Summary of Original Version

Create new sections of KRS Chapter 247 to define terms, prohibit a nonresident alien, foreign business, foreign agent, trustee, or fiduciary associated with the government of any proscribed country referenced in 22 C.F.R. sec. 126.1 from the purchase, lease, or acquisition of agricultural land in Kentucky or participation in programs administered by the Department of Agriculture, Agricultural Development Board, and Kentucky Agricultural Finance Corporation; allow an existing foreign-owned business to purchase adjacent agricultural land to expand the operations of the business; exempt foreign ownership or leasing of up to 350 acres for research purposes; establish the Kentucky Foreign Investment Review Board to review applications for appeal for those on the prohibited countries list wishing to purchase, lease, or acquire agricultural land, set forth requirements of the board to approve or deny an application for appeal, establish a process for an application for appeal, authorize the board to promulgate administrative regulations; allow an applicant who is denied an appeal to purchase agricultural land to appeal the final decision in Circuit Court; require a county clerk to record an affidavit on any deed that conveys agricultural land and report the affidavit recordings monthly to the Kentucky Foreign Investment Review Board, require the Kentucky Foreign Investment Review Board to report to the Committee on Foreign Investment in the United States each month; set forth requirements to divest land that has been purchased, leased, or denied without approval of the Kentucky Foreign Investment Review Board, and direct the distribution of sale proceeds.

Summary of Amendment: House Committee Substitute 1

Summary Retain original provisions, except exempt any licensed attorney, title insurance company, underwriter, or agent, or other third party involved in a real property transaction from being held civilly or criminally liable for a person or entity providing a fraudulent or incorrect affidavit; designate the order of payment of the proceeds of a sale of agricultural land through foreclosure; exempt a subsequent title holder from civil or criminal liability or foreclosure.

Summary of Amendment: House Floor Amendment 1 -- R. Heath

Summary Delete all provisions of HB 575/HCS 1; create a new section of KRS Chapter 247 to define terms, prohibit a nonresident alien, foreign business, foreign agent, trustee, or fiduciary who is legally bound or has a legal relationship with the government of any proscribed country referenced in 22 C.F.R. sec. 126.1 from purchasing agricultural land, prohibit those who purchased agricultural land prior to the effective date of this Act from the purchase, lease, or acquisition of any additional agricultural land, allow an existing foreign business from a prohibited country to purchase adjacent land for expansion of the business, exempt up to 350 acres of agricultural land for agricultural research, require that a copy of the report required under the provisions of the Agricultural Foreign Investment Disclosure Act be filed with the Department of Agriculture, require the Department of Agriculture to report evidence of noncompliance to the Office of the Attorney General, require the Office of the Attorney General to investigate the evidence, allow the Office of the Attorney General to enforce provisions.

Summary of Amendment: Senate Committee Substitute 1

Summary Retain original provisions; allow a nonresident alien, foreign business, foreign agent, trustee, or fiduciary to own, purchase, hold, or develop agricultural land for nonagricultural use provided that the development is completed within five years of acquiring the land; make technical corrections.