Al Libi was indicted in 2001 by the federal court in the Southern District of New York in the embassy bombings and in connection with his alleged roles in al Qaeda conspiracies to attack U.S. forces in Saudi Arabia, Yemen and Somalia.
State Department deputy spokeswoman Marie Harf said last week that there was no chance that al Libi would end up at Guantanamo.
"The administration's position on Guantanamo is clear: Our goal is not to add to the population, it's to reduce it, which we've done," she said. "Our policy is not to send any new detainees to Guantanamo."
Family wants a lawyer
Al Libi's family members said they had received no news about him from the U.S. or Libyan governments and were shocked to learn that he had arrived in the United States.
His son, Abdullah, said the family hoped to get a lawyer who would "work with him, for him."
"We don't want him talking to just anyone," Abdullah said. "We don't want just any lawyer asking him questions."
Some terrorism experts have questioned how much valuable intelligence al Libi would be able to provide. A former jihadist associate told CNN last week that it was unlikely that he still had an active role with the terrorist network.
His wife said he was no longer a member of al Qaeda, had a normal life and was seeking a job with the Libyan Oil Ministry.
A U.S. official said al Libi received care at a medical facility in New York for a pre-existing medical condition and is "doing better."
The official did not detail the medical issue. His wife told CNN this month that al Libi has a severe case of hepatitis C and that she was worried about his health.
The Libyan government has protested that it hasn't been able to see al Libi yet, in accordance with international law that allows countries to stay in contact with their citizens who are accused of a crime in a foreign nation. A senior Obama administration official said it wasn't possible to give Libya consular access to al Libi until he had arrived in the United States.
"We have every intention of allowing this; it just hasn't happened yet," the official said.
Al Libi is set to return to court on October 22 at 4:30 p.m.