More of the Same: Private Prison Corporations and Immigration Detention Under the Biden Administration | ACLU (2024)

Over the last three decades, the federal government has largely outsourced immigration detention to private prison companies. Today, private prison corporations like the GEO Group, CoreCivic, LaSalle Corrections, and the Management and Training Corporation (MTC) own or operate facilities that hold the overwhelming majority of detained people for Immigration and Customs Enforcement (ICE).

During the Trump administration, ICE expanded the immigration detention system by over 50 percent, signing contracts to open over 40 new detention facilities. This expansion overwhelmingly benefitted private prison companies, which housed 91 percent of all people held in detention centers that opened during those years. In a review of these new contracts, the Government Accountability Office (GAO) found that ICE failed to adhere to its own process for signing these agreements, concluding that ICE did not have documentation to justify the need for the space. The GAO also found that ICE disregarded the input of staff who advised against the use of several new facilities because of safety issues, understaffing, and poor conditions. In some instances, the Department of Justice (DOJ) had cancelled its contracts to house prisoners at the same facilities due to abuse and poor conditions.

Today, the Biden administration has the opportunity to reverse these trends. But closer examination shows that little has changed. In January 2021, President Biden issued an executive order directing the Department of Justice to phase out its contracts with private prison companies. The executive order instructed DOJ not to renew contracts with privately operated criminal detention facilities, including for Bureau of Prison (BOP) and U.S. Marshals Service (USMS) sites. But the executive order did not apply to ICE detention facilities.

Today, the Biden administration is filling private prison beds emptied out by its own executive order with detained immigrants.

Four Out of Five People in ICE Detention Remain Held in Privately-Run Facilities

Under the Trump administration, 81 percent of people detained each day in January 2020 were held in facilities owned or operated by private prison corporations.

This number remains virtually unchanged under the Biden administration. As of September 2021, 79 percent of people detained each day in ICE custody are detained in private detention facilities.

Private Prison Corporations Continue to Profit from ICE Detention Contracts

In the past several years, contracts for ICE detention made up approximately 25 percent of total revenue for both CoreCivic and the GEO Group. These corporations earned approximately the same amount of revenue from ICE detention contracts as they earned from Department of Justice (Bureau of Prisons and U.S. Marshals Service) contracts combined.

Even in spite of significant population reductions in 2020 due to the COVID-19 pandemic, revenues from ICE contracts remained relatively constant for these private prison companies. In 2019, 29 percent of CoreCivic’s revenue came from ICE detention contracts, at a total of $574 million. In 2020, 28 percent of CoreCivic’s revenue came from ICE detention contracts, at a total of $533 million. Twenty-eight percent of GEO’s revenue came from ICE detention contracts in both 2019 and 2020, at a total of $708 million in 2019 and $662 million in 2020.

The Biden Administration is Helping Private Prison Companies Fill Jail Cells Emptied by its Own Executive Order with Immigrant Detainees

As criminal justice reforms have reduced the number of incarcerated people held nationwide, private prison corporations have found themselves with empty beds to fill. Under the Trump administration, private prison corporations found a new source of income: detained immigrants. For example, after Louisiana enacted sentencing reform measures in 2019, the state’s incarceration dropped by almost 9,000 people in less than two years. Faced with the prospect of empty cells, private prison companies in Louisiana secured new contracts to detain over 6,000 more immigrants under the Trump administration. Private prison corporations in Texas also benefited from the boom. In many instances, these ICE detention contracts guaranteed minimum provisions that the GAO has concluded lacked “a strategic approach,” paying private prison corporations millions of dollars a month on unused detention beds. Today, ICE detains 42 percent of all immigrant detainees in Texas and Louisiana alone. At least 11 of these facilities have shifted operations entirely to detaining immigrants.

Even detention facilities that had lost their contracts with the federal government due to poor conditions won new ICE detention contracts—even over the objections of local ICE officials. In 2019, the Bureau of Prisons discontinued its use of the Adams County Detention Center in Natchez, Mississippi after understaffing, lack of medical care, and poor conditions led to deadly riots. Local ICE officers objected to the use of the Adams County facility as an immigration detention facility, but were overridden by ICE headquarters. Soon after, CoreCivic announced that it won a new contract to hold ICE detainees, noting that “more favorable contract terms . . . mitigated the impact of lower occupancy at this facility.”

In January 2021, GEO announced that the Bureau of Prisons had declined to renew its contract for the Moshannon Valley Correctional Facility in Pennsylvania, which was expected to generate $42 million in annualized revenue. GEO then informed its investors that it expected to market the facility “to other federal and state agencies.”

In September 2021, the GEO Group announced that it would reopen the facility as an ICE detention facility. Another federal contract with the Leavenworth Detention Center in Kansas, run by CoreCivic, is set to expire in December, and may also be in line to become another ICE detention facility. CoreCivic is actively attempting to replace its U.S. Marshals Service contract with an ICE detention contract at the West Tennessee Detention Facility in Mason, Tennessee.

This must change. The Biden administration must truly reverse course on immigration detention. It must begin by dramatically reducing detention rates, and investing in proven alternatives to detention, instead of wasting billions of dollars to support the coffers of private prison companies.

This article can be downloaded here.

More of the Same: Private Prison Corporations and Immigration Detention Under the Biden Administration | ACLU (2024)

FAQs

Who owns private prisons in us? ›

CoreCivic, formerly the Corrections Corporation of America (CCA), is a company that owns and manages private prisons and detention centers and operates others on a concession basis. Co-founded in 1983 in Nashville, Tennessee by Thomas W. Beasley, Robert Crants, and T.

What fraction of immigration detainees are held in private correctional facilities under contract with the federal government? ›

The turn to immigration detention

Instead, the Department of Homeland Security – which Biden's executive order ban does not extend to – contracts this responsibility to private companies. As a result, 79% of detained immigrants are held in facilities that are privately owned or operated.

Are most of the immigration beds used for detention owned and run by private facilities? ›

Under the Trump administration, 81 percent of people detained each day in January 2020 were held in facilities owned or operated by private prison corporations. This number remains virtually unchanged under the Biden administration.

What is the largest private correctional company in the United States? ›

CoreCivic Inc, formerly the Corrections Corporation of America, is a Nashville-based company that owns, leases, and operates prisons, immigration detention centers, and residential reentry centers in the U.S. It owns or manages 74 prisons and jails in the U.S. with a total capacity of 74,957 beds, which are 56% of all ...

Are US prisons run by private companies? ›

The largest prison system relying on privatization has been the federal Bureau of Prisons (BOP). Since 2000, the BOP's reliance on private facilities has increased by 39%. The number of people in federal custody in its private facilities totaled 21,565 people in 2021.

Does Biden support private prisons? ›

On the campaign trail, Joe Biden vowed to end the federal government's use of private prisons, declaring that “the federal government should not use private facilities for any detention, including detention of undocumented immigrants.” His policy platform also stated that his administration would tie funding decisions ...

Which state has the highest number of detained immigrants? ›

Statistics reveal that the state of Texas held the highest number of detainees in the United States as of the beginning of 2023. Furthermore, Texas also has the highest number of ICE detention facilities in all states, as listed on the ICE website.

How many people are detained for immigration violations in the US? ›

Immigration and Customs Enforcement held 32,743 in ICE detention according to data current as of August 27, 2023. 21,644 out of 32,743—or 66.1%—held in ICE detention have no criminal record, according to data current as of August 27, 2023. Many more have only minor offenses, including traffic violations.

How does the government justify using private prisons? ›

The government, unable to sustain the increasing number of inmates, sought privatized prisons to solve the dilemma. Today, for-profit companies are responsible for approximately 6 percent of state prisoners, 16 percent of federal prisoners, and nearly half of all immigrants detained by the federal government.

Why should immigration detention centers be banned? ›

According to Human Rights Watch, detainees held in prisons and jails are subjected to inhumane living conditions such as inadequate and poor nourishment, lack of clothing, and overcrowding and that correctional officers often lack the language skills necessary to meet special needs of immigrants.

Why are people put in immigration detention? ›

People detained under the Immigration and Refugee Protection Act are not facing criminal charges. They may be refugee claimants, survivors of armed conflict or torture; victims of smuggling and human trafficking; or even children. In many cases, detainees do not speak French or English.

How much money is spent on immigration detention centers? ›

The federal budget for fiscal year 2023 still provides ICE with $1.4 billion for a total of 25,000 detention beds. This spending is a waste.

How much does the US pay private prisons? ›

Key Statistics: Total U.S. government expenses on public prisons and jails: $80.7 billion + On private prisons and jails: $3.9 billion + Growth in justice system expenditures, 1982-2012 (adjusted for inflation): 310% +

Who makes money from private prisons? ›

In 2020, CoreCivic reported $1.9 billion in revenue, 82.2% of that coming from its private prison operations. Only 3.4% of CoreCivic's revenue was generated through “Community” contracts, such as the one it holds with CDCR. The majority of CoreCivic and GEO Group's revenues come from their private prison business.

What corporations benefit from private prisons? ›

Here are some of the biggest corporations to use such practices, but there are hundreds more:
  • McDonald's. McDonald's uses inmates to produce frozen foods. ...
  • Wal-Mart. The company uses inmates for manufacturing purposes. ...
  • Starbucks. ...
  • Sprint. ...
  • Verizon. ...
  • Victoria's Secret. ...
  • Fidelity Investments. ...
  • J.C Penney and Kmart.

How many US prisons are privately owned? ›

1,677 adult correctional facilities in the United States. 1 Of these, 111 were operated by the Federal Bureau of Prisons (BOP), 1,155 were operated by state correctional authorities, and 411 were privately operated (table 1).

Who is the biggest owner of private prisons? ›

CoreCivic is the largest private prison operator in the U.S. that uses the REITs investment model, with the Geo Group (GEO) following closely behind. Since their inception in the 1980s, CoreCivic and GEO have grown to enjoy over $1 billion in revenue each per year.

How are private prisons funded in the US? ›

They are run by private, third-party companies rather than the state government, who runs traditional public prison. Private prisons receive their funding from government contracts and many of these contracts are based on the total number of inmates and their average length of time served.

Who owns the most stock in private prisons? ›

Vanguard and iShares owner BlackRock (BLK) are the two largest holders of CoreCivic and GEO.

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