US Proposal Aims to Expand Review of Land Sales Near Military Bases

US Proposal Aims to Expand Review of Land Sales Near Military Bases
Secretary of the Treasury Janet Yellen delivers a keynote address during the second annual Committee on Foreign Investment in the United States (CFIUS) Conference at the Treasury Department in Washington on Sept. 14, 2023. (Alex Wong/Getty Images)

The U.S. Treasury Department has issued proposed rulemaking to expand a security committee’s review of land purchases by foreign buyers near dozens of additional U.S. military sites.

The proposed rule would increase the power of the Committee on Foreign Investment in the United States (CFIUS) to review land sales near 56 additional military sites, bringing the total number to 227.

“President [Joe] Biden and I remain committed to using our strong investment screening tool to defend America’s national security, including actions that protect military installations from external threats,” Treasury Secretary Janet Yellen, the CFIUS chair, said in a statement on July 8.

In 2018, Congress passed legislation authorizing the committee to review real estate transactions near certain military sites across the nation.

CFIUS is a little-known but powerful government committee tasked with investigating corporate deals to identify national security concerns. It holds the power to force companies to change ownership structures or divest completely from the United States.

The committee consists of members from the State, Justice, Energy, and Commerce departments, among others.

In May, President Biden issued a divestment order blocking a Chinese-backed cryptocurrency mining firm from owning land near a Wyoming nuclear missile base, calling its proximity to the base a “national security risk.”

“Today’s proposed rule is another example of CFIUS’s continuing commitment to hone our tools to protect U.S. national security and is a significant milestone in safeguarding critical U.S. military installations,” Assistant Secretary of the Treasury for Investment Security Paul Rosen said in a statement.

“Working closely with the U.S. Department of Defense and other CFIUS members, we will remain responsive to the evolving nature of the risks we face to ensure we are protecting our military installations and related defense assets.”

In May 2023, rulemaking began to give CFIUS the power to review land sales near military bases after controversy arose over the Fufeng Group’s plans to build a $700 million wet corn milling plant in North Dakota, about 12 miles from Grand Forks Air Force Base, which houses air and space operations.

Ms. Yellen said the committee “plays an integral role in national security, and this proposed rule will significantly expand its jurisdiction and ability to accomplish this vital mission.”

The proposed rule will be open for public comment on the Federal Register for 30 days, and a public hearing is scheduled for Aug. 21.

Major new tariffs already have been issued on electric vehicles, semiconductors, solar equipment, and medical supplies imported from China.

From The Epoch Times