Federal Government Spent Billions on Noncitizen Incarceration
The U.S. government spent $8 billion to incarcerate noncitizens between 2016 and 2023.
Updated on Sept. 28, 2026 in Immigration

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From 2016 to 2023, the federal government spent $8 billion on noncitizen incarceration, averaging $1 billion annually. A GAO study released in September 2026 detailed these expenditures and the composition of the incarcerated population.
Why it matters
The report highlights the fiscal impact of holding noncitizens in federal custody, which includes reimbursing local jurisdictions for incarceration costs. This expenditure is underscored by findings that noncitizens are overrepresented in certain federal conviction categories.
The GAO study confirms that noncitizens make up 15% of the federal prison population convicted of murder. Additionally, the government pays $200 million annually to reimburse local jurisdictions for holding illegal immigrants.
The players
Government Accountability Office
This is a nonpartisan federal agency that provides auditing, evaluation, and investigative services for the United States Congress.
Department of Justice
This federal executive department is responsible for the enforcement of federal laws and the administration of justice in the United States.
Department of Homeland Security
This cabinet department of the United States federal government is responsible for public security, including border and immigration enforcement.
The details
The government has phased out contracts with lower-cost private facilities, which previously offered beds at prices up to 35% lower than other detention sites. Data from the Department of Homeland Security indicates that two-thirds of the 62,700 foreign criminals reviewed in Bureau of Prisons custody had active deportation orders or pending proceedings.
Timeline
The federal government spent $8 billion on noncitizen incarceration between 2016 and 2023.
Noncitizens were held in federal custody throughout the period from 2017 to 2024.
The Government Accountability Office released its findings in September 2026.
Political Context
The federal government shift away from private detention facilities complicates efforts to control operational costs, as private beds historically cost up to 35% less. Opponents argue that such contract cancellations increase the financial burden on taxpayers without addressing the underlying causes of rising incarceration rates.
Taxpayers remain the primary source of the $1 billion spent annually on these incarceration costs. Policy decisions regarding private facility contracts directly influence how much the federal government pays out to local jurisdictions versus federal detention sites.
The takeaway
The federal government faces ongoing fiscal challenges balancing the high costs of incarceration with shifting detention facility policies. Monitoring these expenditures provides insight into how policy changes affect long-term national spending on correctional systems.
Further reading
For more on the intersection of border policy and federal spending, see our analysis on Immigration.
Source note: This article includes information reported by Washington Times.
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