A U.S. appeals court on Tuesday said New Jersey cannot ban the detention of immigrants awaiting deportation within its borders, agreeing with private prison operator CoreCivic that it "destroys the federal government's marketplace" for detention facilities crucial to immigration enforcement.

The ruling allows the Elizabeth Detention Center in New Jersey to stay open, where 77% of its detainees were designated as “non-criminal.”

A New Jersey law that prohibits contracts for U.S. Immigration and Customs Enforcement detention centers is unconstitutional because it regulates the federal government, a federal appeals court ruled Tuesday.