Source? Because that is insane.
"Ohio's deal requires the state to maintain a 90% occupancy rate, but Janes said that provision remains in effect for 18 months — not 20 years — before it can be renegotiated. As part of the deal, Ohio pays the company a monthly fee, totaling $3.8 million per year." [1]
Another big problem with private prisons and juvenile centers is that judges get greased to send kids to specific centers. [2]
[1] http://usatoday30.usatoday.com/news/nation/story/2012-03-01/...