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On Wednesday, the new Texas House Select Committee on Securing Texas from Hostile Foreign Nations is set to convene to hear invited testimony about the threat posed by hostile foreign organizations on the Texas economy, security, and values.
The committee is charged with studying the issue and reporting back to the Texas House of Representatives. Notably, the Texas House was the legislative chamber that took no action on the issue in the previous legislative session.
Previous Legislative Efforts or Lack Thereof
In the most recent legislative session (88th – 2023), the Texas Senate passed legislation authored by State Sen. Lois Kolkhorst (R-Brenham) that sought to prohibit the acquisition of property by governmental entities from China, Iran, North Korea, and Russia. Specifically, Senate Bill 147 (SB 147) applies restrictions on agricultural land, timberland, and land around military bases, intending to prevent foreign governments from acquiring land that could be strategically significant or pose a security threat to the state and nation.
SB 147 outlines various definitions and exceptions, including properties used for diplomatic or consular purposes. It also includes provisions for existing landowners from these countries, allowing them to retain their properties while restricting only future acquisitions.
In introducing her legislation, Kolkhorst provided examples, such as a recent purchase of 130,000 acres near Laughlin Air Force Base in Del Rio by a former member of the Chinese People’s Liberation Army. Kolkhorst stated, “The growing ownership of Texas land by some foreign entities is highly disturbing and raises red flags for many Texans.” She highlighted a double standard, noting that Americans cannot buy land near a Chinese military base, and such transactions should be similarly restricted in Texas.
Texas Gov. Greg Abbott (R) has previously been supportive of such legislation, viewing SB 147 as a necessary step in the right direction, dismissing objections and mischaracterizations of the legislation’s intent. Texas Agriculture Commissioner Sid Miller (R) has also indicated support for the legislation, highlighting the potential risks to Texas’ agricultural sector from foreign ownership.
Though SB 147 ultimately passed the Texas Senate with a vote of 19 in favor to 12 in opposition, it did not progress in the House. Notably, one Democrat and one Republican broke with their parties, with State Sens. Juan “Chuy” Hinojosa (McAllen) voting in favor and Charles Perry (Lubbock), respectively, voting against the legislation. SB 147 was referred to the Texas House Committee on State Affairs, chaired by State Rep. Todd Hunter (R-Corpus Christi), but never afforded a public hearing, stalling its legislative prospects.
Similar legislation was filed in the Texas House of Representatives. House Bill 1075 (HB 1075), authored by State Rep. Cody Harris (R-Palestine), would have prohibited the acquisition of farmland by foreign entities. It was referred to the House Committee on State Affairs but, like SB 147, was never granted a public hearing.
Legislation seeking to prohibit contracts or other agreements with certain foreign-owned companies in connection with agricultural land also stalled. Senate Bill 552, authored by State Sen. Donna Campbell (R-New Braunfels), sought to add agricultural land to the Texas critical infrastructure list to protect the food supply from hostile foreign governments. Though SB 552 was granted a hearing in the Senate State Affairs Committee, it was left pending and never considered by the overall Texas Senate.
In the 87th Legislative Session (2021), the Texas Legislature passed Senate Bill 2116 (SB 2116), also authored by Campbell. This bill banned businesses owned by individuals connected to the governments of China, Iran, North Korea, and Russia from connecting physically or remotely into Texas’ critical infrastructure, including communications, cybersecurity, electrical grid, hazardous waste treatment, and water treatment systems.
Texas Republicans Overwhelming Support the Approach
Texas Republican primary election voters overwhelmingly supported a ballot proposition in the March 2024 primary election on this subject.
Proposition 13: Texas Should ban the sale of Texas land to citizens, governments, and entities from China, Iran, North Korea, and Russia.
Texas Secretary of State, 2024 Election Results
This ballot proposition passed with 95.23% (2,159,717 votes) of Republican primary voters voting in favor and only 4.77% (108,236) voting in opposition.
The 2024 Republican Party of Texas Platform, approved by Republican delegates to the State Convention in late May, also includes support for such a ban, albeit going further than previous legislative efforts:
201. No Part of Texas to be Owned by Foreign Interests:
2024 Republican Party of Texas Platform, Plank 201
(a) The State of Texas shall prohibit the sale of all real estate interests within its borders to all except American citizens (defined by current statute) or United States owned and operated corporations. The sole exception to this rule is that a lawful immigrant may own one single family residential property and/or small business.
(b) All land in Texas that is currently owned by foreign individuals, corporations, or interests with ties to such, will be required to sell their property and vacate immediately. Land that is within 50 miles of a military base, and owned by interests related to all foreign governments, or any other foreign state considered hostile to the United States, will be seized immediately under Eminent Domain. Our security is not for sale.
(c) Farmland in active agriculture service cannot be purchased and allowed to become inactive. The current trend of the rich to purchase land for the purpose of decommissioning it to restrict the amount of food available to the public must be stopped. The penalty for this type of treason shall include the loss of the property.
A Response, Sort of
In early May 2024, in the midst of the Primary Runoff Elections, Texas House Speaker Dade Phelan (R) created the House Select Committee on Securing Texas from Hostile Foreign Organizations. This committee is charged with the “study of the threat posed by hostile foreign organizations and related entities on the Texas economy, security, and values,” with the goal of submitting a report to the House of Representatives ahead of the next legislative session in January 2025. The committee is comprised of five Republican and two Democrat House lawmakers, chaired by State Rep. Cole Hefner (R-Mount Pleasant). Notably, State Rep. Todd Hunter (R-Corpus Christi), who never brought up both the Senate and House legislation on this issue in his House Committee on State Affairs, is also a member of the new Select Committee.
The Select Committee is scheduled to have its first public hearing on the issue Wednesday, with invited testimony only.
Opponents & Proponents
The issue surrounding foreign land ownership is no stranger to controversy and mixed opinions.
As SB 147 and similar legislation were making their way through the legislative process in the 88th Legislative Session (2023), many Democrat lawmakers raised their opposition to such efforts. State Rep. Gene Wu (D-Houston) organized a press conference that included the then-Houston Mayor and former State Rep. Sylvester Turner (D), U.S. Congressman Al Green (D-Houston), and the late U.S. Congresswoman Sheila Jackson Lee (D-Houston), as well as several Democrat colleagues of Wu’s in the Texas Legislature. They argued that the legislation potentially fosters discrimination, unfairly targeting immigrants, and ultimately preventing them from owning land and fully participating in the American experience.
Similarly, many civil rights organizations have expressed concern about the legislation’s broader implications on property rights and the potential to foster xenophobic sentiments. Real estate and some business-oriented groups have raised concerns about the legislation’s potential impact on the real estate market and the climate of foreign investment, arguing that such restrictions could deter foreign investment collectively and lead to economic repercussions.
On the other side, Chuck DeVore, the Chief National Initiatives Officer at the Texas Public Policy Foundation (TPPF), explains that foreign land ownership can be a problem distilled into four major categories: food security, intellectual property, espionage opportunities, and biological warfare. DeVore noted that as of April 2024, legislatures in two-thirds of U.S. states are advancing legislation “aimed at curtailing purchases of real estate by Chinese-controlled interests” and that the legislation is almost entirely backed by Republicans.
Conclusion
The debate over restricting foreign land ownership in Texas is a complex and multifaceted issue that pits national security concerns against property rights and economic interests. With strong Republican support and some opposition from various groups, the legislative path forward remains uncertain. As the House Select Committee on Securing Texas from Hostile Foreign Nations convenes to hear testimony, the issue is sure to remain at the forefront of Texas politics. The outcome of these deliberations will likely shape future legislative efforts and impact the broader debate on foreign land ownership in the United States.
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