Two companies are battling for a $200 million-plus contract to provide health care to Tennessee's prison inmates.

One came in almost $16 million cheaper and has a long but controversial history of providing those services. The second, more expensive company has struggled to explain how it has enough experience to do the job. It also happens to employ the wife of the head of the Tennessee Department of Correction.

The second company, called Centurion, won.

Department of Correction Commissioner Derrick Schofield's wife, Latrese, works for the company as an inmate re-entry coordinator in Georgia. But that fact was never disclosed in Centurion's bid, nor was it mentioned at a protest hearing by the losing bidder last week, whose executives were confused about losing out on a job they had already been doing for more than two years.

Only two companies submitted bids, Centurion and Corizon. Corizon's bid came in at about $226 million while Centurion came in at about $241 million.

The Department of Correction maintains that there is no conflict and that Derrick Schofield recused himself from having any say in the awarding of the contract.

"We're confident that the process was appropriate and fair and resulted in the selection of the best-qualified bidder," said TDOC spokeswoman Dorinda Carter. "Ms. Schofield is not in a position of making decisions regarding the contract and she's not an executive-level employee."

Derrick Schofield has disclosed his wife's employment on ethics disclosures for the past three years. He declined to respond for this story through the agency spokeswoman.

Centurion said it also did not see a conflict but declined to answer specific questions about its bid and the omission of her employment in bidding documents.

"She is not now or has ever been involved in our Tennessee work," said Steve Wheeler, president of Centurion. "As it is under protest, it is not appropriate for me to answer any questions about the procurement."

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TN inmate health care deal raises conflict issue