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Committee of the Whole recommends SB 1109 after debate over foreign-owned land; constitutional concerns raised

2836516 · March 31, 2025
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Summary

The Arizona House Committee of the Whole on March 31 recommended that SB 1109 receive a "due pass" recommendation. Supporters said the bill limits land ownership by nationals of designated foreign countries to protect resources; critics and a rules attorney raised federal preemption and constitutional concerns.

The Arizona House Committee of the Whole on March 31 recommended that Senate Bill 1109 receive a "due pass" recommendation after members debated a measure that would restrict certain land ownership by nationals of designated foreign countries.

Proponents framed the bill as a national-security and resource-protection measure. Representative Diaz moved the committee action and described the bill’s exceptions and limits, saying it allows ownership when "the parcel is residential real property and 2 acres or less in size," when "the foreign principal is a natural, a natural, citizen here in the country," and when the "foreign principal owns no other real property in Arizona." Representative Diaz moved that the committee recommend SB 1109 receive a due pass.

The bill drew an extended floor comment from Representative Lehi, who said a foreign-owned company from China purchased mineral rights in the Bradshaw Mountains and, he said, "were disrupting the land. They were causing pollution. They diverted the Hassiampa Creek." Lehi said about 700 people attended a town hall on the issue and urged members to set aside partisanship to protect natural resources.

Representative De Los Santos, citing the rules committee record, told the committee that rules attorneys had identified multiple constitutional concerns. "It is federally preempted and thus violates the Supremacy Clause of the United States Constitution," De Los Santos said, adding that the bill "appears to violate the Contracts Clause of the United States Constitution and it violates the Equal Protection Clause of the Fourteenth Amendment of the United States Constitution." He urged a no vote on that basis.

After limited further remarks, the committee recorded the recommendation that SB 1109 receive a due pass and the bill was placed on the calendar for further consideration; Majority Leader Carbone later had the bill placed on third reading. The committee record as read into the House also showed SB 1109 listed alongside other bills that the Committee of the Whole recommended for passage.

Why it matters: Supporters say the bill is intended to protect Arizona land and resources from ownership by nationals of countries designated by U.S. intelligence as posing security risks. Opponents and the rules attorney flagged potential conflicts with federal law and the U.S. Constitution, indicating likely legal challenges if the state adopts such restrictions.

What happens next: Under the action recorded in the House, SB 1109 was reported out of the Committee of the Whole with a due-pass recommendation and placed on the House calendar for third reading. The transcript does not record a third-reading vote on SB 1109 during this session.