HB1372: HB1372 Agriculture; prohibit certain foreign persons and entities from acquiring a possessory interest in land located near critical infrastructure without prior approval by the Attorney General

26 LC 63 0105 House Bill 1372 By: Representatives Ridley of the 22 nd, Ridley of the 6th, Horner of the 3rd, Thomas of the 21st, Tarvin of the 2nd, and others A BILL TO BE ENTITLED AN ACT To amend Code Section 2-1-7 of the Official Code of Georgia Ann otated, relating to1 prohibiting the acquisition of possessory interest in certain land by certain foreign persons2 and entities, so as to prohibit certain foreign persons and entities from acquiring a possessory3 interest in land located near critical infrastructure without p rior approval by the Attorney4 General; to provide for the scope of the possessory interest; t o provide for penalties; to5 provide for a definition; to provide for related matters; to re peal conflicting laws; and for6 other purposes.7 BE IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:8 SECTION 1.9 Code Section 2-1-7 of the Official Code of Georgia Annotated, r elating to prohibiting the10 acquisition of possessory interest in certain land by certain f oreign persons and entities, is11 amended by revising subsections (a) and (b) as follows:12 "(a) As used in this Code section, the term:13 (1) 'Agent of a foreign government' means:14 (A) Any person who acts as an agent, representative, employee, or servant, or any15 person who acts in any other capacity at the order, request, or under the direction or16 H. B. 1372 - 1 - 26 LC 63 0105 control, of a foreign government or of a person any of whose activities are directly or17 indirectly supervised, directed, controlled, financed, or subsidized in whole or in major18 part by a foreign government, and who directly or through any other person:19 (i) Engages within the Unite d States in political activities for or in the interests of20 such foreign government;21 (ii) Acts within the United States as a public relations couns el, publicity agent,22 information service employee, or political consultant for or in the interests of such23 foreign government;24 (iii) Within the United States solicits, collects, disburses, or dispenses contributions,25 loans, money, or other things of value for or in the interests of such foreign26 government; or27 (iv) Within the United States represents the interests of such foreign government28 before any agency or official of the government of the United States; and29 (B) Any person who agrees, consents, assumes, or purports to act as, or who is or holds30 himself or herself out to be, whether or not pursuant to a cont ractual relationship, a31 person described in subparagraph (A) of this paragraph.32 (2) 'Agricultural land' means any land capable of use in the p roduction of agricultural33 crops, timber, livestock or livestock products, poultry or poultry products, milk or dairy34 products, or fruit or other horticultural products, but does not include any land zoned by35 a local governmental unit for a use other than and nonconforming with agricultural use.36 (3) 'Critical infrastructure' means systems and assets, whether physical or virtual, so vital37 to the United States that the incapacity or destruction of such systems and assets would38 have a debilitating impact on national security, including economic security, and national39 public health and safety, or any combination thereof, as set forth in Section 5195c(e) of40 Title 42 of the United States Code. Such term shall include, b ut is not limited to, the41 following:42 H. B. 1372 - 2 - 26 LC 63 0105 (A) Energy systems, including electric power generation, trans mission, and43 distribution;44 (B) Water and wastewater systems:45 (C) Transportation systems;46 (D) Communication systems;47 (E) Chemical facilities; and48 (F) Any facility owned or operated by an electric membership corporation as such term49 is defined in Code Section 46-3-171.50 (2.1)(4) 'Military installation' means a facility owned and operated by the United States51 Army, Air Force, Navy, Marines, Space Force, or Coast Guard tha t shelters military52 equipment and personnel and facilitates training and operations for such organizations.53 (3)(5) 'Nonresident alien' means:54 (A)(i) Any natural person described in subsection (a) of Code Section 1-2-11 who is55 not a United States citizen or legal resident, is an agent of a foreign government56 designated as a foreign adversary by the United States Secretar y of Commerce57 pursuant to 15 C.F.R. Section 7.4, and:58 (I) Has been physically absent from the United States for more than six months out59 of the most recent 12 months preceding the acquisition of a pos sessory interest60 described in this Code section; or61 (II) Has been physically absent from Georgia for more than two months out of the62 most recent 12 months preceding the acquisition of a possessory interest described63 in this Code section.64 (ii) The provisions of this subparagraph shall not be in conflict with the federal Fair65 Housing Act.66 (B) A corporation, partnership, limited partnership, trustee, or other business entity that67 is:68 H. B. 1372 - 3 - 26 LC 63 0105 (i) Domiciled in a country whose government is designated as a foreign adversary by69 the United States Secretary of Commerce pursuant to 15 C.F.R. Section 7.4; or70 (ii) Domiciled within the United States, but the ownership of at least 25 percent of71 which is composed of any corporation, partnership, limited part nership, trustee, or72 other business entity that is domiciled in a country whose government is designated73 as a foreign adversary by the United States Secretary of Commer ce pursuant to 1574 C.F.R. Section 7.4;75 provided, however, that this subparagraph shall not include a corporation, partnership,76 limited partnership, trustee, or other business entity leasing land from its owner and77 using such land for agricultural research and development or ex perimental purposes,78 including testing, developing, or producing crop production inputs, including, but not79 limited to, seeds, plants, pesticides, soil amendments, biologi cals, and fertilizers, for80 sale or resale to farmers; or81 (C) A foreign government designated as a foreign adversary by the United States82 Secretary of Commerce pursuant to 15 C.F.R. Section 7.4.83 (4) 'Residential property' means real estate intended to be use d as the purchaser's84 dwelling, as such term is defined in Code Section 8-3-201.85 (b)(1) Except as provided by paragraph (3) of this subsection and subsections (c) and (d)86 of this Code section, no nonresident alien shall acquire direct ly or indirectly any87 possessory interest in agricultural land or, land within a ten-mile radius of any military88 base, military installation, or military airport, or land withi n a five-mile radius of any89 critical infrastructure facility.90 (2) This subsection shall not apply to residential property For purposes of this91 subsection, possessory interest includes any lease, rental agre ement, or other right to92 occupy or use land for a term exceeding one year.93 (3) Any proposed acquisition or lease by a nonresident alien o f land described in94 paragraph (1) of this subsection shall require prior approval b y the Attorney General. 95 H. B. 1372 - 4 - 26 LC 63 0105 The applicant must submit to the Attorney General a detailed disclosure of the ownership96 structure of such acquisition or lease, including any indirect ownership by entities97 domiciled in or controlled by a foreign adversary as designated by the United States98 Secretary of Commerce pursuant to 15 C.F.R. Section 7.4. The Attorney General is99 authorized to deny approval if the transaction poses a risk to state or national security,100 and such decision shall be final and not subject to judicial re view except for abuse of101 discretion.102 (4) Any violation of this subsection shall result in civil penalties of up to $100,000.00103 per violation and forfeiture of the possessory interest; provid ed, however, that an104 intentional violation of this subsection shall also be subject to the penalties set forth in105 subsection (g) of this Code section."106 SECTION 2.107 This Act shall apply to all acquisitions occurring and leases entered into on or after July 1,108 2026, including any pending transactions that are not finalized before July 1, 2026.109 SECTION 3.110 All laws and parts of laws in conflict with this Act are repealed.111 H. B. 1372 - 5 -