U.S. Immigration and Customs Enforcement (ICE) has announced plans to sell seven warehouses it purchased earlier this year for a planned expansion of detention capacity, after spending $20 million in unrecoverable costs on the facilities, according to a Government Accountability Office (GAO) report released Thursday.
The agency spent $1.07 billion to acquire 11 warehouses nationwide between January and April, but by June, ICE had decided to sell seven of them due to shifting priorities. The GAO found that ICE incurred $7.7 million in nonrecoverable costs, including zoning assessments and title insurance, for the seven warehouses it intends to sell. An additional $12.8 million was spent on utilities, security, and other services for those properties as of August. The GAO noted that ICE lacked a comprehensive strategic plan for its detention expansion initiatives, leading to significant financial waste.
ICE’s Rapid Expansion and Funding
ICE’s expansion efforts were accelerated by $170 billion in additional funding signed into law by President Donald Trump on July 4, 2025, through the One Big Beautiful Bill Act. The legislation allocated $45 billion for expanding ICE detention capacity and $30 billion for arrest and deportation operations. The GAO report criticized ICE for advancing six detention-expansion initiatives without conducting necessary analysis or planning, resulting in financial losses and operational inefficiencies.
Financial Mismanagement and Unused Funds
Federal spending records show that ICE spent more money in a single day in January than on any other day during Trump’s presidency, advancing $1.07 billion to Chicago Title Insurance for the acquisition of detention facilities. Over the next two months, ICE used the funds to purchase the 11 warehouses, but $2.2 billion remained with Chicago Title Insurance for months after the agency abandoned its warehouse plans. In July and August, ICE transferred $2.2 billion from Chicago Title to purchase four detention facilities from CoreCivic, a private prison company. The GAO warned that additional losses could occur if ICE sells the warehouses for less than their purchase price.
GAO’s Recommendations and ICE’s Response
The GAO concluded that ICE’s lack of planning led to “stops and starts” in its expansion efforts, resulting in wasted taxpayer dollars. Heather MacLeod, director of Homeland Security and Justice at GAO, stated, “We just saw a real lack of planning overall.” The watchdog recommended that ICE develop a strategic plan by August 31, 2027, though the GAO noted this timeline was not soon enough. ICE has not yet responded to requests for comment from Newsweek or CBS News.
Ongoing Contracts and Future Plans
Despite the financial setbacks, ICE continues to award contracts worth up to $10 billion to expand and construct new detention facilities. The agency has not disclosed whether additional purchases are planned, but $1.55 billion remains held by Chicago Title Insurance for potential future acquisitions. The GAO emphasized the need for urgent planning to prevent further waste, warning that without a clear strategy, ICE’s expansion efforts could lead to even greater financial losses.