H.R. 7648 — Local Taxpayer Protection Act of 2026

This section establishes a grant program administered by the Secretary of Homeland Security to provide payments to municipalities hosting or developing a facility for processing or detention of individuals arrested or detained by U.S. Immigration and Customs Enforcement (ICE). Grants may not exceed the municipality's combined costs of unrealized property tax revenue and public utilities usage (i.e., water, gas, natural gas, electricity, internet connectivity, garbage collection, recycling, and sewer systems) for the preceding fiscal year; are for a 5-year term, renewable for the duration of facility operations; and must be used to defray those costs or make the facility self-sufficient in utilities or expand municipal capacity. Eligible municipalities must submit applications describing financial need, costs and benefits, other funding sources, and additional information as required; joint or regional applications are permitted, with guidance issued to promote cost effectiveness.