Investing.com -- Shares of GEO Group (NYSE: GEO) and CoreCivic (NYSE: NYSE: CXW ) each climbed 1% following a New York Times (NYSE: NYT ) report that the Trump Administration is aiming to spend $45 billion to significantly expand immigrant detention facilities in the United States.

The report, which emerged from a request for proposals by the Department of Homeland Security’s Immigration and Customs Enforcement (ICE), outlines an ambitious plan for contractors to provide a range of services including new detention facilities, transportation, and medical support. The proposal, if funded, would mark a dramatic increase in spending, exceeding the $3.4 billion allocated for ICE’s entire custody operations in the last fiscal year.

The news has positively impacted the stocks of both GEO Group and CoreCivic, companies that operate detention centers. GEO Group saw a 2.1% increase for the trading session, while CoreCivic also reported gains. The proposed expansion aligns with President Trump’s commitment to a mass campaign against undocumented immigration, potentially leading to a surge in demand for detention services provided by these companies.

The swift rise in stock prices reflects investor anticipation of the potential for increased revenue streams for both GEO Group and CoreCivic. The request for proposals indicates a tight deadline, suggesting the administration’s urgency in moving forward with its plans, which could lead to rapid contract awards and implementation.

While the proposal itself does not guarantee funding, the sheer scale of the potential contracts has resonated with the market, as evidenced by the uptick in stock prices. As the administration continues to push its immigration policies, companies like GEO Group and CoreCivic could stand to benefit substantially from the increased federal spending on detention infrastructure and services.

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