The Geo Group expects $340M in annual revenues from two new U.S. Immigration and Customs Enforcement facility contracts, including one that will reopen a 2,329-bed immigration processing center in West Texas.
)
Big Spring, Texas, entered into a 10-year contract with ICE for the reactivation of the Big Spring Complex, which includes the 1,404-bed Flightline Facility and the 925-bed Cedar Hill Facility, Geo announced Monday. The Geo-owned facilities have been closed since 2021, after contracts with the U.S. Bureau of Prisons expired, according to NewsWest 9.
The Big Spring facility is expected to generate about $200M annually for Geo and is one of two contracts announced by the group in the past week.
Geo also secured a 10-year contract to continue managing the 1,635-bed, Geo-owned Northwest ICE Processing Center in Tacoma, Washington, which is expected to generate about $140M in annual revenues for Geo.
The company will provide security, maintenance and food services, as well as access to recreational amenities, medical care and transportation services, at both facilities.
Geo has been used by the federal government to hold migrants for 40 years.
Last month, the Department of Homeland Security paid Geo $950M for three Adelanto, California, facilities. This acquisition came as part of the government's strategy to buy facilities to detain and deport unauthorized immigrants. Geo and CoreCivic have been the primary sellers.
After pivoting from warehouse acquisitions, DHS awarded contracts worth up to $7.3B to potentially build new immigrant detention facilities. DHS also agreed to pay CoreCivic and Geo $240M annually to reactivate defunct immigrant facilities.
“We expect that our Big Spring Complex in Texas will play an important role in helping meet the need for increased federal immigration processing center bedspace,” Geo CEO George Zoley said in a statement.
The number of immigrants in detention increased from 60,311 to 65,765 between April and July, according to Trac Immigration. There were 16,450 ICE detainees in Texas, the state where ICE relied on detention facilities to house the most people this year, according to data from July.
)
)
)
)
)
)
)
)
)
)
)
)