CoreCivic has been awarded a new contract under an intergovernmental services agreement (IGSA) with the City of Mason, Tennessee, and U.S. Immigration and Customs Enforcement (ICE) to resume operations at its 600-bed West Tennessee Detention Facility. The facility has been idle since September 2021.
The IGSA is set to expire in August 2030 and includes a fixed monthly payment along with an incremental per diem payment based on detainee populations. Once fully activated, the facility is expected to generate approximately $30 million to $35 million in total annual revenue, with margins consistent with the CoreCivic Safety segment.
This award is anticipated to have a minimal impact on earnings in the third quarter of 2025, becoming accretive to earnings beginning in the fourth quarter of 2025, with a full ramp-up expected by the end of the first quarter of 2026. This marks the fourth previously idle facility CoreCivic has reactivated, aggregating approximately 6,600 beds for ICE.
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