SB 2371 Summary

• County and city governments are prohibited from procuring, authorizing, or approving development agreements, building plans, or proposals with foreign adversaries identified under 15 CFR 7.4(a) or entities on the Office of Foreign Assets Control sanctions list.

• Foreign adversaries and foreign business entities with over 50% ownership by foreign adversaries are prohibited from purchasing or acquiring real property in North Dakota after the effective date, with exceptions for entities registered in good standing for seven years or longer, approved by the Committee on Foreign Investment in the United States, and maintaining active national security agreements.

• Violating entities must divest all real property within 36 months; the state's attorney may pursue court action for enforcement, with non-compliant entities subject to civil penalties up to $25,000 and property sold at public sale.

• Legislative Management must conduct a 2023-24 study to examine foreign adversary ownership of real estate and commercial assets in the state, determine appropriate federal adversary lists to use, and develop a security review verification system for monitoring foreign investments.

• The Act expires on July 31, 2025.