The Fort Leonard Wood Sverdrup gate in Missouri. Individuals and businesses from enemy nations are banned from purchasing farmland within a 10-mile radius of critical military facilities in Missouri under a new rule issued Tuesday, Jan. 2, 2024, by Gov. Mike Parson. (Fort Leonard Wood/Facebook)
JEFFERSON CITY, Mo. (Tribune News Service) — Individuals and businesses from enemy nations are banned from purchasing farmland within a 10-mile radius of critical military facilities in Missouri under a new rule issued Tuesday by Gov. Mike Parson.
Just a day before the Legislature convenes its annual session, the Republican governor said he was issuing the executive order as a “placeholder” in case lawmakers again fail to approve limits on foreign ownership of farmland in the state before they adjourn in May.
Parson, who is entering his final year in office, said past failures by the General Assembly to address the topic prompted him to use his powers now. He said the 2024 election cycle is likely to cause gridlock on many issues in the upcoming session.
“When it comes to China and other foreign adversaries, we must take commonsense precautions that protect Missourians and our security resources,” Parson said.
Military assets in Missouri include the National Geospatial-Intelligence Agency in St. Louis, Whiteman Air Force Base, Fort Leonard Wood, Rosecrans Air National Guard Base, and 65 Missouri National Guard armories and training sites.
The push to limit foreign ownership of farmland in Missouri has been under consideration in the Legislature for the past five years as China has increasingly become viewed as an aggressor more than a trade ally.
Although the Chinese own a just a small percentage of land in Missouri, their presence has stoked fears that the Chinese government could take control over U.S. assets or gain access to U.S.-based information.
The initiative gained renewed momentum in January 2023 following the discovery of a Chinese spy balloon floating over the U.S. before it was shot down in February by a military strike off the coast of South Carolina days later.
In addition to banning foreign ownership near the state’s estimated 300 military facilities, the governor’s order creates more stringent requirements for land purchases and requires approval from the Missouri Department of Agriculture before any acquisitions are completed.
Parson also is asking lawmakers for $200,000 and an additional two employees at the agency to enforce the protections, which also affect potential purchasers with ties to Cuba, Iran, North Korea, Russia and Venezuela.
China-linked holdings in Missouri largely belong to meatpacker Smithfield Foods, a Virginia-based company acquired by Chinese pork company WH Group in 2013.
Before Smithfield was purchased, Missouri banned all foreign ownership of agricultural land. That rule was changed a decade ago to allow foreign entities to own up to 1% of the state’s farmland.
Last year, the House approved legislation that would lower the maximum amount of Missouri farmland that can be owned by foreign entities from 1% to 0.5%, but the Senate did not get the measure across the finish line.
Parson was flanked at the announcement by Lt. Gov. Mike Kehoe, who is seeking the GOP nomination for governor against Secretary of State Jay Ashcroft, and Sen. Bill Eigel, R-Weldon Spring.
Kehoe said the order would protect Missourians and critical infrastructure.
“China is our nation’s most hostile foreign adversary, and Missouri cannot allow individuals and companies associated with the Chinese Communist Party to buy and exploit Missouri land,” Kehoe said.
Ashcroft called the announcement a “stunt” designed to inoculate Kehoe from previous votes as a state senator that allowed WH Group to purchase Smithfield.
“This is merely political theater masquerading as leadership. While I’m happy to see my plan used as a framework, it is too little, too late. I will continue to work with the legislature to get a definitive policy in place that leaves no room for China or our other adversaries from acquiring any Missouri land,” Ashcroft said in a statement.
Eigel is among at least seven senators who have filed bills limiting or banning foreign ownership. He called Parson’s rule “weak” because it doesn’t include Syria.
At least three bills have been filed in the House, including one by House Minority Leader Crystal Quade, D- Springfield, who also is running for governor.
Rep. Mike Haffner, R-Pleasant Hill, is among the sponsors of a legislative fix. He said he intends to press his colleagues to get a plan to the governor’s desk.
“The governor is doing all he can do. But I have filed another bill and I intend on pushing it forward,” Haffner said following the governor’s announcement.
Parson’s move follows a decision last month by the Missouri State Employees Retirement Fund to sell most of its investments in Chinese-owned companies.
The divestment, which could be phased in over three years, was led by state Treasurer Vivek Malek, a Parson appointee and a candidate for the position in the 2024 election.
The issue isn’t limited to Missouri.
Arkansas last year used a new law to order a Chinese seed company to divest its holdings in land it owns there.
A ban imposed in Florida, where Gov. Ron DeSantis is running for president, is being challenged in court by a group of Chinese citizens living and working in Florida, who say the law unfairly equates Chinese people with the actions of their government.
Among opponents of the limits has been the Missouri Realtors, who argue that government shouldn’t interfere with people’s right to sell their property to the highest bidder.
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