management classes, for example.
Many of these prison staff contribute to the inmate’s report file, which in a large part determines
their eligibility for parole and transfer to lower security insitutions (Virginia Department of
Corrections, 2008b).
The prison management is responsible for ensuring that the operation of the prison is
effective, conducting liaisons with other state agencies, hiring of staff, staff supervision, and
ensuring quality standards are met. The prison superintendent is ultimately responsible for all of
the inmates whilst they are present in the prison. The superintendent will also work with
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 15 of 28
centralized Department of Corrections (DOC) officials in determining budgets and setting
priorities.
Prison Administration Prison MaintenanceAccountants Boiler OperatorsAdministrative Assistants Buildings and GroundsAgricultural Supervisors CarpentersBusiness Managers ElectriciansBuyers Electronic TechniciansHuman Resource Positions Fiscal Assistants & TechniciansOperations Officers Food ServicesPostal Assistants Plumbers/SteamfittersProgrammers/Analysts Treatment Plant OperatorsSafety Specialists
Prison Security Inmate Health CareAssistant Wardens DentistsInvestigators Dental AssistantsSurveillance Officers PhysiciansWardens Nurses & Nurse SupervisorsCorrections Officers (Sgt., Lt., Cpt., & Maj.) Psychologists
Radiological TechniciansInmate Rehabilitation Services Recreations SupervisorsProbation Officers Rehabilitation CounselorsTreatment Program Supervisors
Table 1: Prison Roles in Virginia Department of Corrections (VADOC, 2008a)
The management of a prison will ultimately determine the nature of services received by
inmates, the location strategy for allocation of inmates to facilities and decisions on
overcrowding, and overall has a great impact on the quality and success of a prison.
The action of ‘street-level’ prison staff, namely the wardens, correctional officers and
treatment program staff, will constitute the implemented policy in the prison and that of the
DOC. The individual judgments the staff make over whether or not to enforce certain rules or
enact certain punishments will certainly have a large impact on inmate rehabilitation, punishment
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 16 of 28
and prison standards. In all cases, the staff are accountable to their supervisors, who are
accountable to the prison superintendent, who is accountable to the officials in the central offices
of a DOC.
In the case of the entire prison ownership and management being privatized, the
operation of a prison staff is now governed and regulated through monitoring and enforcement of
a contract between a DOC and a private corporation. The chain of accountability is legally
passed through the contracting procedures, although ambiguities can still be present as
previously observed. The ‘public’ policy of the DOC now becomes the ‘private’ policy of a
corporation through the contractual process. As a contract cannot specify operating procedures
that outline actions to be taken in every eventuality, as this is far to restrictive and unenforceable,
it is not possible therefore, to specify policy exactly. Furthermore, the contract can specify
standards for prison operations and prison services, but ensuring enforcement to the letter is very
costly. The contract can also specify standards in results, but given that a causal relationship
between prison services received and recidivism rates is not guaranteed, this would serve to
increase costs, as the private corporation seeks to mitigate the risk. A contract retrieved from an
Australian DOC for the private construction and management of a prison facility was 302 pages
long (Victoria State, ND). It is evident that the time and skill required to develop a contract is
formidable. As is often the case in many other areas of government, the selected contractor has to
be involved in the actual writing of the contract, to account for lack of expertise and resources in
the government department.
The managerial staff working in a central state DOC, for example, would typically be
involved in overseeing the operations of all prisons and parole services and would continuously
deal with emerging issues, budget changes, and continual development of best practices and
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 17 of 28
policy. In many ways, policy implementation is an experimental and evolutionary process that
captures the continual discretions and decisions of managerial staff (Pressman and Wildavsky,
1984). One disadvantage to contracting is that, unless provision for change is specifically
included, innovation and change may not be forthcoming. Some scholars have called for prison
contracts to be based primarily on results, thus freeing the private prison corporations from
regulatory constraints and encouraging more innovation in treatments and services. A particular
issue arises in the managerial staff in a private prison – the superintendent and chief correctional
officers, who may be responsible for internal budget controls, staff management and overall
discharge of punishments and services. Unless specified explicitly in the contract, they will
necessarily have a wide discretion for action in discharge of their duties and control and
allocation of staff resources. The key problem is that, should a contractually-unspecified
situation arise in which they are called to exercise their discretion result a serious complication,
where does accountability lie? On one hand, the officer involved may be accountable, however,
his defense may be that the situation was unavoidable and he had no other choice but to use his
best judgment. On the other hand, the state DOC is accountable because they failed to provide
detailed guidelines in contractual operating procedures. Cases such as this will surely arise also
in public prisons, however, the question of accountability is somewhat simpler, and lessons
learnt can immediately be incorporated into operating procedure.
Conclusions and Recommendations
It is evident from the brief examination of prison operations that prison staff necessarily
have wide latitude in the discharge of their coercive duties, both at the ‘street-level’ and
managerial level. It is also evident that in the case of prison privatization, the role of state
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 18 of 28
employees changes fundamentally. State employees must have the ability and expertise to
develop, tender, refine and enforce a prison contract. In most states, where both private and
public prisons operate, state DOC staff must also have the ability to be involved in the
management of actual prison operations. Further research is necessary to investigate the way in
which state DOCs are re-structuring, training and managing their staff to meet these new
operating realities.
In a legal sense, the question of administrative discretion within public bureaucracies has
long been a challenge, however, generally street-level staff are shielded from major implications
provided they are not negligent or plainly contravening rules. Managerial staff are legally
responsible for the actions of staff under their supervision. This changes in the case of prison
privatization, as state DOC officials now are no longer involved in the detailed supervision of
prison superintendents. As a result of this inconsistency in accountability, the moral arguments
can be enacted – that is it fundamentally, morally wrong for the state to delegate coercive power
without clear lines of public accountability. This is equally a policy issue in addition to a legal
and moral issue; DOCs may need state-wide or federal policy initiatives to research and develop
more innovative and accountable mechanisms in private prison administration. Part of this policy
should also consider the issue of state capacity in coercive powers, in the event of a major
contractual default by a private corporation. Contracts should have built in redundancy measures,
or states should refrain from total privatization of all prisons.
Prison privatization through contracting appears to a type of government policy: contracts
effectively become detailed statements of policy. There is a fundamental issue regarding the
public visibility of this policy in private cases, and the fact that policy is being continually
created by non-state agents, who may have interests other than the public interest in mind. .
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 19 of 28
References
Arnold, T. C. (2006). Executive Power, the War on Terrorism, and the Idea of Rights. Politics
and Policy, 34(4), 670–688.
Austin, J., & Coventry, G. (2001). Emerging Issues on Privatized Prisons. A Monograph from
the US Department of Justice. Retrieved June, 14, 2008, from
http://www.ncjrs.gov/pdffiles1/bja/181249.pdf
Barber, B. R. (2000). Can Democracy Survive Globalization? Government and Opposition,
35(3), 275–301.
Brancaccio, D. (Writer). (2008, May 5). NOW on PBS: Prisons for Profit. Hampton Roads,
Public Broadcasting Service.
Breaux, D. A., Duncan, C. M., Keller, C. D, & Morris, J. C. (2002). Welfare Reform, Mississippi
Style: Temporary Assistance for Needy Families and the Search for Accountability. Public
Administration Review, 62(1), 92–103.
Bruszt, L. (2002). Market Making as State Making: Constitutions and Economic Development in
Post-Communist Eastern Europe. Constitutional Political Economy, 13, 53–72.
Chomsky, N. (1999). Profit Over People: Neoliberalism and Global Order. New York, NY:
Seven Stories Press.
Chomsky, N. (2006). Failed States: The Abuse of Power and the Assault on Democracy. New
York, NY: Henry Holt.
DiIulio, J. J. (1997). What’s Wrong with Private Prisons. Public Interest, 92, 66–83.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 20 of 28
Donahue, J. D. (1989). The Privatization Decision: Public Ends, Private Means. New York, NY:
Basic Books.
Dunham, D. W. (1986). Inmates’ Rights and the Privatization of Prisons. Columbia Law Review,
86(7), 1475–1504.
Elvin, J. (1985). A Civil Liberties View of Private Prisons. The Prison Journal, 65, 48–52.
Feigenbaum, H., Hening, J., & Hamnett, C. (1998). Shrinking the State: The Political
Underpinnings of Privatization. New York, NY: Cambridge University Press.
Field, J. E. (1987). Making Prisons Private – an Improper Delegation of Governmental Power.
Hofstra Law Review, 15, 649–675.
Garland, D. (1996). The Limits of the Sovereign State: Strategies of Crime Control in
Contemporary Society. The British Journal of Criminology, 36(4), 445–471.
Geis, G., Mobley, A., & Shichor, D. (1999). Private Prisons, Criminological Research, and
Conflict of Interest: A Case Study. Crime and Delinquency, 45, 372–387.
Gentry, J. T. (1986). The Panoptican Revisited: The Problem of Monitoring Private Prisons. The
Yale Law Journal, 96(2), 353–375.
Gilmour, R. S., & Jensen, L. S. (1998). Reinventing Government Accountability: Public
Functions, Privatization, and the Meaning of “State Action”. Public Administration Review,
58(3), 247–258.
Haque, A. (2004). Ethics and Administrative Discretion in a Unified Administration: A Burkean
Perspective. Administration and Society, 35(6), 701 – 716.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 21 of 28
Hart, H. L. A. (1968). Punishment and Responsibility. Oxford, UK: Clarendon.
Hart, O., Shleifer, A., & Vishny, R. W. (1997). The Proper Scope of Government: Theory and an
Application to Prisons. The Quarterly Journal of Economics, 112(4), 1127–1161.
Heilman, J. G., & Johnson, G. W. (1992). The Politics and Economics of Privatization: The Case
of Wastewater Treatment. Tuscaloosa, AL: University of Alabama Press.
Hoppe, H. (1989). Fallacies of the Public Goods Theory and the Production of Security. The
Journal of Libertarian Studies, 9(1), 27–46.
Howlett, M., & Ramesh, M. (2003). Studying Public Policy – Policy Cycles and Subsystems.
Ontario, Canada: Oxford University Press.
Jing, Y. (2005). State Prison Privatization in the U.S.: A Study of the Causes and Magnitudes.
Ph.D. Dissertation. Ohio State University.
Johnson, T. A., & Cox, R. W. (2005). Police Ethics: Organizational Implications. Public
Integrity, 7(1), 67 – 79.
Johnson, G. W., & Heilman, J. G. (1987). Metapolicy Transition and Policy Implementation:
New Federalism and Privatization. Public Administration Review, 47(6), 468–478.
Kahn, S., & Minnich, E. (2005). The Fox in the Henhouse: How Privatization Threatens
Democracy. San Francisco, CA: Berret-Koehler Publishers, Inc.
Kelly, M. (1994). Theories of Justice and Street-Level Discretion. Journal of Public
Administration Research and Theory, 4(2), 119 – 140.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 22 of 28
Kettl, D. F. (1993). Sharing Power: Public Governance and Private Markets. Washington, DC:
Brookings Institution.
Kettl, D. F. (2000). The Transformation of Governance: Globalization, Devolution, and the Role
of Government. Public Administration Review, 60(6), 488–497.
Kettl, D. F. (2002). The Transformation of Governance: Public Administration for Twenty-First
Century America. Baltimore, MD: John Hopkins University Press.
Lindblom, C. E. (1982). The Market as Prison. The Journal of Politics, 44(2), 324–336.
Lindblom, C. E., & Woodhouse, E. J. (1993). The Policy-Making Process. Upper Saddle River,
NJ: Prentice-Hall.
Lipskey, M. (1980). Street-Level Bureaucracy: Dilemmas of the Individual in Public Services.
New York, NY: Russell Sage Foundation.
Logan, C. H. (1987). Privatization Prisons: The Moral Case. London, UK: The Adam Smith
Institute. Retrieved June, 14, 2008, from http://www.adamsmith.org/publications/justice-and-
civil-liberties
Lukemeyer, A., & McCorkle, R. (2006). Privatization of Prisons: Impact on Prison Conditions.
The American Review of Public Administration, 36(2), 189–206.
Madison, J. (1788/2003). Federalist no. 51: The Structure of the Government Must Furnish the
Proper Checks and Balances Between the Different Departments. In Rossiter, C. (Ed.). The
Federalist Papers. New York, NY: Penguin.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 23 of 28
Matthews, W. (2008). Lawmakers: U.S. should consider new limits for outsourced tasks.
Defense News, March 3, 14.
Metzger, G. E. (2003). Privatization as Delegation. Columbia Law Review, 103(6), 1367–1502.
Moe, R. C. (1987). Exploring the Limits of Privatization. Public Administration Review, 47(6),
453–460.
Moe, R. C. (1988). “Law” versus “Performance” as Objective Standard. Public Administration
Review, 48(2), 674–675.
Moe, R. C., & Stanton, T. H. (1989). Government-Sponsored Enterprises as Federal
Instrumentalities: Reconciling Private Management with Public Accountability. Public
Administration Review, 49(4), 321–329.
Molinero, J. (2000). The Origins of the State: From Reciprocity to Coercive Power.
Constitutional Political Economy, 11, 231–253.
Morris, E. D., & Travis, R. L. (2003). Privatization in State Agencies: A Focus on Clean Water.
Public Works Management Policy, 7(4), 243–255.
Morris, J. C. (2007). Government and Market Pathologies of Privatization: The Case of Prison
Privatization. Politics and Policy, 35(2), 318–341.
Pew Center on the States (2008). One in 100: Behind Bars in America in 2008. Washington, DC:
The Pew Charitable Trusts. Retrieved June, 14, 2008, from
http://www.pewcenteronthestates.org/report_detail.aspx?id=35904
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 24 of 28
Prager, J. (2008). Contracting City Redux: Weston, Florida, as the Ultimate New Public
Management Model City. Public Administration Review, 68(1), 167–180.
Pratt, T. C., & Maahs, J. (1999). Are Private Prisons More Cost-Effective Than Public Prisons?
A Meta-Analysis of Evaluation Research Studies. Crime and Delinquency, 45(3), 358–371.
Pressman, J. L.,& Wildavsky, A. (1984). Implementation. Berkeley, CA: University of California
Press.
Reisig, M. D., & Travis, P. C. (2000). The Ethics of Correctional Privatization: A Critical
Examination of the Delegation of Coercive Authority. The Prison Journal, 80(2), 210–222.
Reynolds, M. O. (2000). Privatizing Probation and Parole. Dallas, TX: National Center for
Policy Analysis. Retrieved June, 14, 2008, from http://www.ncpa.org/studies/s233/st233.pdf
Sappington, D., & Stiglitz, J. (1987). Privatization, Information and Incentives. Journal of Policy
Analysis and Management, 6(4), 567–579.
Savas, E. S. (2000). Privatization and Public Private Partnerships. New York, NY: Chatham
House.
Sellers, M. P. (2003). Privatization Morphs into ‘Publicization’: Businesses Look a Lot Like
Government. Public Administration, 81(3), 607–620.
Singer, P. W. (2003). Corporate Warriors: The Rise of the Privatized Military Industry. Ithaca,
NY: Cornell University Press.
Stillman, R. J. (1987). The Constitutional Bicentennial and the Centennial of the American
Administrative State. Public Administration Review, 47(1), 4–8.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 25 of 28
Stillman, R. J. (2005). Public Administration: Concepts and Cases. Boston, MA: Houghton
Mifflin.
Sullivan, H. J. (1987). Privatization of Public Services: A Growing Threat to Constitutional
Rights. Public Administration Review, 47(6), 461–467.
Vaughn, J., & Otenyo, E. E. (2007). Managerial Discretion in Government Decision Making.
Sudbury, MA: Jones and Bartlett.
Victoria State (nd). Prison Services Agreement. Retrieved June, 20, 2008, from
http://www.contracts.vic.gov.au/major/51/Prison3.pdf
Virginia Department of Corrections. (2008a). Virginia Department of Corrections Website.
Retrieved June, 20, 2008, from http://www.vadoc.state.va.us
Virginia Department of Corrections. (2008b). Family and Visitor Information Guide. Retrieved
June, 20, 2008, from http://www.vadoc.state.va.us/resources/family-guide.pdf
Waldo, D. (1980). The Enterprise of Public Administration. Novato, CA: Chandler and Sharp.
Weber, M. (1919). Politics as a Vocation. Retrieved June, 14, 2008, from
http://www2.selu.edu/Academics/Faculty/jbell/weber.pdf
Weber, M. (1947). The Theory of Social and Economic Organization. New York, NY: Free
Press.
Whyte, D. (2007). The Crimes of Neo-Liberal Rule in Occupied Iraq. British Journal of
Criminology, 47, 177–195.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 26 of 28
Wilson, J. Q. (1989). Bureaucracy: What governments do and why they do it. New York, NY:
Basic Books.
Wolfe, J. D. (1991). State Power and Ideology in Britain: Mrs Thatcher’s Privatization
Programme. Political Studies, 39, 237–252.
Wolfe, J. D. (1999). Power and Regulation in Britain. Political Studies, 47, 890–905.
Zalar, B. (1999). Privatization of State Coercive Authority: From Compact Back to Combat?
International Journal of the Sociology of Law, 26, 317–314.
Publications Reviewed but Not Cited
Barnett, S. (2000). Evidence on the Fiscal and Macroeconomic Impact of Privatization. Fiscal
Affairs Department, International Monetary Fund. Retrieved June, 14, 2008, from
http://www.imf.org/external/pubs/ft/wp/2000/wp00130.pdf
Carroll, J. D. (1987). Public Administration in the Third Century of the Constitution: Supply-
Side Management, Privatization, of Public Investement? Public Administration Review,
47(1), 106–114.
Cox, R. W. (2005). Accountability and Responsibility in Organizations: The Ethics of
Discretion. Paper presented at Ethics and Integrity in Governance Conference, Leuven,
Belgium, June 2.
Friedmann, W. G. (1957). Corporate Power, Government by Private Groups, and the Law.
Columbia Law Review, 57(2), 155–186.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 27 of 28
Garnett, J. L. (1987). Operationalizing the Constitution via Administrative Organization:
Oilcans, Trends, and Proverbs. Public Administration Review, 47(1), 35–44.
Gomez, P., & Korine, H. (2005). Democracy and the Evolution of Corporate Governance.
Corporate Governance, 13(6), 739–752.
Goodsell, C. T. (1984). The Grace Commission: Seeking Efficiency for the Whole People?
Public Administrative Review, 44(3), 196–204.
Holcome, R. G. (1997). A Theory of Public Goods. Review of Austrian Economics, 10(1), 1–22.
Mariner, J. (2004). Private contractors who torture. FindLaw, CNN.com. Retrieved, June, 14,
2008, from http://www.cnn.com/2004/LAW/06/17/mariner.contractors
McNamara, M. W., & Morris, J. C. (2008). Walking the High Wire: A Practical Guide for
Balancing Accountability and Competition in Public Works Service Arrangements. Public
Works Management and Policy, 12(4), 568–577.
Miranda, R., & Lerner, A. (1995). Bureaucracy, Organizational Redundancy, and the
Privatization of Public Services. Public Administration Review, 55(2), 193–200.
Mitchell, T. R., & Scott, W. G. (1987). Leadership Failures, the Distrusting Public, and Prospects
of the Administrative State. Public Administration Review, 47(6), 445–452.
Nelson, R. R. (1987). Roles of Government in a Mixed Economy. Journal of Policy Analysis and
Management, 6(4), 541–582.
ANDY WILLIAMS: Privatization of the Coercive Power of State - June 2008
Page 28 of 28
O’Toole, L. J. (1987). Doctrines and Developments: Separation of Power, the Politics-
Administration Dichotomy, and the Rise of the Administrative State. Public Administration
Review, 47(1), 17–25.
Shugart, M. S. (1999). Presidentialism, Parliamentarism, and the Provision of Collective Goods
in Less-Developed Countries. Constitutional Political Economy, 10, 53–88.
Tilly, C. (2007). Democracy. New York, NY: Cambridge University Press.
Wise, C. R. (1990). Public Service Configurations and Public Organizations: Public
Organization Design in the Post-Privatization Era. Public Administration Review, 50(2),
141–155.