Arizona 2025 Regular Session

Arizona Senate Bill SB1109 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	~~Senate Engrossed~~ designated countries; land ownership; prohibition State of Arizona Senate Fifty-seventh Legislature First Regular Session 2025 ~~SENATE BILL~~ 1109 An Act amending title 33, chapter 4, article 3, Arizona Revised Statutes, by adding section 33-443; relating to property conveyances and deeds. (TEXT OF BILL BEGINS ON NEXT PAGE)
	1	+	REFERENCE TITLE: designated countries; land ownership; prohibition State of Arizona Senate Fifty-seventh Legislature First Regular Session 2025 SB 1109 Introduced by Senators Shamp: Angius, Carroll, Gowan, Payne, Rogers, Shope; Representatives Blackman, Bliss, Carbone, Diaz, Griffin, Montenegro An Act amending title 33, chapter 4, article 3, Arizona Revised Statutes, by adding section 33-443; relating to property conveyances and deeds. (TEXT OF BILL BEGINS ON NEXT PAGE)
2	2
3	3
4	4
5	5
6	6
7	7
8	8
	9	+	REFERENCE TITLE: designated countries; land ownership; prohibition
	10	+	State of Arizona Senate Fifty-seventh Legislature First Regular Session 2025
	11	+	SB 1109
	12	+	Introduced by Senators Shamp: Angius, Carroll, Gowan, Payne, Rogers, Shope; Representatives Blackman, Bliss, Carbone, Diaz, Griffin, Montenegro
9	13
10		-
11		-	Senate Engrossed designated countries; land ownership; prohibition
12		-	State of Arizona Senate Fifty-seventh Legislature First Regular Session 2025
13		-	SENATE BILL 1109
14		-
15		-	Senate Engrossed
16		-
17		-
18		-
19		-	designated countries; land ownership; prohibition
	14	+	REFERENCE TITLE: designated countries; land ownership; prohibition
20	15
21	16
22	17
23	18
24	19
25	20
26	21
27	22
28	23
29	24		State of Arizona
30	25
31	26		Senate
32	27
33	28		Fifty-seventh Legislature
34	29
35	30		First Regular Session
36	31
37	32		2025
38	33
39	34
40	35
41	36
42	37
43	38
44	39
45		-	SENATE BILL 1109
	40	+	SB 1109
	41	+
	42	+
	43	+
	44	+	Introduced by
	45	+
	46	+	Senators Shamp: Angius, Carroll, Gowan, Payne, Rogers, Shope; Representatives Blackman, Bliss, Carbone, Diaz, Griffin, Montenegro
	47	+
	48	+
	49	+
	50	+
	51	+
	52	+
	53	+
	54	+
46	55
47	56
48	57
49	58
50	59
51	60
52	61
53	62
54	63
55	64		An Act
56	65
57	66
58	67
59	68		amending title 33, chapter 4, article 3, Arizona Revised Statutes, by adding section 33-443; relating to property conveyances and deeds.
60	69
61	70
62	71
63	72
64	73
65	74		(TEXT OF BILL BEGINS ON NEXT PAGE)
66	75
67	76
68	77
69	78		Be it enacted by the Legislature of the State of Arizona: Section 1. Title 33, chapter 4, article 3, Arizona Revised Statutes, is amended by adding section 33-443, to read: START_STATUTE33-443. Prohibition against land ownership; foreign principals; enforcement; exceptions; definitions A. Notwithstanding any other law and except as provided in subsections F and G of this section, a foreign principal from a designated country may not, directly or indirectly, purchase, own, acquire by grant or devise or have a substantial interest in real property in this state. B. The attorney general shall enforce this section. if the attorney general reasonably suspects a violation of this section occurred, the attorney general shall commence an action in superior court in the county in which the real property is located. C. If the superior court finds that title or a substantial interest in real property was obtained in violation of subsection A of this section, the court shall enter an order: 1. Stating the court's findings. 2. Divesting the person's interest. 3. Directing the board of supervisors to sell the real property in a manner that is consistent with title 42, chapter 18, article 7, except that the board of supervisors shall distribute the remaining proceeds after paying taxes, interests, penalties, fees and costs in the following order of priority: (a) To any valid lienholder for the value of the lienholder's outstanding lien that is attached to the real property. (b) To the appropriate county treasurer and the attorney general to reimburse the attorney general and the appropriate board of supervisors for expenses incurred in the prosecution of a violation of this section. (c) To the property owner in an amount equal to the remaining proceeds of the sale, if any. D. A title insurer, title agent, escrow agent or real estate licensee may not be held liable for any violation of this section. E. A violation of this section may not be the basis for a title insurance claim for any title insurance policy issued for property in this state. F. A foreign principal may purchase, own, acquire by grant or devise or have an interest in land in this state if all of the following conditions apply: 1. The parcel is residential real property. 2. The parcel is two acres or less. 3. The foreign principal is a natural person. 4. The parcel the foreign principal owns or is purchasing or acquiring an interest in is the foreign principal's sole real property interest in this state. 5. The parcel is located fifty miles or more from any military installation, critical infrastructure or known vector route in this state. 6. The parcel is located twenty-five miles or more from an air force range with a total land area between one-half and two and one-half million acres. 7. The foreign principal possesses a current verified united states visa that is not limited to tourist-based travel or official documentation that the United States government has granted the foreign principal asylum in the United States. For the purposes of this paragraph, any documentation shall be in the name of the natural person. G. A foreign principal may acquire real property or any interest in real property in this state by devise or descent, the enforcement of security interests or the collection of debt, if the foreign principal sells, transfers or otherwise divests from the real property within three years after acquiring the real property. H. For the purposes of this section: 1. "Critical infrastructure" has the same meaning prescribed in section 41-1801. 2. "Designated country" means a country that is identified by the United States director of national intelligence as a country that poses a risk to the national security of the United States in each of the three most recent annual threat assessments of the United States intelligence community issued pursuant to section 108b of the national security act of 1947 (50 United States Code section 3043b). 3. "Foreign principal" means any of the following: (a) The government or any official of the government from a designated country. (b) A political party or member of a political party from a designated country. (c) Any person who is domiciled in a designated country and who is not a citizen or lawful permanent resident of the United States. (d) Any business or other entity that is domiciled in a designated country. (e) Any business or other entity in which more than the majority of the business's or entity's ownership belongs to an entity domiciled in a designated country. (f) Any business or other entity in which the majority of the board of directors is controlled by an entity domiciled in a designated country. 4. "Military installation" has the same meaning prescribed in section 26-261. 5. "Substantial interest" means an interest of thirty percent or more. END_STATUTE Sec. 2. Applicability A. A foreign principal that directly or indirectly owns or acquires any interest in real property in this state on or before the effective date of this act may continue to own or hold such real property. B. A foreign principal that directly or indirectly owns or acquires any interest in real property in this state on or before the effective date of this act may not purchase or acquire any additional real property in this state except as provided in section 33-443, subsections F and G, Arizona Revised Statutes, as added by this act. Sec. 3. Legislative findings The legislature finds: 1. This act is necessary to protect this state from global security threats and halt or reverse the influence operation of the Chinese Communist Party or other adverse nations or entities that pose a risk to the national security of the United States. 2. This act is necessary to protect the critical infrastructure of this state. 3. This act's protection of this state's military, commercial and agricultural assets from foreign espionage and sabotage will place this state in a significantly stronger position to withstand national security threats. 4. This act is necessary to protect this state's F-35 equipment and technology and the F-35's squadron's critical mission to protect our national security.
70	79
71	80		Be it enacted by the Legislature of the State of Arizona:
72	81
73	82		Section 1. Title 33, chapter 4, article 3, Arizona Revised Statutes, is amended by adding section 33-443, to read:
74	83
75	84		START_STATUTE33-443. Prohibition against land ownership; foreign principals; enforcement; exceptions; definitions
76	85
77	86		A. Notwithstanding any other law and except as provided in subsections F and G of this section, a foreign principal from a designated country may not, directly or indirectly, purchase, own, acquire by grant or devise or have a substantial interest in real property in this state.
78	87
79	88		B. The attorney general shall enforce this section. if the attorney general reasonably suspects a violation of this section occurred, the attorney general shall commence an action in superior court in the county in which the real property is located.
80	89
81	90		C. If the superior court finds that title or a substantial interest in real property was obtained in violation of subsection A of this section, the court shall enter an order:
82	91
83	92		1. Stating the court's findings.
84	93
85	94		2. Divesting the person's interest.
86	95
87	96		3. Directing the board of supervisors to sell the real property in a manner that is consistent with title 42, chapter 18, article 7, except that the board of supervisors shall distribute the remaining proceeds after paying taxes, interests, penalties, fees and costs in the following order of priority:
88	97
89	98		(a) To any valid lienholder for the value of the lienholder's outstanding lien that is attached to the real property.
90	99
91	100		(b) To the appropriate county treasurer and the attorney general to reimburse the attorney general and the appropriate board of supervisors for expenses incurred in the prosecution of a violation of this section.
92	101
93	102		(c) To the property owner in an amount equal to the remaining proceeds of the sale, if any.
94	103
95	104		D. A title insurer, title agent, escrow agent or real estate licensee may not be held liable for any violation of this section.
96	105
97	106		E. A violation of this section may not be the basis for a title insurance claim for any title insurance policy issued for property in this state.
98	107
99	108		F. A foreign principal may purchase, own, acquire by grant or devise or have an interest in land in this state if all of the following conditions apply:
100	109
101	110		1. The parcel is residential real property.
102	111
103	112		2. The parcel is two acres or less.
104	113
105	114		3. The foreign principal is a natural person.
106	115
107	116		4. The parcel the foreign principal owns or is purchasing or acquiring an interest in is the foreign principal's sole real property interest in this state.
108	117
109	118		5. The parcel is located fifty miles or more from any military installation, critical infrastructure or known vector route in this state.
110	119
111	120		6. The parcel is located twenty-five miles or more from an air force range with a total land area between one-half and two and one-half million acres.
112	121
113	122		7. The foreign principal possesses a current verified united states visa that is not limited to tourist-based travel or official documentation that the United States government has granted the foreign principal asylum in the United States. For the purposes of this paragraph, any documentation shall be in the name of the natural person.
114	123
115	124		G. A foreign principal may acquire real property or any interest in real property in this state by devise or descent, the enforcement of security interests or the collection of debt, if the foreign principal sells, transfers or otherwise divests from the real property within three years after acquiring the real property.
116	125
117	126		H. For the purposes of this section:
118	127
119	128		1. "Critical infrastructure" has the same meaning prescribed in section 41-1801.
120	129
121	130		2. "Designated country" means a country that is identified by the United States director of national intelligence as a country that poses a risk to the national security of the United States in each of the three most recent annual threat assessments of the United States intelligence community issued pursuant to section 108b of the national security act of 1947 (50 United States Code section 3043b).
122	131
123	132		3. "Foreign principal" means any of the following:
124	133
125	134		(a) The government or any official of the government from a designated country.
126	135
127	136		(b) A political party or member of a political party from a designated country.
128	137
129	138		(c) Any person who is domiciled in a designated country and who is not a citizen or lawful permanent resident of the United States.
130	139
131	140		(d) Any business or other entity that is domiciled in a designated country.
132	141
133	142		(e) Any business or other entity in which more than the majority of the business's or entity's ownership belongs to an entity domiciled in a designated country.
134	143
135	144		(f) Any business or other entity in which the majority of the board of directors is controlled by an entity domiciled in a designated country.
136	145
137	146		4. "Military installation" has the same meaning prescribed in section 26-261.
138	147
139	148		5. "Substantial interest" means an interest of thirty percent or more. END_STATUTE
140	149
141	150		Sec. 2. Applicability
142	151
143	152		A. A foreign principal that directly or indirectly owns or acquires any interest in real property in this state on or before the effective date of this act may continue to own or hold such real property.
144	153
145	154		B. A foreign principal that directly or indirectly owns or acquires any interest in real property in this state on or before the effective date of this act may not purchase or acquire any additional real property in this state except as provided in section 33-443, subsections F and G, Arizona Revised Statutes, as added by this act.
146	155
147	156		Sec. 3. Legislative findings
148	157
149	158		The legislature finds:
150	159
151	160		1. This act is necessary to protect this state from global security threats and halt or reverse the influence operation of the Chinese Communist Party or other adverse nations or entities that pose a risk to the national security of the United States.
152	161
153	162		2. This act is necessary to protect the critical infrastructure of this state.
154	163
155	164		3. This act's protection of this state's military, commercial and agricultural assets from foreign espionage and sabotage will place this state in a significantly stronger position to withstand national security threats.
156	165
157	166		4. This act is necessary to protect this state's F-35 equipment and technology and the F-35's squadron's critical mission to protect our national security.