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Bill filed to ban foreign land purchases in the state of Texas

Senate Bill 147 would prohibit land sales or acquisitions by companies or entities with ties to North Korea, China, Russia and Iran.

WACO, Texas — A bill has been filed in the Texas legislature that would ban government, citizens and entities from China, North Korea, Iran and Russia from purchasing land in the state of Texas.

Senate Bill 147 addresses the concerns that some people have regarding foreign ownership of property in the state.

In November, Republican State Senator Lois Kolkhorst filed the bill prohibiting land sales or acquisitions by companies or entities with ties to the four countries. 

This has sparked a great deal of controversy from both sides of the issue.

"Some of them are professional, very educated people. The reason they come here is for the freedom," Kenneth Lee, a real estate investor and developer in Houston, said. "They come here for this enterprise that other countries cannot enjoy."

Some foreign individuals strive to live the American dream, but Senate bill 147 may deny this.

Texas House Representative of District 55, Hugh Shine, expressed his support for the overall goal of the bill.

"It certainly sounds like the right thing to do. Like legislation, it can get modified and changed in the process," Hugh Shine said. "The most important thing is that it's very difficult to determine foreign ownership when you have a face of an individual that behind that face could be the government or a number of other entities that we do not want to have a relationship with."

Since being filed in November, it has caused some panic for homebuyers.

One realtor in Houston, who moved to Texas from Tawain in 1980, has been getting a growing number of calls from clients concerned about the bill.

"I have gotten a few phone calls saying that they are very concerned and they believe that Texas doesn't welcome new comers," Li said. "They decide not to buy their homes and move to another state."

Those opposed to the possible law say they are concerned about an increase in anti-Asian sentiment with little impact on national security.

"What we are afraid of is another kind of hate crime influence," Li said. "People are thinking why is it always against the Chinese or Korean. That's another thing that we worry about."

But, Shine believes that fear is overstated.

"This is protecting America's interest and our national security and the interest of all Americans," Shine said. "That has nothing to do with racism on a foreign or domestic basis at all."

Although the bill has yet to move to committee, Texas Governor Greg Abbott has indicated that he will sign the bill expressing his concern to protect Texas infrastructure from foreign ownership.

Republican State Senator Lois Kolkhorst's office issued the following statement to 6 News:

"As I have traveled across my senate district, one of the top concerns for many Texans is national security and the growing ownership of Texas land by certain adversarial foreign entities, such as the 130,000 acres near Laughlin Air Force Base in Del Rio that was recently purchased by a former officer of the Chinese army. Many Texans find this trend highly disturbing and a major red flag.

This bill addresses a national security issue and will preserve our cherished private property rights and constitutional freedoms. It does not prohibit foreign business investment in Texas, because companies may still do business by leasing land and buildings. Passing this law delivers the safeguards to ensure that Texas remains Texas. SB 147 builds on SB 2116 which passed the Texas Legislature unanimously in 2021. That bill protected critical infrastructure against contracts or doing business with Russia, North Korea, China and Iran because of national security issues. Mirroring that legislation, SB 147 also names the same four countries and prohibits them from future purchases of Texas lands. The bill will make crystal clear that the prohibitions do not apply to United States citizens and lawful permanent residents. This has always been about common-sense safeguards against Russian, North Korean, Chinese and Iranian authoritarian regimes, not those fleeing the tyranny of those governments who seek freedom in Texas."

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