AUSTIN, Texas — On Thursday evening, state lawmakers spent several hours hearing testimony on a bill that would restrict who can own land in Texas.
Senate Bill 17 would block people from nations that “pose national security threats” from purchasing land in Texas. Dozens of people testified about the bill during an hours-long Senate State Affairs Committee hearing on Thursday.
Supporters argue this is a matter of national security and protecting natural resources, but critics say SB 17 creates a slippery slope and could impact Texans of color.
“The bottom line on this is this bill is about ensuring that Texas land and our natural resources are protected and making sure that they don’t fall into the hands of some countries that would not wish as well,” Sen. Lois Kolkhorst (R-Brenham), who authored the bill, said.
Senate Bill 17 would restrict people or entities from countries designated as national security threats from buying property in Texas. It would apply to governmental entities and organizations headquartered in or directly tied to those countries.
The ban applies to countries based on the designations from the Director of National Intelligence. The latest annual threat assessment lists China, Russia, Iran and North Korea as countries “engaging in competitive behavior that directly threatens U.S. national security.”
People and companies from countries on that list for three straight years would be banned.
“It is because of China’s position as a rogue nation that it’s important that they not control any of our food security, have access to conduct surveillance and reconnaissance of military installations, or be in areas contiguous to critical infrastructure,” Christopher Holden, senior analyst at the Center for Security Policy, said.
The bill does not prevent foreign business investment in the state. U.S. citizens, lawful permanent residents and dual citizens are not affected. There are exemptions for homes owned by individuals fleeing hostile regimes.
The Texas Attorney General’s office would be in charge of enforcing the law if it passes.
“The Attorney General is given the authority to investigate potential violations if they have reasonable suspicion or receive a tip, and then bring a divestment proceeding before a court of law,” Kolkhorst said.
There is concern among some Asian Americans who believe the bill is discriminatory and unconstitutional.
“If this bill passes, there will be more hate crimes and Anti-Asian incidents against the Asian grandma grandpa, and their blood will be on your hands,” one person testified.
Several people testified they fear the bill paves the way for widespread racial profiling for visa holders, asylees, and refugees.
“I understand the importance of national security, but broad sweeping restrictions like SB 17 are not the answer,” another person testified. “A more effective approach would be assessing risks on a case by case basis rather than penalizing entire community.”
Several business owners said they worry SB 17 will lead to heightened scrutiny and unfair denials when owning or purchasing commercial, agricultural, and investment properties.
“It might be enough for some sellers to say, why take the risk of signing a contract with these Chinese-looking people if the contract fails? If we get in trouble, we will at least put our property back on the market. Let’s choose other buyers instead to be safe,” another person testified. “This bill could have the unintended consequence of negatively affecting everyone. They can cause home sellers to lose value. The worst-case scenario would be unintendedly fanning the fire of xenophobic nationalism, which couldn’t be further from the bill’s intention. Patriotism.”
In a statement, State Rep. Gene Wu (D-Houston), who serves as the House Minority leader, called Senate Bill 17 racist. He said the bill violates constitutional protections, creates unnecessary government overreach, and “does nothing more than send us backward to a time when Asian Americans were openly told they didn’t belong.”
“Racist Senate Bill 17 does little to strengthen national security, but it does promote racial profiling, spread fear and hate, and unfairly single out the entire AAPI community—a community that has long been vital to Texas’ success and prosperity,” Wu said. “Anti-Asian hate and violence is already at an all-time high. This type of legislation only drives it further.”
In the last session, Senator Kolkhorst filed a similar bill, Senate Bill 147. One big difference is it banned people and companies from specific countries from buying land. That bill passed the Senate and died in the House. Nearly two dozen other states have enacted similar legislation.
State lawmakers left the bill pending in committee. If the committee passes it, it needs the full Senate’s approval before it can be sent to the House for consideration. Several House lawmakers have filed similar legislation to SB 17.