Takeaways from AP's reporting on shuttered prisons, mass deportation push and no-bid contracts

Private prison operators are marketing their shuttered lockups to federal immigration officials as President Donald Trump pushes for mass deportations, with some facilities nabbing lucrative no-bid contracts.
When Trump, a Republican, took office, politically connected private-prison giants CoreCivic Inc. and The Geo Group Inc. had around 20 idle facilities, partially the result of sentencing reforms that reduced prison populations.
But the push to reopen them has been met with resistance in unexpected places like Leavenworth, Kansas, a town whose name alone evokes a short hand for serving hard time. The Leavenworth facility was mothballed in late 2021 after then-President Joe Biden, a Democrat, called on the U.S. Department of Justice to curb the use of private prisons.
Here's a look at some of the takeaways from an Associated Press report about private prisons in the era of mass deportations.
Demand for bed spurs interest in private prisons
The Trump administration wants to increase its budgeted capacity of about 41,000 beds for detaining migrants to at least 100,000 beds and maybe — if private prison executives' predictions are accurate — more than 150,000.
That has a gallery of shuttered facilities — some with a history of issues — coming online near major immigrant population centers, from New York to Los Angeles, where Trump hopes to detain and deport millions of people.
With Congress weighing massive spending increases for deportations, the companies' stock and profit estimates have soared.
Deals inked as contract modifications or without bids
Just last week, Geo Group announced that ICE modified a contract for an existing detention center in southeastern Georgia so that the company could reopen an idle prison on adjacent land to hold 1,868 migrants.
'Never in our 42-year company history have we had so much activity and demand for our services as we are seeing right now,' said CoreCivic CEO Damon Hininger during an earnings call last month with shareholders.
Leavenworth inspired the term 'the big house'
But skeptical city officials in Leavenworth, a town of around 37,000 residents on the northwest fringe of the Kansas City metropolitan area, argue that CoreCivic needs a special use permit to reopen its facility. CoreCivic disagrees, saying that it doesn't because it never abandoned the facility and that the permitting process would take too long. Leavenworth sued the company to force it to get one, and a state-court judge last week issued an order requiring it.
The area's politics and roots as a prison town might have been expected to help CoreCivic. Trump carried its county by more than 20 percentage points in each of his three campaigns for president. And in years past, the federal penitentiary housed gangsters Al Capone and Machine Gun Kelly — in a building so storied that it inspired the term 'the big house.'
CoreCivic 'caused the city all kinds of heartburn,' attorney says
An attorney for the city, Joe Hatley, said the legal fight indicates how much ill will CoreCivic generated when it held criminal suspects there for trials in federal court for the U.S. Marshals Service.
'They just mismanaged it, and it caused the city all kinds of heartburn,' Hatley said.
Vacancies among correctional officers were as high as 23%, according to a Department of Justice report in 2017.
'It was just mayhem,' recalled William Rogers, who worked as a guard at the CoreCivic facility in Leavenworth from 2016 through 2020.
And the American Civil Liberties Union and federal public defenders detailed stabbings, suicides, a homicide and inmate rights violations in a 2021 letter to the White House. CoreCivic responded at the time that the claims were 'false and defamatory.'
Critics have included a federal judge
When Leavenworth sued CoreCivic, it opened its lawsuit with a quote from U.S. District Court Judge Julie Robinson — an appointee of President George W. Bush, a Republican — who said of the prison: 'The only way I could describe it frankly, what's going on at CoreCivic right now is it's an absolute hell hole.'
The city's lawsuit described detainees locked in showers as punishment. It said that sheets and towels from the facility clogged up the wastewater system and that CoreCivic impeded the city police force's ability to investigate sexual assaults and other violent crimes.
The facility had no inmates when CoreCivic gave reporters a tour earlier this year, and it looked scrubbed top to bottom and the smell of disinfectant hung in the air.
When asked about the allegations of past problems, Misty Mackey, a longtime CoreCivic employee who was tapped to serve as warden there, apologized for past employees' experiences and said the company officials 'do our best to make sure that we learn from different situations.'
From idle prisons to a 'gold rush'
ICE declared a national emergency on the U.S. border with Mexico as part of its justification for authorizing nine five-year contracts for a combined 10,312 beds without 'Full and Open Competition.'
Only three of the nine potential facilities were listed in ICE's document: Leavenworth, a 2,560-bed CoreCivic-owned facility in California City, California, and an 1,800-bed Geo-owned prison in Baldwin, Michigan.
The agreement for the Leavenworth facility hasn't been released, nor have documents for the other two sites. CoreCivic and Geo Group officials said last month on earnings calls that ICE used what are known as letter contracts, meant to speed things up when time is critical.
CoreCivic officials said ICE's letter contracts provide initial funding to begin reopening facilities while the company negotiates a longer-term deal. The Leavenworth deal is worth $4.2 million a month to the company, it disclosed in a court filing.
Financial analysts on company earnings calls have been delighted. When CoreCivic announced its letter contracts, Joe Gomes, of the financial services firm Noble Capital Markets, responded with, 'Great news.'
'Are you hiding any more of them on us?' he asked.
___
Hanna reported from Topeka, Kan. Associated Press writers Joshua Goodman in Miami and Morgan Lee, in Santa Fe, N.M., contributed reporting.

Try Our AI Features

Explore what Daily8 AI can do for you:

Learn with AIFact CheckingText to SpeechAI Summary

Related Articles

Auto Blog

31 minutes ago

• Auto Blog

Toyota Aims to Meet Stateside GR Corolla Demand with UK Production Line

Toyota's GR Corolla is one hot ride On paper, it is easy to understand the hype for the Toyota GR Corolla. For $39,995, car enthusiasts can pretty much get the closest thing to a WRC-winning rally car that money can buy and that your DMV will let you register for road use. While it shares its body with a practical five-door hatchback, Toyota's Gazoo Racing division stuffed lots of high-performance toys for unlimited smiles per gallon, including a turbocharged 1.6-liter three-cylinder engine producing 300 rampageous horsepower under the hood, an all-wheel-drive system, track-ready suspension, and a stiffened chassis. 2025 Toyota GR Corolla — Source: Toyota Toyota isn't faffing about with American demand for its pocket rocket With all this in tow, it is easy to see how Toyota's fast, little hatchback could be a sleeper hit that is taking the automaker by surprise. According to a new report by Reuters, insiders say that demand for the all-wheel-drive pocket rocket in the U.S. is so high that it is making a major production shift to satisfy their cravings. According to two sources close to Toyota, the Japanese automaker is moving some GR production from Japan to the UK in order to reduce the delivery wait times for export vehicles for the North American market. Currently, the GR Corolla is built on a dedicated assembly line shared with the GR Yaris at Toyota's Motomachi plant in Toyota City, Japan, which is reportedly insufficient to satisfy enthusiast demand in the U.S. and Canada. To accommodate this, Toyota will spend nearly $56 million to dedicate one production line at its plant in Burnaston, Derbyshire, in the UK. When it comes online in 2026, this line will be capable of producing 10,000 cars per year for export to the North American market. Opened in 1992, Burnaston uses some of Toyota's advanced production technology to pump out cars as fast as one per 60 seconds. Already, the English factory produces the Toyota Corolla hatchback, the vehicle on which the GR Corolla is based. The 2025 Toyota GR Corolla on the streets of SoHo in New York City. — Source: James Ochoa However, one Toyota source who spoke to Reuters said that the automaker will temporarily dispatch engineers to the English factory to share its expertise and knowledge with the workers on building such a car. The sources who spoke with Reuters emphasized that GR models like the GR Corolla and GR Yaris require more time and effort to produce than their non-GR counterparts because of the many procedures that machines cannot do. Autoblog Newsletter Autoblog brings you car news; expert reviews and exciting pictures and video. Research and compare vehicles, too. Sign up or sign in with Google Facebook Microsoft Apple By signing up I agree to the Terms of Use and acknowledge that I have read the Privacy Policy . You may unsubscribe from email communication at anytime. Moving production of high-margin cars to the UK can be a tariff power move. Although Toyota produces and sells a smaller chunk of GR Corollas compared to its more mainstream models, Toyota insiders note that their higher price tags compared to 'regular' Corollas command higher margins for the company, which could be a good deal, given the tariff situation currently at hand. Earlier this month, the Trump administration brokered a trade deal with Kier Starmer and the British government to reduce tariffs on UK vehicle imports from 27.5% to 10%. While automakers seem to get a break, the Trump administration restricts this 'special rate' for the first 100,000 cars automakers bring on American shores. Toyota insiders told Reuters that the move was not made because of President Donald Trump's tariffs on imported cars. 2025 Toyota GR Corolla — Source: James Ochoa Final thoughts I am not surprised that Toyota would be considering this move, as there seems to be something about the UK and hatchbacks. Previously, the last generation of Honda Civic Type R was made in Swindon, England, alongside production of the 'standard' Civic Hatchback destined for American shores. Nonetheless, the GR Corolla is an exhilarating car, even when equipped with an automatic transmission. However, I do hope that when they make this shift, Toyota GR fans will be vigilant for any noticeable differences in build quality compared to units from the Motomachi plant. Those GR engineers have a lot on their plates. About the Author James Ochoa View Profile

Daily Mail​

34 minutes ago

• Daily Mail​

Trump turns against Fox News after shock poll and singles out anchor Jessica Tarlov for 'soiling' evening broadcast

Donald Trump continued his recent feud with Fox News, saying liberal commentator Jessica Tarlov's appearances are what 'make MAGA absolutely hate' the network. Trump posted to Truth Social Friday: 'Why does Fox News allow failed TV personality Jessica Tarlov to 'soil' The Five? Her voice, her manner, and above all else, what she says, are a disgrace to television broadcasting.' The president appears to be reacting to Tarlov - the most consistent Trump-hating voice on the show and network - discussing negative polling numbers on Friday's show. 'I've had the best poll numbers that I've ever had, and she is constantly saying the exact opposite. The just out highly respected Rasmussen Poll is at 56%, Insider Advantage 54%, and many others are at 56% to 68%! Sadly, the audience has to listen to her spew off that I am doing poorly in the polls, while I am beating the democrats by 15%+ points and, more importantly, I just won an election against two candidates, Sleepy Joe and Kamala, in a Landslide by winning all 7 Swing States, and the Popular Vote by millions, with records broken everywhere!' Trump still stood by commentators Jesse Watters and Greg Gutfeld, saying the pair are 'terrific' but that they 'don't see all of these poll numbers and can't, therefore come to my defense. But I can!' He continued: 'Nobody can stand Tarlov! She lies over and over again, and MAGA is complaining, BIG LEAGUE, that she's all over Fox. Watch their ratings go down by keeping her on the show — nobody wants to listen to her. Why doesn't she talk about the fact that I had ZERO illegal aliens come into our Country last month, whereas Sleepy Joe Biden allowed 62,000 people in, many from prisons, mental institutions, and gangs.' The president finished by writing that 'people like Jessica Tarlov make MAGA absolutely hate Fox!' Tarlov was citing polls that had Trump in the red with both independents and overall voters on key issues. The president appears to be reacting to Tarlov (pictured) - the most consistent Trump-hating voice on the show and network - discussing negative polling numbers on Friday's show 'When we say the people don't like this, they don't like it. That doesn't mean that Democrats aren't still unpopular. That doesn't mean I don't know if the election was held again today Donald Trump might very well win again if it was.' However, she said that 'directionally' the polling numbers are going against the president. His comments Friday come after Trump went on a tear Thursday morning after a new Fox News Channel poll showed Americans split on the Republican's immigration policy. 'The Crooked FoxNews Polls got the Election WRONG, I won by much more than they said I would, and have been biased against me for years. They are always wrong and negative,' Trump posted to Truth Social. 'It's why MAGA HATES FoxNews, even though their anchors are GREAT,' Trump fumed. 'This has gone on for years, but they never change the incompetent polling company that does their work.' He then pointed to the latest survey. The poll, which was released Wednesday, showed Trump with a 46 percent approval rating overall, with another 54 percent disapproving of the job he's done so far. His numbers on 'border security' were better - with 53 percent approving and 46 percent disapproving. Trump still stood by commentators Jesse Watters (pictured center) and Greg Gutfeld (pictured right), saying the pair are 'terrific' but that they 'd on't see all of these poll numbers and can't, therefore come to my defense. But I can!' When voters were asked about 'immigration' his numbers were lower again. Forty-six percent said they approved and 53 percent said they disapproved. His lowest numbers were actually on the topic of 'inflation,' with 64 percent disapproving of Trump's handling of this top economic issue, and just 34 percent approving. Still, he took offense at how he was being rated on the border. 'Now a FoxNews poll comes out this morning giving me a little more than 50% at the Border, and yet the Border is miraculously perfect, NOBODY WAS ABLE TO COME IN LAST MONTH,' he wrote. '60,000 people came in with Sleepy Joe in the same month last year.' 'I hate FAKE pollsters, one of the Worst, but Fox will never change their discredited pollster!' the president complained. The outburst came Thursday morning as the world continued to wait and see whether the United States would join Israel in its current bombing campaign against Iran. The Wall Street Journal reported Wednesday night that Trump had signed off on an attack plan for Iran but the president had yet to issue a final order. Overnight Thursday the U.S. did not get involved in the week-long war between Israel and Iran. 'The Wall Street Journal has No Idea what my thoughts are concerning Iran!' also wrote on Truth Social Thursday morning. The president also slammed Federal Reserve Chairman Jerome Powell - who he appointed - after the Fed decided Wednesday not to push interest rates down as Trump has demanded. '"Too Late" Jerome Powell is costing our Country Hundreds of Billions of Dollars. He is truly one of the dumbest, and most destructive, people in Government, and the Fed Board is complicit,' Trump wrote. 'Europe has had 10 cuts, we have had none,' he continued. 'We should be 2.5 Points lower, and save $BILLIONS on all of Biden's Short Term Debt.' 'We have LOW inflation! TOO LATE's an American Disgrace!' Trump wrote.

Auto Blog

35 minutes ago

• Auto Blog

Trump Tariffs to Add $1,760 to New Car Prices in 2025

Automakers Expected to Pass Tariff Costs to Consumers If you've been saving your pennies, hoping to scrimp together enough money to afford the new vehicle you've been wanting, you may need to dig deeper into the couch cushions. Its price is likely to go up by nearly $2,000 – and possibly a good bit more thanks to Pres. Donald Trump's new tariffs on imported autos and auto parts. All told, automakers will take a $30 billion hit this year due to the new trade sanctions and while manufacturers will swallow some of the tab, predicts a new study, they'll pass 80% of the cost onto consumers. Don't be surprised to see some products disappear from the market entirely, said suburban Detroit consultancy AlixPartners, especially some of the import models likely to be hit hardest by the new tariffs. Land Rover Defender 90 'A Big Wall of Cost' 'These tariffs bring a big wall of cost,' Mark Wakefield, the head of AlixPartners' auto practice said during an online briefing with reporters, with 'consumers taking the majority of the hit.' If there's any shred of a silver lining to the 2025 AlixPartners Global Automotive Outlook it's that we could see the White House continue to revise its tariffs on import autos and auto parts, even as it works up trade deals that. The consultancy anticipates this will eventually lower the sanctions from 25% to an average closer to 7.5%. Even Domestic Models Will be Impacted The White House has rolled out an assortment of new tariffs and has yet to fully lock down the rules, David Steinert, a partner in the AlixPartners auto practice, said during a follow-up interview with Autoblog. 'The tariffs have changed a lot over the last 60 days,' and will likely continue to be revised in the months ahead. As a result, it's difficult to come up with hard numbers – but the consultancy's 'best guess,' he added, is that the typical vehicle will cost at least $1,760 more than before the tariffs went into effect. And for foreign-made luxury models that could ran into the tens of thousands. Autoblog Newsletter Autoblog brings you car news; expert reviews and exciting pictures and video. Research and compare vehicles, too. Sign up or sign in with Google Facebook Microsoft Apple By signing up I agree to the Terms of Use and acknowledge that I have read the Privacy Policy . You may unsubscribe from email communication at anytime. 'Vehicles that are produced in the US today are the most advantaged,' Steinert said, 'but even domestically-sourced vehicles bring in lots of (foreign-made) parts' that are now subject to tariffs. And the duties will be especially high if those parts come in from China. Entry-Level Cars May Vanish as Costs Rise Automakers are expected to pass on about 80% of their tariff costs – though they won't do it uniformly, the AlixPartners study anticipates. 'Entry-level and mainstream cars will have less of a pass-through' than luxury and exotic models, explained Steinert. Automakers want to avoid driving budget buyers out of the new vehicle market. On the other hand, with 'higher-end brands, with customers who are less price-sensitive, more of the tariffs (will be) passed through.' In some cases, manufacturers may not find it worthwhile to absorb tariff costs. Nissan has already decided to dump the Versa, what is today the most affordable product line in the U.S., at the end of this year, according to Automotive News. Even some higher-end models could be dropped, said Steinert, if manufacturers find higher prices dry up sales. Luxury and Imported EVs Face Steepest Increases Battery-electric vehicles are seen as especially vulnerable, warned AlixPartners. A number of today's models, such as the Audi Q5 e-tron and Mercedes EQE sedan, are imported and face hefty tariffs. Even domestically assembled models, like the Tesla Model Y, typically rely on batteries either shipped in from China or built domestically using Chinese raw materials. Complicating matters: the federal budget bill backed by the Trump administration and now working its way through Congress. It is expected to eliminate federal tax credits of up to $7,500. And, said Wakefield, buyers are likely to 'follow their pocketbook' and stick to more affordable vehicles with internal combustion engines. In its 2023 Global Automotive Outlook, AlixPartners forecast EVs would account for 31% of the U.S. market. It now anticipates a figure closer to 17%. Source: Mercedes-Benz New Car Sales Likely to Decline Through 2027 Conventional wisdom suggests the new tariffs will result in declining new vehicle sales. The real question is how much of a slump might they trigger. Last month, Cox Automotive forecast demand could drop to as low as 15 million, about 1 million below the 2024 total. And the study warned that could dip into the low 14 million range in the event of a recession. For his part, AlixPartner's Wakefield is more upbeat. He thinks the U.S. market will decline by about 1 million – but over a three-year period – and then begin to bounce back. But there's a caveat. This would require the Trump administration to deliver on its promise to negotiate new trade agreements with key partners. So far, however, it's struggling to follow through, with only one big deal in place with the United Kingdom. About the Author Paul Eisenstein View Profile