DHS purchases private detention centers amid surge in immigration lawsuits

The Department of Homeland Security (DHS) has spent approximately $2.2 billion to purchase four privately owned immigration detention centers, transitioning them to federal ownership. The facilities, located in California City and San Diego, California, as well as Appleton, Minnesota, and Leavenworth, Kansas, were previously owned by CoreCivic. While ownership has shifted, CoreCivic and GEO Group continue to manage facilities under lucrative long-term contracts.

This shift to federal ownership may reduce the ability of state and local officials to enforce oversight and inspections. DHS has cited resistance from Democratic-led states as a motivation for the direct purchases.

Simultaneously, aggressive immigration detention policies have led to a massive surge in federal litigation. A July 2025 memo expanded mandatory detention without bond by reclassifying long-term undocumented residents as “applicants for admission” under Section 235 of the Immigration and Nationality Act. This policy change has resulted in over 16,000 judicial rulings against ICE detention policies, placing significant strain on the federal court system and requiring judges to be brought in from other jurisdictions to handle the caseload.