summary
Introduced
02/13/2025
02/13/2025
In Committee
02/19/2025
02/19/2025
Crossed Over
Passed
Dead
03/28/2025
03/28/2025
Introduced Session
2025 Regular Session
Bill Summary
Create a new section of KRS Chapter 247 to define terms; prohibit a nonresident alien, foreign business, foreign agent, trustee, or fiduciary associated with the government of any proscribed country referenced in 22 C.F.R. sec. 126.1 from the purchase, lease, or acquisition of agricultural land in Kentucky or participation in programs administered by the Department of Agriculture, Agricultural Development Board, and Kentucky Agricultural Finance Corporation; allow an existing foreign-owned business to purchase adjacent agricultural land to expand the operations of the business; exempt foreign ownership or leasing of up to 350 acres for research purposes; allow a nonresident alien, foreign business, foreign agent, trustee, or fiduciary to own, purchase, hold, or develop agricultural land for nonagricultural use provided that the development is completed within five years of acquiring the land; require that a copy of the report required under the provisions of the Agricultural Foreign Investment Disclosure Act be filed with the Department of Agriculture; require the Department of Agriculture to report evidence of noncompliance to the Office of the Attorney General; require the Office of the Attorney General to investigate the evidence; allow the Office of the Attorney General to enforce provisions; require that agricultural land found in violation be escheated to the state and be subject to judicial foreclosure; set requirements for disbursement of proceeds of the sale.
AI Summary
This bill creates new restrictions on foreign ownership and acquisition of agricultural land in Kentucky, specifically targeting entities associated with countries listed in a specific federal regulation. The bill defines key terms like "agricultural land" and "nonresident alien" and prohibits individuals or businesses from proscribed countries from purchasing, leasing, or acquiring agricultural land in Kentucky or participating in state agricultural programs. However, the bill does provide some exceptions: existing foreign-owned businesses can purchase adjacent land to expand operations, up to 350 acres can be purchased for agricultural research purposes, and foreign entities can acquire land for non-agricultural development if they complete the development within five years. The bill requires foreign landowners to file reports with the Department of Agriculture and allows the Attorney General to investigate potential violations. If violations are found, the agricultural land can be escheated (transferred) to the state through a judicial foreclosure process, with proceeds distributed first to cover taxes and liens, and any remaining funds deposited in the state's budget reserve trust fund. The legislation aims to limit foreign control of Kentucky's agricultural land while maintaining some flexibility for specific business and research purposes.
Committee Categories
Justice
Sponsors (2)
Last Action
to Judiciary (S) (on 02/19/2025)
Official Document
bill text
bill summary
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bill summary
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bill summary
| Document Type | Source Location |
|---|---|
| State Bill Page | https://apps.legislature.ky.gov/record/25RS/sb167.html |
| BillText | https://apps.legislature.ky.gov/recorddocuments/bill/25RS/sb167/orig_bill.pdf |
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