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CoreCivic’s path to opening an ICE detention center in Leavenworth has been made clearer, thanks to a federal judge’s ruling Thursday.

U.S. District Judge, Toby Crouse — who was appointed to the bench by President Donald Trump in 2020 — dismissed the lawsuit against CoreCivic, a private prison company, on May 22, for “lack of subject-matter jurisdiction.”
Subject matter jurisdiction pertains to the authority a court has to hear and decide upon a certain case and makes certain the court has authorization to handle a particular dispute.
“The City asserts that Core Civic should be enjoined from operating its detention facility without the proper permit,” Crouse wrote Thursday in his ruling. “But it has not pled facts to establish that subject-matter jurisdiction exists in federal court to consider that claim. Accordingly, this action is dismissed, and the parties’ motions are denied as moot.”
In a hearing Tuesday, representatives from both CoreCivic and the city of Leavenworth appeared at the U.S. District Courthouse in Topeka having filed respective motions.
Outside the courthouse, individuals in opposition to CoreCivic opening an ICE detention facility demonstrated with signs.
It’s not the first demonstration in opposition to CoreCivic opening an ICE detention facility in Leavenworth, the main topics of concern typically being previous incidents of violence at the former center and concerns about immigrant safety amidst President Trump’s nationwide crackdown on immigration, as well as local deportation scares.
The city’s motion was for the entry of a preliminary injunction, which is a temporary court order that the court issues before a trial that would prohibit a party from taking certain actions.
CoreCivic and the City of Leavenworth had already reached an agreement prior to this hearing that CoreCivic would not house any detainees in the already-constructed former Leavenworth Detention Center building, which was renamed the Midwest Regional Reception Center.
CoreCivic filed a motion to dismiss for “failure to state a claim upon which relief may be granted.”
The longstanding contention surrounding the operation of the MRRC as an ICE detection facility thickened when CoreCivic withdrew its application for a special use permit in March, a city-ordained requirement for nonconforming use properties.
That same month, CoreCivic signed a letter agreement for the 1,033-bed MRRC, kickstarting what the company's president and chief operating officer, Patrick Swindle called, "preliminary activation activities" in its May 7 earnings call.
"These letter agreements provide initial funding to CoreCivic for activating these facilities while we work with ICE to negotiate and execute longer-term contracts," Swindle said on the call.
CoreCivic argues that its Leavenworth facility never closed after a federal mandate to no longer house detainees in 2021, something Judge Crouse speaks to in his ruling.
“In 2021, CoreCivic stopped operating the facility,” the ruling reads. “Because it ceased operation for twelve months, CoreCivic lost the non- conforming use status and had to secure a special use permit to operate the facility again.”
Crouse explains that the two main circumstances in which federal district courts would have original jurisdiction to hear a civil dispute are 1) federal question jurisdiction, where “federal law creates the cause of action asserted,” or 2) diversity jurisdiction, which is when a cause of action that comes up under state law involves “completely diverse parties” and “the matter in controversy exceeds the sum or value of $75,000, exclusive interests and costs…”
The City of Leavenworth argues CoreCivic’s property value exceeds $75,000.
This argument, coupled with CoreCivic being headquartered in Tennessee and incorporated in Maryland, made for the city’s diversity jurisdiction claim.
Crouse’s ruling states that because the city was not seeking any monetary damages and that “the property in question is the subject of this lawsuit, not the object— the object is declaratory and injunctive relief,” he denied the city’s motion.
“It matters not what the value of the real property is,” Crouse wrote. “None of the facts pled by the City permit a calculation of either the value of an injunction to the City or the cost of complying with an injunction to CoreCivic.”
In an email Friday, Leavenworth city manager Scott Peterson wrote to KSHB 41: “The City is aware of the judge’s ruling, but we are considering our available options at this time.”
Ryan Gustin, CoreCivic’s Senior Director of Public Affairs, responded with satisfaction over the judge’s ruling.
“We are grateful for the Court's decision,” Gustin said. “We remain focused on ensuring the Midwest Regional Reception Center is prepared to meet the needs of our federal partner. And as we continue to bring jobs and other economic benefits to the community, it remains our strong desire to work in close partnership with Leavenworth and its leaders.”
Among those “economic benefits,” include a $10,000 donation the MRRC made to Leavenworth VFW Post 56 in honor of Memorial Day, Gustin shared.
CoreCivic has yet to confirm what date it’s eyeing to begin housing detainees, and KSHB 41 has not received confirmation from the city of Leavenworth over whether or not it plans to appeal the judge’s ruling.
The 10th U.S. Circuit Court of Appeals in Denver would handle that appeal.