In counties across America, the institutions meant to uphold justice have quietly become engines of revenue. Far from being neutral arbiters or community safeguards, local governments are increasingly relying on courts, jails, and fines to fill budget gaps, often at the direct expense of their most vulnerable residents.
It’s a dangerous sleight of hand. Pick a county, any county; because it’s happening not just in Michigan; it’s happening across the entire United States.
This financial dependence on the criminal justice system has transformed routine interactions with law enforcement and the courts into a high-stakes trap for the poor. What begins as a minor infraction, like an expired license or a missed court date, can quickly snowball into insurmountable debt, jail time, job loss, and housing instability.
It’s an intentionally-designed revenue generating model that serves the wealthy and powerful, but harms the poor.
Fines and Fees: A Hidden Tax on Poverty
Many counties have adopted a “user-funded” approach to the justice system.
Court fines, probation fees, booking charges, and even “pay-to-stay” jail fees are levied against individuals who are often already living paycheck to paycheck.
The logic here is brutal: if you can’t afford your freedom, you don’t deserve it.
According to the Fines and Fees Justice Center, some jurisdictions charge individuals for their own public defenders. Others tack on daily incarceration costs, in a perverse model called “Pay to Stay” even if the person was jailed for being unable to pay fines or fees in the first place.
Quite literally, this lends credence to the old adage, “freedom isn’t free.”
Jails as Revenue Machines
County jails are no longer just holding facilities; they’re cash registers.
Though some opt out, many local governments contract with federal immigration agencies or private companies to house detainees for a fee, incentivizing incarceration over alternatives. In some areas, sheriffs openly tout jail occupancy rates in budget hearings as if they were hotel managers reporting profits. Sadly, this is common in rural counties, where data dashboards aren’t easily accessible, and information is nearly impossible to access even with Freedom of Information Act requests.
A report from the Prison Policy Initiative shows that people in jail have a median annual income of just $15,109 prior to incarceration. And yet, they are often expected to pay for fees for their incarceration, a cruel twist that further entrenches poverty.
The Courtroom as a Collection Agency
Rather than resolving disputes or adjudicating crimes, some courts operate more like debt collectors. Municipal courts in particular often issue arrest warrants for unpaid fines, leading to cycles of incarceration that serve no public safety purpose. These practices disproportionately affect Black and Brown communities, further entrenching racial and economic inequalities.
Examining a County’s Annual Budget will tell you everything you need to know.
Especially in counties where even Family Court Fines and Fees are cited as a “Revenue Generating” line-item, or they boast how much money they took in from jail revenue and court fees.
In a 2015 Department of Justice investigation, Ferguson, Missouri’s court system was exposed for using law enforcement to maximize revenue, disproportionately targeting Black residents for minor violations.
Sadly, Ferguson isn’t unique. This exact model has been replicated across the U.S., often in towns that rely on fines close to or even over 10% of their budget.
For context, 9% seems to be the magic number for many of the smaller counties in the West Michigan area. Bond Forfeitures were not included in this total but are certainly worth examining in the future.
Underfunded Defense = Overburdened Lives
One of the most glaring examples of injustice is the chronic underfunding of public defense. Many counties assign cases to overworked attorneys or contract defenders paid flat fees, creating a perverse incentive to rush pleas rather than fight for clients’ rights.
The Brennan Center for Justice and National Legal Aid & Defender Association have documented how this leads to wrongful convictions, longer sentences, and systemic inequality.
Counties can and should adopt nonprofit public defender models that are independent from political influence and financial pressure.
These models offer:
• Client-centered representation
• Improved training, supervision, and accountability
• Greater focus on holistic defense (housing, mental health, immigration consequences, etc.)
• Transparency and ethical insulation from law enforcement or court budgets
Examples like Kalamazoo Defender here in Michigan, or Bronx Defenders in New York or Still She Rises in Oklahoma, demonstrate how nonprofit models not only improve legal outcomes but also restore dignity and stability to entire communities.
The Long-Term Impact: Poverty as Punishment
This system doesn’t just fail to address the root causes of crime; it actively contributes to them.
Criminal records, mounting debt, and jail time make it harder for people to secure employment, housing, or education. Families suffer. Children grow up with incarcerated parents. And entire communities are drained of resources all in the name of “justice.”
It’s Not Justice. It’s Exploitation.
Perhaps the saddest part, is that if you are unlucky enough to have interaction with multiple courts and their services in a county, the county then generates revenue from systems-impacted people in multiple ways, having incentive to keep you moving through the system, and often times, bring you back.
When counties balance their budgets on the backs of the poor, we have no choice but to call it what it is: exploitation. Revenue-driven justice erodes public trust, criminalizes poverty, and perpetuates cycles of harm.
What Can Be Done?
While it may seem hopeless, there are measures for reform that we as citizens must demand our elected leaders take. Here’s some of the things we can do:
- Put an end to programs that encourage and even incentivize incarceration.
- Audit and reduce fines and fees.
- End the practice of funding courts and jails through user payments.
- Invest in alternatives to incarceration, such as mental health services, housing support, and community-based programs reduce crime more effectively and humanely.
- Demand transparency and accountability.
- Know how your county funds its justice system and challenge local officials who profit from punishment.
Because at the end of the day, justice should serve the people, not the government’s bottom line.
