SecureFuture, a consortium made up of Fletcher Building, Serco, and Spotless Facility Services, has won the contract to build, operate and maintain the government’s 960-bed Wiri prison in South Auckland.
Finance Minister Bill English and Corrections Minister Anne Tolley announced the public-private partnership today, saying the 25-year contract process.
Fletcher will begin building the prison this year, and it’s expected to open in 2015.
Serco will manage the prison, with financial incentives for reducing recidivism rates and penalties for failing to meet short-term integration targets.
Spotless will maintain the facility.
“There is a demonstrated need for a new prison in Auckland to meet population projections,” Tolley said. “We also need the flexibility to respond to ageing capacity and other future pressures.”
Serco won the $300 million government contract to manage Mt Eden prison for 10 years, a jail of similar size to Wiri.
(BusinessDesk)
2 Comments
Well that gets that off the books and subject to no further principal cost enquiries, just the easily disguised cash flow liability to deal with.
Hiding the unfunded pension liability problems likely to blow up here as they are in the UK won't be so easy to dismiss.
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