Corrections Corporations of America (CCA) will receive payment from the federal government from their 2,400-bed family detention center regardless of how many beds are filled, according to The Washington Post.
Due to the high number of migrants crossing the border from Central American countries, the Obama administration agreed to a deal with CCA in a four-year, $1 billion contract to run the South Texas Residential Facility in Dilley, Texas. Typically, contracts between Immigration and Customs Enforcement (ICE) and private corporations have the payout based on the percentage of beds filled.
ICE spokesperson Jennifer Elzea said that the contract is “unique” in its payment because they pay "a fixed monthly fee for use of the entire facility regardless of the number of residents."
Rep. Zoe Lofgren (Calif.), the top Democrat on the House of Representatives' Immigration and Border Subcommittee, said "for the most part, what I see is a very expensive incarceration scheme. It's costly to the taxpayers and achieves almost nothing, other than trauma to already traumatized individuals."
Elzea also told The Washington Post that the Karnes County Residential Center, operated by GEO Group, is under a contract with a similar pay structure, where it will receive full payment regardless of the number of beds filled.