Sponsors (2)
The bill strengthens transparency and enforcement around foreign ownership of U.S. agricultural land to protect domestic farmland and inform policy, but does so at the cost of heavy penalties, legal uncertainty for some entities, and added compliance burdens for landowners and administrators.
Farmers and rural communities gain stronger oversight of foreign purchases and leases of agricultural land, helping protect farmland availability for domestic producers.
Congress and policymakers receive new research and annual reports on foreign leasing, shell-corporation purchases, and foreign ownership of production, improving data-driven policy decisions to safeguard the U.S. food supply.
Federal implementation capacity is increased through authorized funding ($2 million/year) for audits, training, and reporting, improving enforcement of AFIDA requirements.
Owners and tenants of foreign-owned agricultural land could face penalties equal to 100% of fair market value for failing to file, exposing them to severe financial loss.
The bill's definition of 'shell corporation' as an entity with 'no or nominal operations' is vague and could sweep in diverse entities, creating legal uncertainty for foreign investors and some domestic business arrangements.
Increased compliance audits and reporting duties will impose additional administrative burdens and costs on landowners and state/local offices.
Based on analysis of 2 sections of legislative text.
Toughens disclosure and penalties for foreign-owned shell corporations buying agricultural land, adds audits and training, and requires annual research and reports with $2M/year authorized.
Introduced March 4, 2025 by Tammy Baldwin · Last progress March 4, 2025
Creates a tougher enforcement regime for foreign ownership of U.S. agricultural land by adding big civil penalties for foreign-owned "shell corporations," requiring regular audits and training to detect unreported land, and mandating annual research and reporting on foreign involvement in U.S. agriculture. Provides authority and funding of $2,000,000 per year for fiscal years 2025–2030 to support the new compliance, training, and research activities.