SB340
To Amend The Law Concerning Ownership And Possession Of Real Property.
Last Action (May 1, 2023): Sine Die adjournment
Sponsors
AI-Generated Summary
Senate Bill 340 restricts the ownership and acquisition of real property, particularly agricultural land, by 'prohibited foreign parties.' It defines these parties as individuals, governments, or entities associated with countries subject to U.S. International Traffic in Arms Regulations (ITAR) or designated as an 'Entity of Particular Concern' by the U.S. Department of State. The bill mandates that prohibited foreign parties divest from such properties within two years, after which the state may force a sale through judicial foreclosure. It creates a new 'Office of Agricultural Intelligence' within the Department of Agriculture to monitor compliance, investigate potential violations, and report findings to the Attorney General for enforcement. Criminal penalties, including potential felony charges and fines, are established for non-compliance. Exemptions are provided for resident aliens who live within the state. Additionally, the bill updates registration requirements for foreign interests in agricultural land.
Potential Impact Analysis
Who Might Benefit?
The primary beneficiaries of this legislation are domestic agricultural interests, landowners, and the State of Arkansas, which seeks to exert greater control over land ownership to protect national security and agricultural sovereignty. By restricting foreign acquisition of land, the bill aims to support local farmers and prevent foreign entities—specifically those from countries deemed adversarial or concerning by the federal government—from gaining control over vital domestic resources.
Who Might Suffer?
Foreign citizens, governments, and corporations from countries listed under ITAR regulations, as well as entities designated by the U.S. State Department as 'Entities of Particular Concern,' are the most directly impacted. These parties face strict prohibitions on acquiring land in Arkansas and are required to divest existing holdings under penalty of law. Additionally, businesses, trustees, or agents acting on behalf of these foreign entities could face legal risks, potential loss of assets, and criminal prosecution if they fail to comply with the new registration and divestment requirements.
Get Notified
Receive an email when this bill's status changes.