Arizona Democratic Governor Katie Hobbs has come under fire after vetoing a state bill designed to block Chinese entities from acquiring land near sensitive infrastructure, such as military bases and nuclear power plants.
The bill, S.B. 1109, would have prohibited entities affiliated with the People’s Republic of China from owning a 30% or greater stake in any Arizona property near critical sites. Its supporters argued the measure was vital to national security, citing recent Chinese attempts to lease property adjacent to Luke Air Force Base—home to elite U.S. fighter pilot training operations.
State Senate Majority Leader Janae Shamp sharply criticized Hobbs’ veto, calling it a “politically motivated” decision that undermines public safety. “Governor Hobbs is an obstructionist against safeguarding our citizens from threats,” she said.
Michael Lucci, CEO and founder of the national security-focused policy group State Armor Action, added that the veto effectively sends a message that Arizona is “open for the CCP.” He warned that the legislation’s failure would allow China to buy land near vital installations, including the Palo Verde nuclear power plant and Taiwan Semiconductor’s expanding presence in the state.
“Allowing Communist China to buy up land near our critical assets is a national security risk, plain and simple,” Lucci said. “Proximity produces peril in asymmetric warfare.”
Governor Hobbs defended her decision by stating that the bill lacked effective counter-espionage mechanisms and clear enforcement guidelines. “The legislation does not directly protect military assets,” she argued, noting that vague implementation criteria could lead to arbitrary or discriminatory enforcement.
The bill underwent bipartisan amendments before reaching Hobbs’ desk. The initial version broadly banned land sales to foreign nationals and flagged entities, but later revisions narrowed the focus to Chinese government-linked organizations and subsidiaries in an effort to avoid discriminatory overreach, according to reporting from the AZ Mirror.
Chinese land purchases near U.S. strategic locations have stirred increasing concern among lawmakers nationwide. In response, nearly two dozen states have passed legislation limiting foreign ownership of property, particularly by entities tied to adversarial governments. In Washington, Congress is currently reviewing seven separate bills related to foreign land acquisitions.
As of March 2025, the nonprofit Committee of 100, which focuses on U.S.-China relations, reported that 27 states were considering 84 bills addressing foreign ownership of property, with 22 having already passed such laws—17 of those enacted in 2024 alone.
With input from Fox News and AZ Mirror.
