Bill Description: Senate Bill 1149 would allow the state to seize and sell off certain property owned by foreign governments. 

Rating: 0

NOTE: The Senate Amendment to Senate Bill 1149 removed the provision in the original bill that said "any excess proceeds shall be forfeited and transferred to the state general fund." The analysis has been updated and the rating has changed from (-1) to (0).

NOTE: Senate Bill 1149 deals with the same section of code as House bills 356, 221, 63, and 12, but unlike those bills, this bill does not deal with "foreign adversaries." Instead, it applies broadly to all foreign governments and foreign businesses deemed to be foreign state-controlled enterprises. 

Does it violate the spirit or the letter of either the United States Constitution or the Idaho Constitution? Examples include restrictions on speech, public assembly, the press, privacy, private property, or firearms. Conversely, does it restore or uphold the protections guaranteed in the US Constitution or the Idaho Constitution?

Section 55-103, Idaho Code, contains a provision that says, "A foreign government or a foreign state-controlled enterprise shall not purchase, acquire, or hold any controlling interest in agricultural land, forest land, water rights, mining claims, or mineral rights in the state of Idaho."

Senate Bill 1149 would add new language to this section, instructing the attorney general to "investigate acquisitions of interests in real property reasonably suspected of violating the prohibitions provided for in subsection (2) of this section upon receipt of a complaint alleging such violation."

To enforce the law, the AG is instructed to petition the "district court for an order and judgment that: finds such violation; appoints a receiver; and authorizes the receiver to sell such land, rights, or claims."

The bill says, "Proceeds of the sale shall be disbursed to lienholders, in order of priority, except for liens that, under the terms of the sale, are to remain on the land, rights, or claims." It also says, "At the receivership sale, lienholders shall be permitted to have a credit bid; and any excess proceeds shall be disbursed to the owner of record of the real property."

This law is already problematic because it restricts property rights, including the right of Idahoans to sell their property to certain prospective buyers. It is additionally concerning that this bill would require the state to seize and sell off certain property owned by foreign governments or business interests without first providing them an opportunity to voluntarily divest themselves of whatever property interests the state determines are prohibited.

(0)