The bill, S.B. No. 1063, aims to prohibit contracts or agreements involving foreign-owned companies in relation to agricultural land and critical infrastructure in Texas. It amends Chapter 113 of the Business & Commerce Code to include provisions specifically addressing agricultural land, defining it as land qualifying for tax appraisal under certain sections of the Tax Code and consisting of no more than five acres of noncontiguous land. The bill also introduces a definition for "company" and expands the scope of prohibited agreements to include those with foreign citizens and companies that would grant them access to or control over agricultural land or critical infrastructure.

Under the new provisions, business entities are barred from entering agreements with foreign-owned companies if such agreements would allow these companies direct or remote access to critical infrastructure or agricultural land, with exceptions for product warranty and support purposes. The bill emphasizes that this prohibition applies regardless of whether the company's securities are publicly traded or if it is listed on a public stock exchange. The act is set to take effect on September 1, 2025.