"The loss of that long term contract leaves an $800,000 hole in the county budget, so it is a major fiscal issue that needs to be offset," he said.
Racine County lost the contract because it was unwilling to switch to a flexible pay system that would have allowed Kenosha County to only pay for beds they use during the year. Instead, it wanted Kenosha County to pay a flat fee for the year.
Washington County, located north of Milwaukee, allowed Kenosha County to switch to the flexible pay system. Kenosha County estimates it will save $200,000 a year by sending juveniles to Washington County.
Here's a Kenosha News story detailing the end of the 13-year arrangement between Kenosha and Racine counties for juvenile detention.
Here's a Journal Times' response with County Executive Bill McReynolds explaining the lost contract this way:
"Negotiations just broke down. It was a big contract. We felt it was a good deal for Racine County and Kenosha County. Things change. Things evolve. It is what it is."
