| 1 | 1 | | |
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| 2 | 2 | | EXPLANATION-Matter enclosed in bold-faced brackets [thus] in this bill is not enacted |
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| 3 | 3 | | and is intended to be omitted in the law. |
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| 4 | 4 | | FIRST REGULAR SESSION |
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| 5 | 5 | | SENATE BILL NO. 250 |
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| 6 | 6 | | 103RD GENERAL ASSEMBLY |
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| 7 | 7 | | INTRODUCED BY SENATOR BRATTIN. |
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| 8 | 8 | | 1419S.01I KRISTINA MARTIN, Secretary |
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| 9 | 9 | | AN ACT |
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| 10 | 10 | | To repeal sections 173.275, 442.566, 442.571, 442.576, and 442.591, RSMo, and to enact in lieu |
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| 11 | 11 | | thereof seven new sections relating to foreign ownership of property, with an |
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| 12 | 12 | | emergency clause. |
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| 13 | 13 | | |
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| 14 | 14 | | Be it enacted by the General Assembly of the State of Missouri, as follows: |
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| 15 | 15 | | Section A. Sections 173.275, 442.566, 442.571, 442.576, 1 |
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| 16 | 16 | | and 442.591, RSMo, are repealed and seven new sections enacted 2 |
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| 17 | 17 | | in lieu thereof, to be known as sections 33.860, 173.275, 3 |
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| 18 | 18 | | 262.970, 442.566, 442.571, 442.576, and 442.591, to read as 4 |
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| 19 | 19 | | follows:5 |
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| 20 | 20 | | 33.860. 1. No state department or agency shall 1 |
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| 21 | 21 | | implement any program which confers a state public bene fit 2 |
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| 22 | 22 | | on or relating to any foreign -owned property. 3 |
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| 23 | 23 | | 2. As used in this section, the term "state public 4 |
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| 24 | 24 | | benefit" shall include any grant, contract, loan, or tax 5 |
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| 25 | 25 | | credit provided by a department or agency of state 6 |
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| 26 | 26 | | government. 7 |
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| 27 | 27 | | 173.275. 1. As used in this section, the following 1 |
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| 28 | 28 | | terms shall mean: 2 |
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| 29 | 29 | | (1) "Foreign government", any government other than 3 |
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| 30 | 30 | | the government of the United States or any state or 4 |
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| 31 | 31 | | political subdivision of the United States; 5 |
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| 32 | 32 | | (2) "Foreign legal entity", any legal entity created 6 |
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| 33 | 33 | | under the laws of: 7 |
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| 34 | 34 | | (a) A foreign government; or 8 SB 250 2 |
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| 35 | 35 | | (b) The United States, or any state of the United 9 |
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| 36 | 36 | | States, if a majority of the ownership of the stock of such 10 |
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| 37 | 37 | | legal entity is directly or indirectly owned, legally or 11 |
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| 38 | 38 | | beneficially, by one or more foreign governments, foreign 12 |
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| 39 | 39 | | persons, or legal entities created under the laws of a 13 |
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| 40 | 40 | | foreign government, or if a majority of the membership of 14 |
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| 41 | 41 | | any such entity is composed of foreign persons or legal 15 |
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| 42 | 42 | | entities created under th e laws of a foreign government. 16 |
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| 43 | 43 | | The term "foreign legal entity" shall include agents of such 17 |
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| 44 | 44 | | entities; 18 |
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| 45 | 45 | | (3) "Foreign person", any individual who is not a 19 |
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| 46 | 46 | | citizen or national of the United States, or any trust 20 |
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| 47 | 47 | | territory or protectorate of the Unit ed States. The term 21 |
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| 48 | 48 | | "foreign person" shall include agents of such persons; 22 |
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| 49 | 49 | | (4) "Gift", any endowment, gift, grant, contract, 23 |
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| 50 | 50 | | award, or property of any kind [; 24 |
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| 51 | 51 | | (5) "Institution of higher education" or 25 |
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| 52 | 52 | | "institution", the University of Missouri , Lincoln 26 |
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| 53 | 53 | | University, the state colleges, community colleges and 27 |
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| 54 | 54 | | teachers' colleges]. 28 |
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| 55 | 55 | | 2. [Every institution of higher education shall 29 |
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| 56 | 56 | | disclose to the department of higher education and workforce 30 |
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| 57 | 57 | | development the amount, terms, restrictions, condit ions, and 31 |
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| 58 | 58 | | requirements attached to or made a part of any gift from any 32 |
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| 59 | 59 | | foreign government, foreign legal entity, or foreign person 33 |
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| 60 | 60 | | which has a value of one hundred thousand dollars or more, 34 |
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| 61 | 61 | | made to such institution of higher education in any fiscal 35 |
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| 62 | 62 | | year if any term, restriction, condition or requirement 36 |
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| 63 | 63 | | attached to or made a part of any such gift is a violation 37 |
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| 64 | 64 | | of, or would cause the institution of higher education to be 38 |
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| 65 | 65 | | in violation of, any federal or state law relating to 39 SB 250 3 |
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| 66 | 66 | | discrimination on the b asis of race, creed, color, sex, age, 40 |
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| 67 | 67 | | marital status, ethnic background, or religion. If any 41 |
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| 68 | 68 | | foreign government, foreign entity, or foreign person makes 42 |
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| 69 | 69 | | more than one gift to any institution of higher education in 43 |
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| 70 | 70 | | any fiscal year of such institution, such institution shall 44 |
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| 71 | 71 | | make the report required by this subsection if the aggregate 45 |
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| 72 | 72 | | value of all gifts from any one foreign government, foreign 46 |
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| 73 | 73 | | legal entity, or foreign person is one hundred thousand 47 |
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| 74 | 74 | | dollars or more in such fiscal year. 48 |
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| 75 | 75 | | 3. The information to be furnished to the department 49 |
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| 76 | 76 | | of higher education and workforce development shall be 50 |
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| 77 | 77 | | forwarded to the department no later than thirty days after 51 |
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| 78 | 78 | | the final day of the fiscal year of each institution of 52 |
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| 79 | 79 | | higher education, and shall include: 53 |
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| 80 | 80 | | (1) The amount of each gift and the date on which it 54 |
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| 81 | 81 | | was received by the institution; 55 |
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| 82 | 82 | | (2) When a gift is conditional, a matching gift, or 56 |
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| 83 | 83 | | designated for a particular purpose, the full details of the 57 |
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| 84 | 84 | | conditions, matching provisions or designa tion; 58 |
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| 85 | 85 | | (3) In the case of a gift by a foreign government, the 59 |
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| 86 | 86 | | name of such government; 60 |
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| 87 | 87 | | (4) In the case of a gift by a foreign legal entity or 61 |
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| 88 | 88 | | foreign person, the name of the foreign country in which 62 |
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| 89 | 89 | | such foreign legal entity or foreign person is principally 63 |
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| 90 | 90 | | located or has his principal residence; 64 |
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| 91 | 91 | | (5) The purpose for which the gift will be used; and 65 |
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| 92 | 92 | | (6) The name of the foreign legal entity which made 66 |
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| 93 | 93 | | the gift if the gift: 67 |
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| 94 | 94 | | (a) Contains conditions or restrictions regarding the 68 |
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| 95 | 95 | | control of curricula, employment or termination of faculty 69 |
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| 96 | 96 | | members, admission of students, or student fees and tuition; 70 |
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| 97 | 97 | | or 71 SB 250 4 |
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| 98 | 98 | | (b) Is contingent upon the agreement of the 72 |
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| 99 | 99 | | institution to take specific public positions or actions, or 73 |
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| 100 | 100 | | to award honorary degrees. 74 |
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| 101 | 101 | | 4. All information disclosed and furnished to the 75 |
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| 102 | 102 | | department of higher education and workforce development 76 |
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| 103 | 103 | | under this section shall be deemed a public record under 77 |
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| 104 | 104 | | sections 610.010 to 610.030 and shall be made available by 78 |
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| 105 | 105 | | the department to the general public for inspection, review 79 |
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| 106 | 106 | | and copying during the department's normal business hours. ] 80 |
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| 107 | 107 | | (1) Notwithstanding any provision of law to the contrary, a 81 |
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| 108 | 108 | | public institution of higher education shall not accept any 82 |
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| 109 | 109 | | gift from a foreign gov ernment, foreign legal entity, or 83 |
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| 110 | 110 | | foreign person. 84 |
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| 111 | 111 | | (2) This subsection shall not be construed to prohibit 85 |
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| 112 | 112 | | a public institution of higher education from accepting 86 |
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| 113 | 113 | | tuition payments from students from foreign countries. 87 |
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| 114 | 114 | | 262.970. 1. No alien or foreign business shall build 1 |
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| 115 | 115 | | an electricity generating facility on agricultural zoned 2 |
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| 116 | 116 | | land, as described in section 262.805, owned by such alien 3 |
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| 117 | 117 | | or foreign business in the state after August 28, 2025. 4 |
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| 118 | 118 | | 2. For purposes of this section, "electricity 5 |
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| 119 | 119 | | generating facility" means a facility used to convert 6 |
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| 120 | 120 | | energy, including but not limited to solar and wind power, 7 |
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| 121 | 121 | | to produce electricity which consists of one or more power 8 |
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| 122 | 122 | | generating modules connected to a network of one or more 9 |
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| 123 | 123 | | connection points. 10 |
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| 124 | 124 | | 442.566. As used in sections 442.560 to 442.591, 1 |
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| 125 | 125 | | unless the context clearly requires otherwise, the following 2 |
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| 126 | 126 | | terms mean: 3 |
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| 127 | 127 | | (1) "Agricultural land", any tract of land in this 4 |
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| 128 | 128 | | state consisting of more than five acres, w hether inside or 5 |
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| 129 | 129 | | outside the corporate limits of any municipality, which is 6 SB 250 5 |
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| 130 | 130 | | capable, without substantial modification to the character 7 |
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| 131 | 131 | | of the land, of supporting an agricultural enterprise, 8 |
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| 132 | 132 | | including but not limited to land used for the production of 9 |
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| 133 | 133 | | agricultural crops or fruit or other horticultural products, 10 |
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| 134 | 134 | | or for the raising or feeding of animals for the production 11 |
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| 135 | 135 | | of livestock or livestock products, poultry or poultry 12 |
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| 136 | 136 | | products, or milk or dairy products. Adjacent parcels of 13 |
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| 137 | 137 | | land under the same ownership shall be deemed to be a single 14 |
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| 138 | 138 | | tract; 15 |
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| 139 | 139 | | (2) "Alien", any person who is not a citizen of the 16 |
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| 140 | 140 | | United States and who is not a resident of the United States 17 |
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| 141 | 141 | | or of some state, territory, trusteeship, or protectorate of 18 |
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| 142 | 142 | | the United States; 19 |
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| 143 | 143 | | (3) "Director", the director of the Missouri 20 |
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| 144 | 144 | | department of agriculture; 21 |
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| 145 | 145 | | (4) "Family members" includes all persons within the 22 |
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| 146 | 146 | | ninth degree of consanguinity, or the living or surviving 23 |
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| 147 | 147 | | spouse of any person within the ninth degree of 24 |
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| 148 | 148 | | consanguinity; 25 |
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| 149 | 149 | | (5) "Foreign business", any business entity whether or 26 |
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| 150 | 150 | | not incorporated, including but not limited to companies, 27 |
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| 151 | 151 | | corporations, professional corporations, nonprofit 28 |
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| 152 | 152 | | corporations, limited liability companies, partnerships, 29 |
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| 153 | 153 | | limited partnerships, [and] associations, or the equivalent 30 |
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| 154 | 154 | | of any entity listed in this subdivision, in which a 31 |
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| 155 | 155 | | controlling interest is owned by aliens or organized under 32 |
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| 156 | 156 | | the laws of a foreign country, or both . In determining 33 |
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| 157 | 157 | | ownership of a foreign business, legal fiction s such as 34 |
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| 158 | 158 | | corporate form or trust shall be disregarded; 35 |
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| 159 | 159 | | (6) "Residence", the place of general abode; the place 36 |
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| 160 | 160 | | of general abode of a person means his principal, actual 37 SB 250 6 |
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| 161 | 161 | | dwelling place in fact, where he intends to remain 38 |
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| 162 | 162 | | permanently or for an indef inite period of time at least. 39 |
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| 163 | 163 | | 442.571. 1. Except as provided in sections 442.586 1 |
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| 164 | 164 | | and 442.591, [no alien or foreign business shall acquire by 2 |
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| 165 | 165 | | grant, purchase, devise, descent or otherwise agricultural 3 |
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| 166 | 166 | | land in this state if the total aggregate alien and foreign 4 |
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| 167 | 167 | | ownership of agricultural acreage in this state exceeds one 5 |
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| 168 | 168 | | percent of the total aggregate agricultural acreage in this 6 |
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| 169 | 169 | | state. A sale or transfer of any agricultural land in this 7 |
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| 170 | 170 | | state shall be submitted to the director of the department 8 |
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| 171 | 171 | | of agriculture for review in accordance with subsection 3 of 9 |
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| 172 | 172 | | this section only if there is no completed Internal Revenue 10 |
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| 173 | 173 | | Service Form W-9 signed by the purchaser ] beginning on the 11 |
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| 174 | 174 | | effective date of this section, no alien, foreign busine ss, 12 |
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| 175 | 175 | | or foreign government shall acquire by grant, purchase, 13 |
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| 176 | 176 | | devise, descent, or otherwise any agricultural land in this 14 |
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| 177 | 177 | | state. Any alien, foreign business, or foreign government 15 |
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| 178 | 178 | | who acquired any agricultural land in this state prior to 16 |
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| 179 | 179 | | the effective date of this section shall not grant, sell, or 17 |
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| 180 | 180 | | otherwise transfer such agricultural land to any other 18 |
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| 181 | 181 | | alien, foreign business, or foreign government on or after 19 |
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| 182 | 182 | | the effective date of this section . No person may hold 20 |
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| 183 | 183 | | agricultural land as an agent, trus tee, or other fiduciary 21 |
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| 184 | 184 | | for an alien [or], foreign business, or foreign government 22 |
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| 185 | 185 | | in violation of sections 442.560 to 442.592, provided, 23 |
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| 186 | 186 | | however, that no security interest in such agricultural land 24 |
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| 187 | 187 | | shall be divested or invalidated by such violation. 25 |
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| 188 | 188 | | 2. Any alien [or], foreign business, or foreign 26 |
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| 189 | 189 | | government who acquires agricultural land in violation of 27 |
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| 190 | 190 | | sections 442.560 to 442.592 remains in violation of sections 28 |
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| 191 | 191 | | 442.560 to 442.592 for as long as [he or she] the alien, 29 |
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| 192 | 192 | | foreign business, or fo reign government holds an interest in 30 SB 250 7 |
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| 193 | 193 | | the land, provided, however, that no security interest in 31 |
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| 194 | 194 | | such agricultural land shall be divested or invalidated by 32 |
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| 195 | 195 | | such violation. 33 |
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| 196 | 196 | | 3. Subject to the provisions of subsection 1 of this 34 |
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| 197 | 197 | | section, [such] all proposed [acquisitions] transfers on or 35 |
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| 198 | 198 | | after the effective date of this section by grant, purchase, 36 |
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| 199 | 199 | | devise, descent, or otherwise of any interest in 37 |
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| 200 | 200 | | agricultural land held by any alien, foreign business, or 38 |
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| 201 | 201 | | foreign government in this state shall be subm itted at least 39 |
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| 202 | 202 | | thirty calendar days prior to when such transfers of such 40 |
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| 203 | 203 | | agricultural land are finalized to the department of 41 |
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| 204 | 204 | | agriculture to determine whether such [acquisition] transfer 42 |
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| 205 | 205 | | of agricultural land is conveyed in accordance with the [one 43 |
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| 206 | 206 | | percent restriction on the total aggregate ] prohibition on 44 |
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| 207 | 207 | | alien and foreign ownership of agricultural land in this 45 |
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| 208 | 208 | | state under this section. Such sale or transfer submitted 46 |
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| 209 | 209 | | for review shall be deemed a closed record under chapter 610 47 |
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| 210 | 210 | | until such sale is finalized. The department shall 48 |
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| 211 | 211 | | establish by rule the requirements for submission and 49 |
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| 212 | 212 | | approval of requests under this subsection. 50 |
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| 213 | 213 | | 4. Any rule or portion of a rule, as that term is 51 |
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| 214 | 214 | | defined in section 536.010, that is created under the 52 |
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| 215 | 215 | | authority delegated in this section shall become effective 53 |
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| 216 | 216 | | only if it complies with and is subject to all of the 54 |
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| 217 | 217 | | provisions of chapter 536 and, if applicable, section 55 |
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| 218 | 218 | | 536.028. This section and chapter 536 are nonseverable and 56 |
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| 219 | 219 | | if any of the powers vested with the general assembly 57 |
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| 220 | 220 | | pursuant to chapter 536 to review, to delay the effective 58 |
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| 221 | 221 | | date, or to disapprove and annul a rule are subsequently 59 |
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| 222 | 222 | | held unconstitutional, then the grant of rulemaking 60 |
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| 223 | 223 | | authority and any rule proposed or adopted after August 28, 61 |
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| 224 | 224 | | 2014, shall be invalid and void. 62 SB 250 8 |
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| 225 | 225 | | 442.576. 1. If the director finds that an alien [or], 1 |
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| 226 | 226 | | foreign business, or foreign government or an agent, 2 |
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| 227 | 227 | | trustee, or other fiduciary therefor has acquired 3 |
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| 228 | 228 | | agricultural land in Missouri [in violation of sections 4 |
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| 229 | 229 | | 442.560 to 442.592] after the effective date of this 5 |
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| 230 | 230 | | section, or the land ceases to be used for nonagricultural 6 |
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| 231 | 231 | | purposes under section 442.591, he or she shall report the 7 |
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| 232 | 232 | | violation to the attorney general. 8 |
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| 233 | 233 | | 2. The attorney general shall in stitute an action in 9 |
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| 234 | 234 | | the circuit court of Cole County or the circuit court in any 10 |
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| 235 | 235 | | county in which agricultural land owned by the alien or 11 |
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| 236 | 236 | | foreign business, agent, trustee or other fiduciary, alleged 12 |
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| 237 | 237 | | to have violated sections 442.560 to 442.592, is loca ted. 13 |
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| 238 | 238 | | 3. The attorney general shall file a notice of the 14 |
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| 239 | 239 | | pendency of the action with the recorder of deeds of each 15 |
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| 240 | 240 | | county in which any portion of such agricultural lands is 16 |
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| 241 | 241 | | located. If the court finds that the lands in question have 17 |
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| 242 | 242 | | been acquired in violation of sections 442.560 to 442.592, 18 |
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| 243 | 243 | | it shall enter an order so declaring and shall file a copy 19 |
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| 244 | 244 | | of the order with the recorder of deeds of each county in 20 |
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| 245 | 245 | | which any portion of the agricultural lands is located. The 21 |
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| 246 | 246 | | court shall order the owner to divest himself of the 22 |
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| 247 | 247 | | agricultural land. The owner must comply with the order 23 |
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| 248 | 248 | | within two years. The two-year limitation period shall be a 24 |
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| 249 | 249 | | covenant running with the title to the land against any 25 |
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| 250 | 250 | | alien grantee or assignee. Provided, however, an 26 |
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| 251 | 251 | | incorporated foreign business must divest itself of 27 |
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| 252 | 252 | | agricultural land within the minimum time required by 28 |
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| 253 | 253 | | Article XI, Section 5, of the Missouri Constitution. Any 29 |
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| 254 | 254 | | agricultural lands not divested within the time prescribed 30 |
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| 255 | 255 | | shall be ordered sold by the co urt at a public sale in the 31 SB 250 9 |
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| 256 | 256 | | manner prescribed by law for the foreclosure of a mortgage 32 |
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| 257 | 257 | | on real estate for default in payment. 33 |
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| 258 | 258 | | 442.591. The restrictions set forth in sections 1 |
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| 259 | 259 | | 442.560 to 442.592 shall not apply to agricultural land or 2 |
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| 260 | 260 | | any interest therein acquired by an alien or foreign 3 |
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| 261 | 261 | | business for immediate or potential use in nonfarming 4 |
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| 262 | 262 | | purposes. An alien or foreign business may hold such 5 |
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| 263 | 263 | | agricultural land in such acreage as may be necessary to its 6 |
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| 264 | 264 | | nonfarm business operation; p rovided, however, that pending 7 |
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| 265 | 265 | | the development of agricultural land for nonfarm purposes, 8 |
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| 266 | 266 | | such land may not be used for farming except under lease to 9 |
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| 267 | 267 | | a family farm unit; a family farm corporation defined in 10 |
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| 268 | 268 | | section 350.010; an alien or foreign business which has 11 |
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| 269 | 269 | | filed with the director under sections 442.560 to 442.592; 12 |
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| 270 | 270 | | or except when controlled through ownership, options, 13 |
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| 271 | 271 | | leaseholds or other agreements by a corporation which has 14 |
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| 272 | 272 | | entered into an agreement with the United States of America 15 |
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| 273 | 273 | | pursuant to the New Community Act of 1968 (Title IV of the 16 |
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| 274 | 274 | | Housing and Urban Development Act of 1969, 42 U.S.C. 3901 - 17 |
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| 275 | 275 | | 3914), as amended, or a subsidiary or assignee of such a 18 |
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| 276 | 276 | | corporation. As used in this section, the term "nonfarming" 19 |
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| 277 | 277 | | includes, but is not limit ed to, the conducting and active 20 |
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| 278 | 278 | | operation of research or experimentation for the purpose of 21 |
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| 279 | 279 | | developing or improving any type of agricultural practice, 22 |
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| 280 | 280 | | tool, device, or implement or animal health research, animal 23 |
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| 281 | 281 | | nutrition research, raising genetic tra its that are used for 24 |
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| 282 | 282 | | human or animal research, or animals raised for exhibition. 25 |
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| 283 | 283 | | Section B. Because of the danger of foreign ownership 1 |
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| 284 | 284 | | of agricultural land, section A of this act is deemed 2 |
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| 285 | 285 | | necessary for the immediate preservation of the public 3 |
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| 286 | 286 | | health, welfare, peace, and safety, and is hereby declared 4 |
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| 287 | 287 | | to be an emergency act within the meaning of the 5 SB 250 10 |
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| 288 | 288 | | constitution, and section A of this act shall be in full 6 |
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| 289 | 289 | | force and effect upon its passage and approval. 7 |
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| 290 | 290 | | |
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