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CLARKSVILLE, Ark.—Recognizing the need to retain and attract jobs, the Ark-Tex Council of Governments Board of Directors’ Executive Committee agreed Thursday to support housing 2,500 illegal aliens there.

The committee approved a statement supporting an agreement that would allow the Federal Bureau of Prisons to contract with the City of Clarksville to house 2,500 illegal immigrants at a short-term medium security facility.

The 4,000-bed lock will be built, managed and operated by Emerald Correctional Management, based in Shreveport, La.

During a meeting las...