The U.S. Department of Homeland Security (DHS) has acquired two privately operated detention facilities in Southern California from CoreCivic, a for-profit prison company, for about $1.5 billion, according to a company announcement. The move, which transfers ownership of the Otay Mesa Detention Center and California City Detention Center to the federal government, has sparked legal and ethical debates over the balance between federal authority and state oversight of immigration detention operations.
California law requires that privately held detention centers be subject to oversight by local and state authorities, as well as members of Congress. However, the federal acquisition of the facilities may limit the ability of state officials to inspect conditions within the buildings, raising concerns about transparency and accountability. “It seems like a very clear attempt to evade oversight and accountability,” said Alexa Van Brunt, a civil rights attorney with the MacArthur Justice Center. “If they own the building, then there is a very good argument that a state law cannot trump federal ownership.”
Federal Ownership as a Strategy for Legal Protection
DHS cited the need to secure detention capacity amid state-level efforts to restrict private prisons as a key rationale for the purchase. An agency spokesperson stated, “ICE can not rely on local state and county partners for detention space in California,” where “politicians continue to push legislation to outlaw or make private prisons financially infeasible.” The spokesperson emphasized that “with federal ownership of these detention centers which are crucial to ICE’s detention network on the west coast ICE retains the detention capacity needed to arrest, detain, and remove illegal aliens.”
The transaction could also shield the facilities from legal challenges. Katya Schwenk of The Lever noted in March that federal ownership might help Immigration and Customs Enforcement (ICE) avoid “some lawsuits tied to alleged abuse, including labor violations.” For instance, the ongoing class-action lawsuit *Owino v. CoreCivic*, which alleges forced labor at Otay Mesa, may face procedural hurdles under federal jurisdiction.
State and Advocacy Group Reactions
California state Sen. María Elena Durazo, who co-sponsored legislation to strengthen state oversight, condemned the move. “It is shameful for any government agency to try to sidestep basic health and safety protections for people in its custody,” she said. Durazo highlighted that California’s oversight framework was established because the state has seen too many abuses, including deaths, behind closed doors.
CoreCivic representative Ryan Gustin did not respond to questions about how federal ownership of the facilities might impact oversight. A company statement said, “Asset transactions of this nature are not uncommon for government.” The statement added that operating government-owned facilities is a “well-established model within our business.”
Broader Industry Trends and Legal Risks
The purchase aligns with a broader trend among private detention contractors to transfer facilities to federal ownership to mitigate state regulatory risks. George Zoley, CEO of GEO Group, stated in May that federal ownership “provides stronger credibility in the courts” and limits state involvement in detention policies. “States can only have very limited involvement in those policies and programs,” he added.
ICE facilities, both privately and publicly owned, have faced numerous lawsuits over detainee mistreatment, forced labor, health code violations, and deaths in custody. According to data compiled by lawyer and journalist Andrew Free, at least 21 people have died in ICE custody this year. The agency’s detention population has grown from around 45,000 last year to more than 63,000 as of this week, compounding concerns about conditions.
Challenges to Transparency and Accountability
Sen. Alex Padilla (D-Calif.), who has conducted oversight visits at Otay Mesa, criticized the lack of access for state officials. “Too many people who pose no threat to public safety and should not be in detention are nevertheless being held in unacceptable conditions with inadequate access to medical care, legal counsel, clean water, nutritious food, and other basic necessities,” he said. Padilla emphasized that his expectations for humane treatment apply regardless of whether facilities are operated by private contractors or federal agencies.
Advocacy groups argue that the purchase reflects ICE’s broader strategy to expand detention infrastructure.