ICE amends and extends IGSA with with Eloy, Arizona for CCA facility in Texas
Corrections Corporation of America announced that Immigration and Customs Enforcement, ICE has amended and extended its Intergovernmental Service Agreement, IGSA, with the City of Eloy, Arizona, for CCA's leased and operated 2,400-bed South Texas Family Residential Center. The updated agreement provides for a new, lower fixed monthly payment commencing in November 2016, with a new term extending through September 2021, subject to termination upon 60-day notice from ICE. The agreement can be further extended by bi-lateral modification. Concurrently, CCA and the third-party lessor of the South Texas Family Residential Center have agreed to modify the lease agreement to reflect a reduced monthly lease expense effective in November 2016, with a new term concurrent with the IGSA. CCA entered into the original agreement in September 2014 to provide residential housing and services at the South Texas Family Residential Center, when the country was faced with an unprecedented humanitarian crisis of family units crossing the southern border from Central America. CCA executed a plan to ready the site and complete construction of the facility at an extraordinary pace, and prepared the facility for a staged ramp capable of housing up to 2,400 residents by May 2015. Over the past several months, CCA has worked collaboratively with ICE to identify substantial cost savings opportunities afforded under a more stable operating environment.