October 9, 2026  /  Criminal Law

Missouri Has No Private Prisons. It Still Found Ways to Profit From Incarceration.

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Missouri does not have a single privately operated state prison. It did not need one. For three decades, the state and its counties built a system in which incarcerated people were billed for their own confinement, their families paid premium prices to stay in touch, contractors earned billions providing services behind the walls, and jail beds were rented out by the night. The repeal of Missouri’s prison “pay-to-stay” law in 2025 closed one piece of that system. Much of the rest remains.

Missouri’s criminal code describes the purposes of punishment in the familiar language of deterrence, public safety, and rehabilitation. The statutes and contracts that actually govern what happens to a person after sentencing tell a different story. Read together, they show a system designed at least as much to move money as to change lives: from the incarcerated person to the state, from families to vendors, and from the federal government to county jails. This article examines that system, the law that ended one of its most aggressive features, and who has benefited.

90%

Share of a prisoner’s assets the State could seize under the repealed pay-to-stay law

$1.4B

Value of Missouri’s prison health care contract awarded in 2021

$161

Nightly rate one Missouri county said it could earn per federal detainee

5¢

Low end of the hourly wage reported for regular Missouri prison jobs

Where Are Missouri’s For-Profit Prisons?

The honest answer surprises most people: inside Missouri, there are none operating state prisons. According to the Sentencing Project, Missouri held zero state prisoners in private facilities in both 2000 and 2021, and the Department of Corrections said as far back as 2009 that it did not contract with private prisons and did not expect to. The state did host small privately run jails in the past, in Holden and Bethany, which housed local and federal detainees under per-day arrangements. A 1995 bill to ban private jails and prisons outright never advanced past committee.

The for-profit detention closest to Missouri sits just across the state line. CoreCivic, the nation’s largest private prison operator, reopened its Leavenworth, Kansas facility in the Kansas City metropolitan area in March 2026 as an immigration detention center, the Midwest Regional Reception Center, with capacity for more than 1,000 detainees. Its population rose from 20 in mid-March to 249 by May. Nationally, NPR reported that CoreCivic and GEO Group took in roughly $1.4 billion in combined revenue in a single quarter of 2026 as immigration detention expanded.

Missouri’s own version of the for-profit model runs through public jails. At least four Missouri county jails hold federal immigration detainees under intergovernmental agreements, including the Greene County Jail in Springfield and the Ste. Genevieve County Jail, and until September 2025 the Phelps County Jail in Rolla. Greene County’s sheriff told commissioners in 2025 that the county could receive as much as $161 per federal detainee per day, up from $100, as reported by the St. Louis Post-Dispatch. Phelps County left the program after concluding that the $85 nightly rate did not cover its costs. In May 2026, two members of Congress who toured the Ste. Genevieve jail, which may hold up to 400 ICE detainees, described overcrowded cells and detainees drinking from showers, according to St. Louis Public Radio.

Billing People for Their Own Incarceration

The state prison “pay-to-stay” law

For decades, until 2025, the Missouri Incarceration Reimbursement Act, RSMo §§ 217.825 to 217.841, allowed the Attorney General to sue people in state prison to recover the cost of their own confinement. When a prisoner’s trust account held more than 10% of the estimated annual cost of incarceration, the State could seek to attach up to 90% of the funds. The Supreme Court of Missouri upheld the law in State ex rel. Nixon v. Powell (2005).

In practice, the law targeted the rare prisoner who received money from outside. Prison Legal News documented cases in which the State took $12,500 that a man received from an insurance policy after his mother’s death, and $55,700 that another man received in a pharmaceutical settlement. The money was not restitution to any victim. It went to the State as reimbursement for the cost of the prison itself.

County jail “board bills”

A separate statute, RSMo § 221.070, makes every person committed to a county jail after a finding of guilt liable for the cost of transport and “support” in the jail, payable “before he or she shall be discharged,” and binds the person’s property for that debt. Counties set their own daily rates. In one case that reached the Supreme Court of Missouri, a 90-day sentence produced a board bill of $3,150, or $35 a day. Unpaid bills can be certified to the Office of State Courts Administrator and collected by intercepting state tax refunds and lottery winnings.

For years, some courts went further and jailed people who could not pay, generating new board bills for the new jail time. In State v. Richey and State v. Wright (Mo. banc March 19, 2019), the Supreme Court of Missouri unanimously held that board bills cannot be taxed as court costs and cannot be enforced through reincarceration. One of the defendants had been jailed for 65 more days on a failure-to-pay warrant, adding $2,275 to his bill. Critics across the political spectrum, including then-Attorney General Eric Schmitt and the ACLU of Missouri, had described the practice as a modern debtors’ prison.

The debt itself, however, survives. Section 221.070 has not been repealed, and people leaving Missouri county jails can still be billed for each day they were held.

What the State paid when it was the one being billed

The comparison is telling. When counties house people sentenced to state prison, the State reimburses them by the day under RSMo § 550.320. The statutory cap was $37.50 a day, but in 2019 the State was actually paying about $22.81 a day, while the average cost to the counties was $71.14, and it owed counties more than $33 million in arrears, according to Prison Legal News. The same State that billed prisoners for the full cost of their confinement paid less than a third of that cost when the bill was its own.

The 2025 Repeal and Why It Happened

• The bill: The repeal of the Missouri Incarceration Reimbursement Act was attached to House Bill 495, the 2025 bill that created state oversight of the St. Louis police department. Governor Mike Kehoe signed it on March 26, 2025, and the Revisor of Statutes now lists §§ 217.825 to 217.841 as repealed by HB 495.

• The sponsor: The repeal language came from HB 723, filed by Representative Tara Peters (R-Rolla). A Senate version filed by Senator Stephen Webber (D-Columbia) had stalled.

• Other changes in HB 495: limits on charges for prison and jail phone calls, a ban on shackling pregnant prisoners, and a new fund to compensate exonerated prisoners.

The reasons for repeal were practical as much as moral. Advocates from both parties argued that seizing a person’s savings, inheritance, or settlement on the way out of prison left them with nothing to start over, undermining re-entry and increasing the odds of a return to prison. The numbers did not help the law’s defenders. According to Prison Legal News, the Attorney General filed only 143 such suits over 14 years, with a median recovery of $13,779, and collections averaged about $253,900 a year against a Department of Corrections budget of roughly $947 million. The program recovered a rounding error for the State while taking everything from the people it targeted.

A system built for reform does not take a man’s inheritance on his way out the door. A system built to recover costs does.

Who Profited

The parties below are identified from public contracts, court records, and published reporting. This list names organizations rather than individuals because the documented financial benefit flowed to companies and government entities; it is not an allegation of wrongdoing by any person.

WhoHowDocumented figures
Corizon HealthHeld the Missouri Department of Corrections health care contract from 1992 to 2021Described by the Missouri Independent as the nation’s largest for-profit prison health provider, subject to numerous lawsuits alleging substandard care
Centurion Health (subsidiary of St. Louis-based Centene)Won the prison health care contract in 2021Contract valued at $1.4 billion over its full term, $174.6 million in the first year
Securus TechnologiesDepartment of Corrections telephone providerPer-minute charges paid by prisoners and families; HB 495 later limited prison and jail phone charges
CoreCivicOperates the Leavenworth, Kansas immigration detention center serving the Kansas City regionReopened March 2026 with capacity over 1,000; $684.9 million in company revenue in one 2026 quarter
County jails holding federal detaineesRent jail beds to ICE and the U.S. Marshals by the nightUp to $161 per detainee per day reported in Greene County; $85 per night in Phelps County
County governmentsBoard bills charged to people held in county jailsCollected through tax-refund and lottery intercepts under § 221.070
The State of MissouriPay-to-stay suits under the Incarceration Reimbursement Act until 2025About $253,900 a year; median recovery $13,779 per case
Missouri Vocational EnterprisesState-run prison industries that sell goods made with prison laborReported prison wages from $0.30 to $1.25 an hour in industries and as little as $0.05 an hour in regular prison jobs (Prison Policy Initiative, 2017)

The Other Side of the Argument

Defenders of these arrangements make arguments that deserve a fair hearing. Supporters of cost-recovery laws argue that taxpayers should not bear the entire cost of confinement when an incarcerated person has the means to contribute. Sheriffs point out that federal per-diem payments offset the cost of running local jails and can spare county residents a tax increase. Contracted health care is competitively bid, and the State argues it brings medical expertise a corrections agency cannot build alone. And the small collections under the pay-to-stay law suggest it was never a meaningful source of revenue for the State, which cuts against the claim that it was designed for profit. Readers should weigh those points against the record above.

What Remains

  • Board bills are still the law. People leaving county jails can still be billed for each day of confinement under § 221.070, although they cannot be jailed for failing to pay.
  • Jail-bed rental is growing. Immigration detention has expanded sharply, and Missouri county jails remain part of that system.
  • Contracts drive conditions. Health care, communications, and commissary are run by vendors whose revenue depends on the incarcerated population.

For people with past convictions, the most practical relief available today is clearing the record. Our recent post on Missouri’s automatic expungement law explains what will be cleared beginning in January 2027 and what still requires a petition.

Helpful resources

The coverage below is drawn from several vantage points and labeled by ownership or role, so you can weigh each account and reach your own conclusion.

• RSMo § 221.070, County jail board bills (Missouri Revisor of Statutes)

• RSMo § 217.831, repealed by HB 495 (2025) (Missouri Revisor of Statutes)

• State v. Richey and State v. Wright (2019) (Supreme Court of Missouri)

• “Missouri Repeals Pay-to-Stay Law” (Prison Legal News, published by a prisoners’-rights nonprofit, not impartial)

• Private Prisons in the United States (The Sentencing Project, a reform advocacy organization, not impartial)

• Lawsuit over the $1.4 billion prison health contract (Missouri Independent, nonprofit newsroom)

• Lawmakers’ tour of the Ste. Genevieve County jail (St. Louis Public Radio, nonprofit public broadcaster)

• Phelps County ends ICE detention (KCUR, Kansas City’s NPR member station)

• Private prison revenue and immigration detention (NPR, U.S. public broadcaster)

Facing jail debt or a record that follows you?

Haake Law Group helps Missouri clients with expungements, criminal defense, and civil rights matters on a flat-fee basis, statewide and virtually. A short consultation can identify what relief is available to you.

Schedule a Free Consultation

Disclaimer: This article contains analysis and opinion on public policy and is provided for general educational purposes only. It is not legal advice and does not create an attorney-client relationship with Haake Law Group, PC. Figures are drawn from the public sources cited and may have changed since publication. References to companies and government entities describe documented contracts and payments and do not allege unlawful conduct by any person or entity. Consult a licensed attorney about your own situation.

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